What does Option mean?

An option is a legal right to purchase or lease a property at a specific price, at a specific time in the future. This can be beneficial for both the buyer and seller as it allows the buyer to lock in a purchase price and allows the seller to secure a sale in the future. Options can be used for both residential and commercial properties and can be used to secure land for future development.

Related Terms

Deep-Seal Floor Drain Right of First offer Contract To Purchase Reconveyance Federal Home Loan Mortgage Corporation, Law Shingle Style Adjustment Period Damper Capital Gains Urban Sprawl Growing-Equity Mortgage Joint Liability Variable Rate Mortgage Bundle of Rights Earnest Money Damage & Destruction (In a Lease) Net Worth Biweekly Mortgage