Sample Duplex (sample)
MultifamilyPurchase / lease optionVerified sellerSamplePhoenix, AZ 85004
Description
Sample lease-option. Option money is illustrated as $10,000 and rent as $2,100. Nothing here says whether rent is credited toward the price. A local attorney would have to review a real contract. Some states regulate these deals strictly.
Fictional duplex with a three-year purchase option.
4 bed · 2 bath · 1,800 sqft · built 1986
Monthly rent
Listed rent: $2,100.00
A lease option is not an amortizing loan. Option money may be non-refundable. Not a quote.
Open full calculatorsDeal-type risk: Purchase or lease option
The occupant pays for the right to buy later, and usually pays rent in the meantime. Some of the rent may or may not be credited toward the purchase — only if the contract says so.
- Option money can be non-refundable if you do not buy. Read that clause before paying it.
- Some states, including rules like Texas Property Code Chapter 5 for executory contracts, treat long rent-to-own or contract-for-deed arrangements as sales with extra consumer protections. The label on the paperwork does not control.
- A lease option can be recharacterized. It can also violate a due-on-sale clause in an existing mortgage.
- Have a local attorney review the option, the lease, and any rent credit before you sign or move in.
This is not legal, tax, or financial advice. It describes common risks. It is not a review of your papers. Have your own licensed attorney read the documents before anyone signs or sends money.