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Option

The right to purchase or lease property within a pre-determined time at a specific price. There is no obligation to purchase, but the seller is obligated to sell if the option holder exercises the right to purchase. For the option to be valid, it must include consideration (i.e. earnest money).

See also:
  • Offer
  • Open End Loan
  • Open Listing
  • Option
  • Origination Fee
  • Owner Financing

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