Form 4-25

Option to Purchase

[For Use with Real Estate Sales Contract]

Date:

Seller:

Seller’s Address:

Buyer:

Buyer’s Address:

Property:

Option Fee:

Expiration Date:

Contract: The Real Estate Sales Contract attached as Exhibit [exhibit number/letter]

Purchase Price:

Underwriter:

Escrow Agent:

Escrow Agent’s Address:

In consideration of the Option Fee, Seller grants to Buyer the exclusive and irrevocable option to purchase the Property on the following terms and conditions:

1.Application of Option Fee.      The Option Fee [will/will not] be applied to the Pur­chase Price.

2.Exercise of Option.      To exercise the option, Buyer must execute and deliver to Seller the Contract by the Expiration Date. Within three business days of receiving Buyer’s signed Contract, Seller must execute and deliver the Contract to Escrow Agent.

3.Termination of Option.      If Buyer does not exercise the option by the Expiration Date, the option terminates, Seller retains the Option Fee, and Buyer will execute and deliver to Seller a recordable release of the option.

4.Seller’s Default.      If Buyer exercises the option but Seller does not timely execute and deliver the Contract, Buyer has all applicable remedies, including specific performance.

Optionor/Seller:

   
[Name of seller]

Optionee/Buyer:

   
[Name of buyer]