Free Basic Option to Purchase

Parties

This Agreement is made and entered into this day by [YOUR COMPANY NAME], purchasing party, herein after referred to as 'Buyer', located at [YOUR COMPANY ADDRESS], and [VENDOR'S NAME], selling party, herein referred to as 'Vendor'.

Purchase Price and Terms

• The purchase price agreed upon by Buyer and Vendor for the property shall be [INSERT AMOUNT].

• Vendor shall finance [INSERT AMOUNT OR PERCENTAGE] of the total purchase price under the terms agreed upon by both parties in this Agreement.

• Buyer will provide a deposit of [INSERT AMOUNT] as earnest money on signing of this Agreement.

• The balance of the purchase price shall be paid upon closing of the sale.

• The closing date shall be on or before [INSERT DATE], unless both parties agree to extend the closing date in writing.

Property Description

The said real estate referred to in this Option to Purchase Agreement is located at [PROPERTY ADDRESS], further described as [LEGAL DESCRIPTION OF PROPERTY].

Title and Deed

Vendor guarantees that the property is free of all encumbrances, liens, or judgments. The Vendor shall provide the Buyer with a valid deed for the property upon receipt of final payment.

Additionally, the Vendor warrants that there are no pending legal disputes or claims against the property that could affect its title or ownership. Furthermore, the Vendor agrees to indemnify and hold harmless the Buyer against any losses or damages arising from any undisclosed encumbrances or defects in the property's title.

Inspection and Approvals

1. Buyer has the right to inspect the property prior to finalizing the sale to ensure that all agreed upon improvements and repairs have been made by the Vendor.

2. All necessary permits and approvals required by any governmental or quasi-governmental bodies shall be obtained by the Vendor.

3. The sale of the property is contingent on Buyer obtaining appropriate financing.

4. The Agreement is also subject to the inspection and approval of the title and deed to the property by an attorney for the Buyer.

5. Buyer shall have the right to cancel this Agreement if any inspection or approval is not satisfactory.

Real Estate Taxes and Assessments

Vendor shall pay all due and payable real estate taxes and assessments on the property prior to the date of closing.

Furthermore, the Vendor shall provide evidence of the current payment status of real estate taxes and assessments, including any outstanding balances, to the Buyer prior to the closing date. Failure to fulfill this obligation may result in the delay of the closing process until all taxes and assessments are settled.

Default

If Buyer fails to fulfill the terms of this Agreement, the Vendor may opt to terminate the contract. Likewise, should the Vendor fail to fulfill the terms of this Agreement, the Buyer may opt to terminate this contract.

In the event of termination due to either party's failure to fulfill the terms of this Agreement, the terminating party shall provide written notice to the other party outlining the specific breach or non-compliance.

Upon receipt of such notice, the non-complying party shall have a specified period, as agreed upon by both parties, to remedy the breach. If the breach is not remedied within the agreed-upon timeframe, the terminating party reserves the right to terminate the contract without further obligation or liability.

Governing Law

This Agreement shall be governed by and constructed in accordance with the laws of the state in which the property is located.

Signatures

This Agreement has been executed in duplicate with each party receiving an original copy.

For [YOUR COMPANY NAME]:

[YOUR NAME]

Authorized Signatory

[Date Signed]

For [SECOND PARTY NAME]:

[AUTHORIZED SIGNATORY'S NAME]

Authorized Signatory

[Date Signed]

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