Difference Between Option To Purchase And Sales And Purchase Agreement

An essential distinguishing feature of the rental option is that the contract does not oblige the tenant to buy the property, but obliges the seller to sell the property if and if the tenant correctly exercises the purchase option. Difference between the contract of sale and the call option A call option contract gives the holder the right to buy something at an agreed price. However, the holder is not obliged to purchase the item if he wishes. The author of the option must sell the property if the option is exercised. A real estate purchase agreement (S&P) is a two-way bilateral contract in which both parties reach an agreement. The binding agreement is that the buyer accepts the purchase and the seller accepts the sale. A leasing option works the same way. In the case of a leasing option, the buyer (the tenant of the property) pays the seller (owner of the building) the option indemnity for the right to purchase the property later. .