An option agreement is
A) a contract by which the offeror of property promises to hold his offer open for a period of time during which the offeree can accept the offer and the property can't be sold to another.
B) a contract that provides that a debtor will transfer title in property to a creditor as security for repayment of the debt.
C) a contract transferring the fee simple to a new owner.
D) a contract by which an offeree promises to buy the property offered at a later date set in the contract.
E) a contract that provides that a seller will retain the title in the property until the buyer has made all of the required payments.

Question

Quizplus · Accepted Answer

An option agreement is a contract by which the offeror of property promises to hold his offer open for a period of time during which the offeree can accept the offer and the property can't be sold to another. It provides the offeree with the opportunity to consider the offer before making a decision, without worrying about losing the property to another buyer during that period.

An Option Agreement Is