An option agreement is a contract by which the seller of a property extends an offer, and agrees to keep that offer open to a particular buyer for a certain amount of time. The seller is bound to sell if the buyer chooses. The buyer is under no obligation to pursue the option. Option agreements can be advantageous, especially if you are a buyer because it can give you time to secure a mortgage or do more research regarding the property.
An option agreement is a contract to buy real property and thus to be valid, the elements of a typical real estate contract must exist. Also, because of the special nature of option agreements, there must be separate consideration for the promise to keep the offer open, such as paying the seller a fee distinct from the property’s purchase price.
Unfortunately, there are times when sellers dishonor the option agreement and refuse to sell you the property. This is when you need an experienced attorney who has handled cases like this before.
James G. Dibbini and Associates P.C. has experience representing buyers and sellers alike in disputes involving option agreements. If you need help regarding option agreements, give us a call at (914) 965-1011 or email us at firstname.lastname@example.org to learn more.