FinancingCreative_financingMEDIUM
A tenant has been renting a home for two years under a lease-option agreement. The option price was set at $250,000. The tenant now wants to exercise the option. What must the tenant do?
Correct Answer
B) Formally exercise the option within the agreed timeframe and proceed with the purchase at the stated price
To exercise a lease option, the tenant must formally notify the landlord within the timeframe specified in the agreement and proceed to purchase at the pre-agreed price.
Answer Options
A
Simply continue paying rent and title automatically transfersB
Formally exercise the option within the agreed timeframe and proceed with the purchase at the stated priceC
Renegotiate the purchase price based on current market valueD
Wait until the lease expires; the option cannot be exercised earlyWhy This Is the Correct Answer
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Why the Other Options Are Wrong
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