Spam prevention
Rainmaker
1,362,046
Anthony Acosta - ALLATLANTACONDOS.COM
Harry Norman, REALTORS® - Atlanta, GA
Associate Broker
Jun 07, 2019 05:12 PM
Ambassador
3,723,525
Debe Maxwell, CRS
www.iCharlotteHomes.com | The Maxwell House Group | RE/MAX Executive | (704) 491-3310 - Charlotte, NC
The right Charlotte REALTOR!

Developers often use these - 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.

Jun 07, 2019 09:51 PM
Ambassador
4,763,896
Bob Crane
Woodland Management Service / Woodland Real Estate, Keller Williams Fox Cities - Stevens Point, WI
Forestland Experts! 715-204-9671

Good for tieing up a property.

Jun 07, 2019 06:56 PM
Rainmaker
2,887,811
Kathleen Daniels, Probate & Trust Specialist
KD Realty - 408.972.1822 - San Jose, CA
Probate Real Estate

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

Jun 08, 2019 07:29 AM
Rainmaker
1,749,324
Bob "RealMan" Timm
Ward County Notary Services - Minot, ND
Owner of Ward Co. Notary Services, retired Realtor

I LOVE the option to tell you that your RE school instructor sucks at what he/she does and for you to post anonymously tells me you are two peas in a pod.

Jun 08, 2019 06:29 AM
Rainmaker
5,396,559
Barbara Todaro
RE/MAX Executive Realty - Retired - Franklin, MA
Previously Affiliated with The Todaro Team

I like Anthony Acosta - ALLATLANTACONDOS.COM answer.... good guidance for you....

Jun 08, 2019 05:24 AM
Rainmaker
878,308
Doug Dawes
Keller Williams Realty - Topsfield, MA - Georgetown, MA
Your Personal Realtor®

Got here late. You have received your answer(s)

Jun 08, 2019 05:00 AM
Rainmaker
788,111
John Juarez
The Medford Real Estate Team - Fremont, CA
ePRO, SRES, GRI, PMN

Options can be of value when a developer wants to tie up a property when doing due diligence to see if it can be developed.

Some buyers use an option to obtain the right to live in a property on a rental basis and buy it later when they can afford it or their credit is better.

I am sure there are other uses for options.

I have never had a transaction that involved an option.

Jun 07, 2019 05:16 PM
Rainmaker
5,894,889
Roy Kelley
Realty Group Referrals - Gaithersburg, MD

Options are handy when rezoning is needed.

Jun 07, 2019 04:38 PM
Rainmaker
2,558,960
Richie Alan Naggar
people first...then business Ran Right Realty - Riverside, CA
agent & author

Options are tools to be wielded by the RE pros..

Jun 07, 2019 04:10 PM
Rainmaker
3,504,086
Nina Hollander
Coldwell Banker Realty - Charlotte, NC
Your Charlotte/Ballantyne/Waxhaw/Fort Mill Realtor

What Anthony Acosta - ALLATLANTACONDOS.COM said. Asked and answered a gazillion times here in the Rain. And why does this question need to be asked anonymously?

Jun 08, 2019 06:21 AM
Rainmaker
1,593,353
Sandy Padula and Norm Padula, JD, GRI
HomeSmart Realty West & Lend Smart Mortgage, Llc. - Carlsbad, CA
Presence, Persistence & Perseverance

More choices

Jun 08, 2019 05:58 AM
Rainmaker
1,116,763
Gary Frimann, CRS, GRI
Eagle Ridge Realty / Signature Homes & Estates - Gilroy, CA
REALTOR and Broker

Locks in price, and that is it.

Jun 08, 2019 04:40 AM
Rainmaker
3,645,410
Wayne Martin
Wayne M Martin - Chicago, IL
Real Estate Broker - Retired

Good for vacant land acquisitions when rezoning is necessary or for commercial property where a change of use is required by the buyer. 

Jun 08, 2019 04:35 AM
Ambassador
1,706,708
Joe Pryor
The Virtual Real Estate Team - Oklahoma City, OK
REALTOR® - Oklahoma Investment Properties

Depends on what the purpose is.

Jun 08, 2019 03:55 AM
Rainmaker
3,493,361
Richard Weeks
Dallas, TX
REALTOR®, Broker
It depends on the option.
Jun 08, 2019 03:55 AM
Rainmaker
1,506,571
Inna Ivchenko
Barcode Properties - Encino, CA
Realtor® • Green • GRI • HAFA • PSC Calabasas CA

In an option contract, only the seller is bound. The buyer is not required to buy and has time to decide and make all necessary investigation to make their decision. The buyer can ultimately decide not to exercise the option to buy ( even if that would mean loose  their collateral, commonly between 3% and 10% of the property's market value at the time of signing a contract).

Jun 07, 2019 11:56 PM
Rainmaker
1,052,567
Thomas J. Nelson, REALTOR ® e-Pro CRS RCS-D Vets
Big Block Realty 858.232.8722 - La Jolla, CA
& Host of Postcards From Success Podcast

Having more than one home to choose from before a buyer buys are options too.

Jun 07, 2019 09:47 PM
Rainmaker
4,931,603
Ron and Alexandra Seigel
Napa Consultants - Carpinteria, CA
Luxury Real Estate Branding, Marketing & Strategy

Answered many times, see Anthony Acosta - ALLATLANTACONDOS.COM answer.  A

Jun 07, 2019 09:22 PM
Rainmaker
1,904,214
Evelina Tsigelnitskaya
SIB Realty - Sunny Isles Beach, FL
www.SIBRealty.org 305-931-6931

No idea

Jun 10, 2019 06:05 AM
Rainmaker
1,448,762
Valeria Mola
SIB Realty - Miami, Sunny Isles Beach - Sunny Isles Beach, FL
305-607-0709 SIB Realty Condos for Sale and Rent

No idea.

Jun 09, 2019 05:51 AM
Rainmaker
776,372
Olga Simoncelli
Veritas Prime, LLC dba Veritas Prime Real Estate - New Fairfield, CT
CONSULTANT, Real Estate Services & Risk Management

If you're not ready to buy, for example, for whatever reason, you might be able to negotiate a rental with an option to buy at some point. Many details wouls have to be spelled out, but basically gives the buyer some flexibility.

Jun 08, 2019 10:14 AM
Rainmaker
1,307,782
Ryan Huggins - Thousand Oaks, CA
https://HugginsHomes.com - Thousand Oaks, CA
Residential Real Estate and Investment Properties

Anthony naild this.  But this question still violates the T&C of AR.

Jun 08, 2019 09:21 AM
Rainer
189,632
Byron K . Jones
Coatesville, PA
List Today - Sold Tomorrow!

yes

Jun 08, 2019 09:18 AM
Rainmaker
3,064,099
John Pusa
Berkshire Hathaway Home Services Crest - Glendale, CA
Your All Time Realtor With Exceptional Service

Many good responses.

Jun 08, 2019 09:07 AM
Rainmaker
4,392,522
Joan Cox
House to Home, Inc. - Denver Real Estate - 720-231-6373 - Denver, CO
Denver Real Estate - Selling One Home at a Time

Never had to deal with this.

Jun 21, 2019 02:33 PM