Click on the links below to see the responses for the same question that was answered previously.

https://activerain.com/questions/show/54121/how-are-options-advantageous-for-real-estate-buyers-

https://activerain.com/questions/show/60027/how-are-options-advantageous-for-real-estate-sellers-

I wish you all the best with your real estate studies.

Just one example would be as a developer - Developers write option Offers to cover their time to perform their Due Diligence, ascertain that water/sewer are available, run plat plans by county planning, etc. As they move through each step, they pay another option fee.

Good luck with your studies.

Most often we see an option to purchase when the buyer has a home to sell. In this market, many sellers will not take an option, you see it more in buyer markets

More for tying up properties than buying them.

The advantages depend upon the wording of the option.

Options are handy when rezoning is required before a settlement.

What kind of options?

Buyers can tie up a property without buying it

I have never worked with a client who bought or sold an option to buy or sell a property. An option generally gives the holder the right to buy a property at a fixed price prior to the expiration date of the option. The option, itself, costs money. It is a gamble that the property value goes up in excess of the fixed price by an amount to compensate for the cost of purchasing the option before the option expires. The seller of the option hopes that the holder of the option does not exercise the option thereby leaving the property owner owning the property and the profit made on the sale of the option.

we never use options.... the clean deal is what we like...

Options are great for all humans, I like my choices and my options.

We don't work with options.

Wishing you the best in your studies.

rent with option to buy is not popular here.

I'll just see what others have to say on this

It allows buyers to opt for either blue silhouette agents or green ones. Our buyers prefer agents with a face.

Chapter 37.

Not for the typical residential resale transaction. Has some purpose when used for vacant land and commercial properties.

Just to be a weisenheimer.........it's good have choices. 

More to your question. There are too many applications to list here. Keep going on real estate 101, save options for 201.

Good luck with your studies.

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Once a buyer has an option to buy a property, the seller cannot sell the propertyto anyone else. The buyer pays for the option to make this real estate purchase. The option usually includes a predetermined purchase price and is valid for a specified term, such as six months to a year.

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You tell us! LOL

I like options, especially "no pickles on that burger please".