Lease to own agreement gives me until 8?
A lease is the rightbut not the obligationto buy something within a defined time for a specified amount. If I think Apple is going to hit $160 a share within six months (its at $149 now), I can pay $890 for the right to buy 100 shares of Apple for $150 per share. If Apple hits $160, Ill be able to buy them for the lower price and sell them immediately for the higher price, booking a profit. The owner of the shares is contractually obligated to sell me the shares, whether he wants to or not. A lease option in real estate works essentially the same way. I agree to sell you the rental house I own for $400,000 any time between now and August, 2018. Even if its worth $500,000 at that time, I am still legally obligated to sell it to you for $400,000. A lease-option (rent-to-own) is essentially the same, except that the would-be seller (the optionor) allocates a certain agreed-upon amount of the rent paid by the tenant and would-be buyer (the optionee) as option consideration (consideration is anything of value, but most commonly money). An option involving a lease must have two essential elements to be valid and enforceable: Consideration (something of value); and Proper writing. Even though an oral agreement to sell a piece of real property is valid, under the Statute of Frauds, it is not enforceable in court. The seller cannot legally sell a properly optioned property before the expiration of the option. However (and its an important however): an unscrupulous person could try, then say, sue me to someone he might know did not have the wherewithal to file and pursue a lawsuit. One way to guard against this kind of malfeasance is to record a document which will, at a minimum, cloud the title. This would prevent an unscrupulous seller from violating terms of the option and selling the property out from under you. You could do this either by recording the option document itself or by recording a Memorandum of Agreement against the property. This will cost just a few dollars, but be aware that in order to record the document, youd have to have any signatures acknowledged in front of a Notary Public. Assuming that you do have a properly executed option, you should go to the seller and tell him that he cannot legally sell the property until the expiration of the option. Assuming that youre presently occupying the property, you could make selling the property very difficult for him if he tries to breach the terms of the option contract. You are, after all, a tenantand entitled to certain tenants rights, such as quiet enjoyment for the premises (no harassment) and reasonable notice if he wants access to the property. With any amount of luck, hell have the good sense to realize that hes dealing with a well-informed Quoran, and will stop trying to violate your rights. I hope this all works out for youand I hope this was helpful. Disclaimer: Although some of the foregoing text may sound very legalistic and lawyerly, I am not a lawyer. No one should construe anything Ive written here as legal advice. This is for entertainment purposes only. Check with a real lawyer for that kind of advice (He or she will tell you the information is correct, but still.).