Lease Agreement With Option To Purchase Real Estate Template printable pdf download

Lease Agreement with Option to Purchase Real Estate

This LEASE AGREEMENT WITH OPTION TO PURCHASE REAL ESTATE (hereinafter referred to as the Lease/Option) is

made this

___________________

day

of__________________,

20_____

,by

and

between

the

following

parties:___________________________

____________________________________________________________________________________________________

__________

located at_______________________________________________________________ (hereinafter referred to as the

Tenant/Buyer); and

____________________________________________________________________________________________________

__________

located at_______________________________________________________________ (hereinafter referred to as the

Landlord/Seller).

In consideration of the mutual promises and covenants hereinafter stipulated, the parties hereby agree as follows

(1)

DESCRIPTION: The Landlord/Seller agrees to lease, and, the Tenant/Buyer agrees to rent the real property and

improvements, hereinafter called property; located at:____________________________________________________ as

fully

described

follows:

____________________________________________________________________________________________________

__________

____________________________________________________________________________________________________

__________

(2)

TERM: The term of this Lease/Option shall be for a period of ____ months commencing on _______ ,20____ ,and

ending on ___________ The term will be automatically extended for _____ periods of_______ months, unless the

Tenant/Buyer gives notice to the Landlord/Seller of its intent to terminate this Lease/Option, by mailing a written notice to the

last provided address of the Landlord/Seller. Liability for payment will not extend beyond notice to terminate this agreement.

Possession shall be given to Tenant/Buyer on _________

(3)

RENT: Tenant/Buyer agrees to pay to the Landlord/Seller, the sum of $ _____ per month, with the first payment

beginning _______________ as rent for the property, for the term of this Lease/Option, and during any extensions thereof. All

rental payments shall be due and payable in advance on the 10th day of each and every month. An amount equal to

$________________ for each month in which rent was paid, shall be credited to the Tenant/Buyer and applied to the

purchase price of the property in the event that the Tenant/Buyer exercises its option hereunder; otherwise, this credit shall be

non-refundable and considered forfeited if the option is not exercised.

(4)

OPTION TO PURCHASE: The Tenant/Buyer, as part of the consideration herein, is hereby granted the exclusive

right, option and privilege of purchasing property at any time during the term of this Lease/Option agreement or any extension

thereof. The Tenant/Buyer shall notify the Landlord/Seller in writing of the exercise of this option at least ten (10) days prior to

the expiration of the initial term of this Lease/Option or the expiration of any extension thereof, by mail to the last-provided

address of Landlord/Seller.

(5)

COVENANTS OF TENANT/BUYER: Commencing with and during the term of this agreement, including extensions,

the Tenant/Buyer hereby covenants and agrees as follows:

(A)

That the Tenant/Buyer will pay all utility charges and bills, including, but not limited to, water, sewer, gas, oil,

and electric, which may be assessed or charged against the property;

(B)

That the Tenant/Buyer will not use the property for any unlawful purpose; and that the Tenant/Buyer will

conform to and obey all laws, ordinances, rules, regulations, requirements and orders of all Federal, Stale, and Local

governmental authorities, agencies, departments, bureaus, boards or officials, respecting the use of the property; and

(C)

That the Tenant/Buyer will surrender and deliver up the property, at the end of the term or any extensions

thereof, should the option herein not be exercised, in as good order and condition as the same now exists, reasonable use

and natural wear and tear excepted.

(6)

COVENANTS OF LANDLORD/SELLER: The Landlord/Seller hereby covenants and agrees as follows:

(A)

That the Landlord/Seller shall pay for and maintain fire and extended coverage insurance on said property

in the minimum amount of $___________________. The Tenant/Buyer shall be named as an additional insured or loss-payee

on the insurance policy and copy of which shall be provided to Tenant/Buyer.

(B)

That the Tenant/Buyer shall peaceably and quietly hold, occupy, use and enjoy the property, without any let,

hindrance or molestation by Landlord/Seller or any person associated therewith.

(7)

BREACH BY TENANT/BUYER: If the Tenant/Buyer shall fail to keep and perform any of the covenants, agreements,

or provisions of this Lease/Option, or If the Tenant/Buyer shall abandon the property; it shall be lawful for the Landlord/Seller

to enter into said property and again have, repossess, and enjoy the same as if this Lease/Option had not been made, and

thereupon this Lease/Option and everything herein contained on the part of the Landlord/Seller to be done and performed

shall cease, determine and be utterly void, except as set forth in paragraph (8), below. The commencement of a proceeding

or suit in forcible entry and detainer or in ejectment, or otherwise after any default by the Tenant/Buyer, shall be equivalent in

every respect to actual entry by the Landlord/Seller.

(8)

COSTS OF IMPROVEMENTS: In the event the Tenant/Buyer exercises the option to purchase set forth in paragraph

(4), above, and through no fault of the Tenant/Buyer, the Landlord/Seller fails to convey said property to Tenant/Buyer In

accordance with the terms of this Lease/Option, the Tenant/Buyer, in addition to any other rights which Tenant/Buyer may

have in law or equity for the enforcement of Tenant/Buyer's option to purchase, shall be entitled to reimbursement for the cost

of all repairs, maintenance and improvements.

(9)

FURTHER ENCUMBRANCES: The Landlord/Seller hereby warrants that the total of the leases, options, mortgages,

liens, and any other encumbrances against the property, whether of public record or not, are as follows:

(A)

A first mortgage in favor of ____________________________________ in the approximate amount of

$__________.

Lease Agreement With Option To Purchase Real Estate Template

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