Commercial Lease Purchase Agreement
With the option to purchase away, the buyer pays money to the seller for the exclusive right to buy the property within a certain period of time (often from six months to a year). The buyer and seller can then accept a purchase price, or the buyer may agree to pay the market value at the time of exercise of his option. It`s negotiable, but many buyers want to block the future purchase price at the beginning. If the tenant/buyer cannot purchase the house due to lack of financing, tenants and landlords may agree to extend the option period, convert the tenancy agreement into a traditional tenancy agreement or terminate the contract with the tenant and landlord looking for other tenants or buyers.  Terms are often used interchangeably, but they are really not the same. The “option” option in the “lease option” refers to the right to acquire or lease land or other real estate interest without the obligation to do so. Today, options for purchase, option leasing and leasing contracts are three separate financing documents. Although they are similar, they differ in finer details because the differences are state-specific and not all states have identical laws. Talk to a real estate lawyer before entering into one of these agreements with a seller to make sure you understand the effects. If you are a landlord stuck with a home that is not sold and you have to move for some reason, or if you are a real estate investor with several properties, a rental purchase could be a viable option to nail a sale and get a good price for your property.