Option Periods in Dallas-Fort Worth Real Estate

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Today, we discuss a topic that often perplexes both buyers and sellers: the option period. Below, we take an in-depth look at this crucial stage in any real estate transaction.

What is the option period? The option period is the time period where the buyer can back out of the contract for any reason whatsoever. This is state-specific, and doesn’t exist everywhere in the country. It’s negotiated upfront between the buyer and seller. The average payment ranges from $50 to $500, and the average number of days range from 3 to 10.

How does it affect buyers in the Dallas-Fort Worth area? The buyer can enter the contract with little risk up front. They won’t risk earnest money, but instead, only that $50 to $500 initial payment. Although a buyer can find another home to pursue during this time, a buyer should also complete an inspection on this property as well. They can approach sellers with negotiable requests, but if the requests aren’t met, they can easily walk away without losing a lot of money.

How does this affect sellers? It’s not great for sellers. The seller can lose a deal if they’re not willing to work with buyer’s requests. The seller should take the measure to work on repairs anyway, since they’ll need to address and resolve them eventually.

If you’re thinking about buying or selling a home in the surrounding area, feel free to reach out by phone or email. I’d be happy to answer any real estate questions you have! I look forward to hearing from you.