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what is a option to purchase cost when dealing with a rent to own situation?

Public Comments

1. If I understand your question correctly, you are asking what the purchase price of a home would be in a rent/option agreement. The beauty of the rent with option to buy is you lock in your purchase price now. Then (as you may or may not already know) there will be an additional fee per month on your rent, which will be saved in an account and used as part of your down-stroke on the property when it comes time to purchase it. Keep in mind that if you do not purchase the rental, you will more than likely lose the extra money you've been dumping into your rent. So to answer your question, you figure out the purchase price of the home when you enter into the option contract. Hope that makes sense, good luck.
2. It's a fixed fee that you pay the owner up front in exchange for the unilateral right to purchase their property at a set price within a certain amount of time. If you don't exercise the option within the specified time frame, the seller retains the property and the option money.