In a Texas Real Estate Transaction a Buyer has the opportunity to place an option fee on a home that they have made an offer on.
Facts about Option Fees
- Cost generally $100-$500 Depending on the cost of the home that is being purchased
- The option time frame can go up to 10 days
- Determining on how the contract is written the option money goes directly to the seller and is non refundable, unless stated otherwise.
The option period lets the Buyers obtain as much information on the home as possible to make a educated decision to purchase the home or move on.
Generally during the Option Period a home Inspection is performed. This will help the Buyer and seller know the condition the home is in. Negotiation can be made at this time to solve the issues on the home. If an agreement cannot be made between buyer and seller with in the option period, the buyer can terminate the contract with no penalties.
Written by Veronica Weaver, Realtor
My Real Estate Expert