What is an Option Period & Option Fee?

One element of the standard residential purchase contract that is unique to Texas is the option period & option fee. All states have a period during which buyers can inspect a property, and most states call those “inspection periods”. In Texas, we negotiate an Option Period & a non-refundable Option Fee that operates as this inspection period.

What is an Option Fee?

The Option Fee is a nominal fee the buyer pays in order to have the “option” to terminate the contract during this period. A standard option fee is usually 0.05% to 0.1% of the purchase price, but it varies a bit due to quick “rounding” by most agents.

Do I cash the check now?

Yes! The fee is non-refundable. It is credited to the buyers at closing, so make sure to cash it.

Can the seller terminate the contract during the option period?

No. The buyer has the unilateral right to terminate.

Does the seller have to make any repairs found on the inspection?

No. The seller isn’t obligated to make any repairs. Buyers will usually request that the seller make some repairs or give the buyer a cash credit at closing in lieu of repairs, but the seller isn’t obligated to do anything. The buyer’s leverage is that they can terminate if they think the seller is being unreasonable or if they decide it’s no longer a good deal.

2100+ Client reviews!

Joe was recommended to us by a friend he assisted with buying a house, and he has been amazingly kind and helpful to us since our first meeting. Joe is patient and prompt, gives excellent advice, knowledgeable of the market, and does not hesitate when it comes to highlighting the pros/cons of an area. He researches and gathers an incredible amount of information on every property we see. Joe’s expertise in the market’s geographic area was instrumental in determining a competitive purchase price while also considering the future resale value for the area. In addition, Joe was ALWAYS available for home tours, his delivery of the information was straightforward, and he was involved in all aspects of the closing. I will definitely recommend Joe to everyone I know, and I look forward to working with him again in the near future!

BOOM!!! ***BEST REAL ESTATE AGENT*** TARA MCGUIRE

The wife and I had a desire to move based on school districts. We explored 3 different scenarios and ultimately landed on a house in the Driftwood area. Tara was always there to support our questions (there were a lot), tour properties (there were even more) and provide a suggested list of vendors to assist with all of the nuances of buying a home. The last 6 weeks were a blur, but with the expert level service and knowledge from Tara we were prepared for every step! Thank you Tara McGuire for making this journey the best!

Words can’t express how amazing Kasey and Kim. From start to finish the process was seamless. Kasey was transparent from the beginning, knowledgeable and extremely responsive. This could have been a stressful process, but they made us feel well taken care of and informed at every step!

Kasey & Kim are simply the best.
My husband & I just closed on our very first home together & Kasey & her assistant Kim were there from the very beginning. Through the highs & lows that this Austin market brought us, they went above & beyond to educate us, encourage us, & even talk us off a ledge or two. Ultimately they found our dream home in a dream neighborhood! We were already so impressed by the team but then Kasey’s real talent shined through with negotiations, best practices, & help through the very complicated closing details that come with being a first-time home buyer. Kim spent countless hours making sure that our home was perfect & would come to meet us at the drop of a hat when we needed her.
Kasey & Kim are extremely prompt in responding to calls, emails, & texts – they both went above and beyond to help meet our expectations. We feel very fortunate to have found Kasey & Kim, and we would highly recommend them to anyone looking for their next home.

Tara McGuire of Bramlett did an excellent job marketing and selling our listing.  She was able to generate a phenomenal amount of showings and help us find just the right buyer for our our property.  Bramlett did a great job helping us stage the property and provided excellent guidance through the entire process including closing.  Highly recommended.

I recently contacted Eric Bramlett Realty to assist me in buying a house because I knew they had extensive experience in the Austin area. Linda Baddour was the agent assigned to me and I could not be more pleased with the outcome. Linda is very knowledgeable and proactive. She didn’t hesitate to ask questions and find answers for the homes that we were looking at. I never felt like I had to manage the situation myself, she was always one step ahead. This was my third home purchase in the area and I will definitely call Linda Baddour again if I ever decide to move. I can’t recommend her enough!

Becky was fantastic to work with!

“Mr. Engberg is an exceptional gentleman with very high morals and integrity. He conducted and handled the whole process with the skill of a true professional in every aspect. A definite credit to your company. It was the time and patience he took with someone that had no familiarity with the Texas housing market and broke it down in a manner that my inquisitive mind could understand, answered all my questions and helped me to make an informed decision at a critical juncture leading me to acquire my new home. My fiance and I consider ourselves very fortunate indeed to have been guided by this gentleman.”

Linda Baddour at Bramlett showed extraordinary professionalism. Patient, helpful, experience shows. Most important: outstanding negotiator. Linda represented our position firmly but fairly when negotiating a final price. Also, Linda is very knowledgeable about contract details, utility hookups, and has an assortment of contacts with inspectors and repair professionals. Highly recommend.

Philip Myers was great to work with. He was always available and always very open to answering my questions. He is very easy to work with and I highly recommend him

Simon Vand was amazing, so easy to work with and flexible. He made our house hunting experience seamless. I wish we knew him a few years ago when we were looking for our first property, I will be recommending him to everyone I know looking for / selling a property!

My wife and I spoke to several real estate firms before deciding to go with Tara McGuire with Bramlett Residential in selling our home. Boy was that a great decision! Tara was extremely experienced and knowledgeable about the market and helped us with many things we needed to do in order to sell our home quickly and for the most money. She was always available to us and kept us in the loop at all times. We sold our home in just 4 days! We highly recommend Tara. Tara’s professionalism is unmatched