Lease Option to Purchase Agreement Question

[Eagles]

I have entered into a Lease/Option purchase agreement. The option date is fast approaching. This agreement gives me exclusive rights on this property. The sellers have hired an Real Estate company to market the home and are forcing me to exercise the option now.

This property is in California. My understanding is that I have until the last date on the contract to exercise this option. The Realtor knows that I have exclusive rights to this property and has disregarded this fact. He has listed this property and is currently marking it on the MLS and on the internet. He is putting tremendous pressure on me to start the escrow process immediatly. I have constant phone calls from various agents wanting to show the house. This is becoming very annoying and stressful.

Now my question is: Does he have a right to do this? What recourse do I have. Should I or could I sue the Realtor or the owners for breaching the Lease/Option contract.

Any help would be highly appreciated.

Thank You.

 

[HomeGuru]

I have entered into a Lease/Option purchase agreement. The option date is fast approaching. This agreement gives me exclusive rights on this property. The sellers have hired an Real Estate company to market the home and are forcing me to exercise the option now.

This property is in California. My understanding is that I have until the last date on the contract to exercise this option. The Realtor knows that I have exclusive rights to this property and has disregarded this fact. He has listed this property and is currently marking it on the MLS and on the internet. He is putting tremendous pressure on me to start the escrow process immediatly. I have constant phone calls from various agents wanting to show the house. This is becoming very annoying and stressful.

Now my question is: Does he have a right to do this? What recourse do I have.
**A: yes because by your own admission, the period by which to exercise your option is "fast approaching". Any astute owner and real estate agent would market the property in the even you fail to buy the property. You should be arranging your financing already if your intention is to really buy the property.
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Should I or could I sue the Realtor or the owners for breaching the Lease/Option contract.

Any help would be highly appreciated.

Thank You.

**A: sue on what grounds and for what cause of action? You have not proven by one iota where the Realtor or the owner has breached the contract.

 

[Eagles]

Doesn't the following paragraph give me exclusivity on this property and prove thier breach of contract?


17. Assignment: The Buyer/Tenant shall have the unqualified right to sublet and/or assign, sell, transfer and convey any rights which the Buyer/Tenant or their heirs, executors, administrators and successors may have in this contract to a third party without written notice. Further, any assignment will release the original Buyer/Tenant from any liability and will substitute the assignee in his place.


Isn't the purpose of signing a contract to protect you from this every occuring. You know, the owners forcing me to buy the property before I am ready to do so?

During the contract period I am assuming that I am the one to determine when I am ready to exercise the option, not the owners, correct?

Forgive me for my ignorance.

 

[J. Ducaine]

you would need to close the deal on or before the due date. otherwise, you should sell the property yourself in an amount sufficient to cover the lessors amount due, if you have time. the listing agent should rightfully list the property with you until the option expires. by "fast approaching", how much time are you talking about? if you are willing to sell versus purchase, you should find out the value of the house to see if you can make a profit on a sale before close. the average escrow will take 40 to 60 days. therefore, if your date falls within this range then you should either bail out or purchase at the option price, subject to appraisal and applicable costs for financing and fees. this is only based on what you have provided since the contract is presumably much more detailed.