Asked by: Manfredo Eichlersreal estate real estate renting and leasing
How does a lease option work in Florida?
Correspondingly, are lease options legal in Florida?
The renter is under no legal obligation though. In Florida, lease-to-own agreements are popular and should be structured similar to a rental lease with a clause added for an option to buy. Many contracts are for two years with the option to buy any time after a year. Agree on a final sales price on the property.
Regarding this, how does a lease option work?
A lease-option is a contract in which a landlord and tenant agree that, at the end of a specified period, the renter can buy the property. The tenant pays an up-front option fee and an additional amount each month that goes toward the eventual down payment.
A lease option is different from a lease purchase contract, in that a lease purchase binds both parties to the sale, whereas in a lease-option the buyer has the option but the seller does not.