Real Estate Option

_________________________, referred to as SELLER, grants to BUYER the exclusive right to purchase the following parcel of real estate situated in __________________________ County, State of __________________________:

___________________________

 

until _____________________, upon the terms and conditions stated herein.

 

The Buyer may obtain a single extension of this exclusive option for a period of _________________ by the payment of a sum of $ ____ (______________________& ___/100 Dollars) before the expiration of the original term of the option herein.

 

The Buyer may exercise this option by notice to the owner. The sales price shall be a total of $_______ (______________________& ____/100 Dollars).

 

Any and all sums paid for obtaining this option shall be considered as earned fully by the owner when paid and the Buyer, _________________________, shall not receive credit therefore towards the purchase price.

 

Upon exercise of this option by Buyer, a closing shall take place within _________________________ days. The seller shall convey to the owner by warranty deed the property herein, and the title thereto shall be merchantable.

 

During the period between exercise of the option by the buyer and the closing the premises shall be adequately insured for fire and other perils by the owner.

 

The following closing costs shall be borne by the SELLER:

_________________________

 

The following closing costs shall be borne by the BUYER:

__________________________

 

 

 

Dated: _____________________

 

SELLER, Optionee                            Witnesses as to SELLER

 

 

_____________________________          _________________________

 

 

 

_____________________________          _________________________

 

 

Dated: ______________________

 

BUYER, Optionor                              Witnesses as to BUYER

 

 

_____________________________          _________________________

 

 

 

_____________________________          _________________________


Real Estate Option

Review List

This review list is provided to inform you about this document in question and assist you in its preparation.  This is a standard real estate option agreement, which can cement a good or bad deal, depending on the business circumstances.

 

  1. Make multiple copies.  Give a copy to each signatory.  Keep one in the transaction file.  If this is a major transaction for you, consider the additional protection of getting a notarized signature.
  2. Modify the terms of the agreement as appropriate.

 

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