Option to Purchase and Rent to Own Forms
How to Use Option Contracts to Sell or Lease Property
Real estate option contracts are an important tool for selling real estate in today's market. An option to purchase or option to lease form is a contract that gives someone the choice or option to purchase real estate according to the terms of the real estate options contract. An option agreement is a way to give a buyer an opportunity to buy real estate on a rent to own or lease to own basis. A lease with option to buy real estate may allow a buyer time to make a decision about or work out financing with regard to buying a property. Under a lease with option to purchase real estate agreement, an owner financing situation can be created, so that rent payments are treated like installment payments toward purchasing a home or commercial property. A real estate agent isn't required to create a rent to own agreement or contract for deed. When a property has been on the market a long time or the potential buyer is unable to obtain financing with a commercial lender, a real estate option agreement can be a solution to sell real estate that would otherwise not be possible.
US Legal Forms offers a professionally drafted option to purchase real estate form that complies with the law in your state. Beware of real estate lease option forms that aren't state-specific, as they may not be enforceable due to a failure to follow state statutes. Some of the important terms covered include:
- Names and contact information of the property owner and potential buyer
- Identification of the property that is the subject of the real estate purchase option
- An agreement on any option money paid for the right to exercise the option
- The purchase price and any down payment required
- The amount of rent to be paid under the master lease in the rent with option to buy contract
- How long the purchase option may be exercised before it expires
An option to buy real estate agreement must be signed by the parties and notarized.
A real estate lease with option to buy can be easily filled out in Word format to include any important terms you want to include. A preview of our real estate option to purchase forms is available before downloading. Whether you are seeking to sell a residential home or to sell commercial property, a real estate option to buy can be an attractive alternative to a traditional sale, especially for a home buyer or investors who don't qualify for a conventional mortgage.