This Residential Lease Agreement with Option to Purchase is for use by a landlord who gives the tenant the option to purchase the rented property. This lease agreement with option allows the tenant to rent the property and to exercise an option to purchase the property for a set price within a certain timeframe. This lease agreement sets out the amount of monthly rent and security deposit and also contains a provision which sets out the option to purchase in detail. A helpful Premises Inspection Checklist is also included along with this lease agreement. It is crucial that this type of lease option agreement be memorialized in writing. A written Residential Lease Agreement with Option to Purchase will prove invaluable if the landlord and tenant have disagreements or misunderstandings regarding any provisions of the lease or option to purchase.

This Residential Lease Agreement with Option to Purchase contains the following provisions:

• Leased Premises and Term of Lease: Sets forth the property address and dates of the lease term;
• Lease Payments and Late Fees: States the amount of monthly rent, the date due and penalties for late payments or insufficient funds;
• Security Deposit: States the amount of the security deposit and conditions for its return;
• Option to Purchase: Sets forth that landlord grants tenant the exclusive right to purchase the property for a predetermined price and when this purchase option will expire. Tenant must notify landlord in writing of any intention to exercise this option and give the landlord an additional deposit toward the purchase of the property. It also sets forth who will pay the closing costs and that landlord will convey the premises by warranty deed to tenant;
• Default: Sets out what constitutes a default and any available remedies;
• Use of Premises: States that the premises may only be used as a residence unless landlord gives written consent to use the premises as a business;
• Possession of Property, Utilities and Pets: Describes when Tenant may take possession of the property, who is responsible for utilities and the policy regarding pets;
• Insurance: Both parties are required to maintain appropriate insurance on the property;
• Additional Terms and Conditions: Sets out any terms and conditions not expressly set out in this agreement;
• Signatures: Landlord and tenant must both sign this agreement.

Protect your rights and your property by using this lawyer-prepared and accurate legal form. This lawyer-prepared package includes:

1. Instructions and Checklist
2. General Information
3. Residential Lease Agreement with Option to Purchase for use in England and Wales

Law Compliance: This form complies with the laws of England and Wales