An option gives a buyer the right to enter into a purchase agreement with the seller by making a unilateral declaration, provided both parties have already agreed on the purchase terms. You could think of it as a formal period to reflect before committing. In new-build projects, options are fairly common, as you’re buying based on a drawing rather than a finished home.
In the existing housing market, the term option is used more loosely. It usually refers to an informal reflection period, without any concrete agreement on terms. Often, it’s a courtesy offered by the selling agent giving a serious buyer a few days to consider making an offer.
However, selling agents are rarely generous with such options. During this period, the sale is effectively on hold: the property can’t be sold to others, while the potential buyer is still free to walk away. In such cases, a right of first refusal might be a suitable compromise, this allows the buyer to remain the primary candidate without blocking the sale entirely.
