Option to Purchase Real Property

7/30/2019 Option to Purchase Real Property

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THIS OPTION, given this day of , 20 ,

by [Name of Owner/Optionor], hereinafter referred to as Optionor,

whose post office address is

to [Buyer/Optionee], hereinafter referred to as Optionee, whose

post office address is.

1. Definitions: "Optionor" and "Optionee" as used herein maybe singular or plural, masculine or feminine, as the context

requires.

2. Grant of Option: Optionor, in consideration of the sum ofDollars ($ ) paid by Optionee to Optionor, the receipt

and sufficiency of which is acknowledged, grants to Optionee the

exclusive right to purchase, on the following conditions, the real

property in County, Florida, more fully described

as:

[insert exact legal description]

together with all buildings and improvements on said real

property.

3. Purchase Price: The purchase price of the property isDollars ($ ).

4. Option Period: The term of this option shall be[years/months/days] beginning this date ( , 19 )

and continuing until 12:00 midnight on , l9 .

Optionee may elect to purchase the property at any time prior to

the expiration of this option.

5. Application of Consideration to Purchase Price: IfOptionee purchases the property, under the terms of this option,

the consideration paid for this option

[shall/shall not] be applied to the purchase price.

6. Exercise of Option: Optionee shall exercise this option bygiving Optionor signed written notice at least

days before the exercise of this option or prior to the expiration

of the option period set forth in Paragraph 4 above. Within

days after receiving this notice, Optionor shall

deliver to Optionee a [statutory warranty,

special warranty, or quitclaim] deed to the property.

Contemporaneously, Optionee shall deliver to Optionor a validcheck [or other agreed upon method of payment] for the purchase

price, less any amount already paid by Optionee to be credited to

Optionee.

7. Proof of Title: Optionor shall, at its expense, furnishOptionee a title insurance policy written by an insurer acceptable

to Optionee, insuring the title to the Property to be free and

clear of all defects except those specifically set forth below:


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[set forth any permitted exceptions, reservations, liens, etc.,

or exhibit containing this list]

Within days after the date Optionee exercises

this option, Optionor will pay for and deliver to Optionee (a) acommitment for title insurance agreeing to issue to Optionee, on

the date the deed is recorded, a title insurance policy in the

amount of the purchase price insuring Optionee's title to the

property, excepting only the above-mentioned encumbrances, any

facts an accurate survey would show, and the standard conditions

and exceptions of that title insurer; and (b) a survey of the

property made on or after the date of this option by a surveyor

acceptable to Optionee showing no encroachments on the property.

If the title does not meet the requirements specified above,

and Optionee notifies Optionor in writing within

days after delivery, specifying the defects, Optionor shall have

days after receiving that notice to cure the defects, and will

exercise its good faith diligence in doing so. If the defects are

cured within that time, Optionee shall have

days after receiving written notification of the

cure from Optionor to purchase the property. If the defects are

not cured within that time, Optionee shall have

days after that to purchase the property, notwithstanding the

defects, at its option. If Optionee then fails or refuses to

purchase the property, Optionor will promptly refund the full

amount of consideration paid for this option and any other money

paid on account of the purchase price, and this option shall

terminate.

[Note: Some attorneys still use the Abstract of Title clauses

instead of, or together with Title Insurance, with the

Owner/Optionor having the option of using either.]

8. Proration of Taxes: The real property ad valorem taxes forthe year in which this transaction is consummated shall be

prorated between the parties to the date the deed is delivered.

If the taxes are unknown at the time the deed is delivered, the

amount of the prior year's taxes shall then be used as a basis of

proration.9. Special Assessments: Any special assessments shall be paid

by Optionor, whether they are payable in a lump sum, in

installments, or otherwise.

10. Documentary Stamps: Documentary stamps on the deed shallbe paid by Optionor.

11. Failure to Exercise Option: If Optionee does not exercisethis option in accordance with its terms and conditions and within


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the option period, this option and the rights of Optionee shall

immediately terminate without notice, and Optionor shall retain

the consideration for this option along with any accrued interest.

12. Failure of Performance: If Optionee exercises this optionaccording to its terms, but Optionor fails to perform its

specified obligations, Optionee may seek specific performance orelect to receive the return of all monies paid under Paragraph 2.

13. Attorney's Fees/Prevailing Party: The prevailing partyshall be entitled to recover reasonable attorney's fees and costs

in connection with any litigation, including appellate

proceedings, arising from this contract.

14. Notices: All notices pertaining to this option shall bein writing. Notice shall be considered given when mailed by

certified or registered mail, return receipt requested, postage

prepaid, at the addresses given above.

15. Entire Agreement: No prior or existing agreements orrepresentations shall be binding on any of the parties unless

incorporated in this option. No modification or change to this

option shall be valid or binding on the parties unless in writing,

executed by the parties to be bound.

16. Binding Agreement: This option shall be binding upon andshall inure to the benefit of the parties hereto and to their

respective heirs, executors, administrators, successors, or

assigns.

17. Recordation: This option or a memorandum regarding it maybe recorded in the Public Records of

County, Florida. [OR, Neither this option nor any notice or

memorandum regarding it shall be recorded in any public records.]

18. Brokerage Fees: If this option is exercised, Optionoragrees to pay to

[Name of Broker] the sum of

($ ). This option shall not limit Broker's rights

provided for in any listing or other agreement that may be in

effect between Optionor and Broker.

19. Time of Essence: Time is of the essence in this option.Executed on , 20 .

Executed in the presence of:

[Printed Name and Address [Printed Name and Address of

of First Witness] Optionor ]

Optionor

[Printed Name and Address

of Second Witness]


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Sworn to and subscribed before me this day of ,

20 , by [Name of Optionor]

who is personally known to me or who produced

as identification.

Notary Public, State of Florida

Printed Name:

Commission Expires:

Commission #:

Documents

Option to Purchase Real Property