TN 3.0 hours Contracts and Leasing - Course Syllabus
3.0 Elective Hours
An option agreement creates a right to buy, sell, lease or use a property for a set price and for a set period. The property owner who grants the option is called the optionor, and the party that has the right of the option is the optionee. The optionor is bound by the contract to keep the option open for a certain period and must honor the option should the optionee decide to exercise this option to purchase the property. The optionee, however, is not obligated to exercise their option.
This option agreement is a contract and must contain all of the necessary elements that comprise a valid contract. In an option contract, the optionee will usually render a certain dollar amount to the optionor as consideration for the contract. This dollar amount may or may not be refundable should the optionee decide not to exercise their option.
This is a great example of a unilateral contract, where the optionee is not obligated to perform and exercise their option.
Upon course completion, the real estate professional will have a better understanding of real estate contracts, option agreements, and leasing agreements. This course is a must have for seasoned as well as new real estate licensees.