What is an option to purchase?

An option to purchase is a type of agreement used in Washington that gives one person the right to buy property from another person at a set price within a specified time period. This type of agreement can be used when one party wants to purchase property but needs additional time to raise the money. It can also be used if the buyer needs time to make sure the property is suitable for their needs. The buyer must make a payment to the seller for the option. This payment is known as an option fee and it gives the buyer the exclusive right to purchase the property for the set price within the agreed time period. If the buyer chooses not to go ahead with the purchase, they usually forfeit the option fee to the seller. If the buyer decides to purchase the property, they must sign a contract stating that they agree to the set price and make the necessary payments. The buyer will then be legally obligated to purchase the property at the agreed price. However, the seller must also honor the agreement, meaning they will not be able to sell the property to another party during the option period. In summary, an option to purchase is an agreement that gives one party the right to buy property from another party at a set price and within a set time period. If the buyer exercises their option to purchase, both parties must abide by the agreement.

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