What is the difference between a lease with option to purchase and an option to purchase?

The difference between a lease with option to purchase and an option to purchase in South Dakota is that the lease with option to purchase gives the tenant more rights and obligations during the duration of the lease. This type of agreement allows the tenant to lease the property for a specified amount of time, and then have the option to purchase the property at a set price before the lease expires. With this type of agreement, the tenant is not obligated to purchase the property, but has the right to do so if they choose; however, the tenant must abide by the terms of the lease until the option to purchase expires. An option to purchase, on the other hand, is an agreement between the tenant and the landlord that grants the tenant the right to purchase the property at a set price for a specific amount of time. Once the tenant exercises their option to purchase, they must abide by the terms of the agreement, including making payment. Unlike a lease with option to purchase, a tenant is not obligated to continue renting the property during the duration of the option to purchase. This type of agreement is much more flexible for tenants, as it allows them to purchase the property at any time during the set time period.

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What is the difference between a lease with option to purchase and an option to purchase?

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