Contracts
In Georgia, an option contract gives the optionee (buyer) the right but not the obligation to purchase. What makes this contract binding on the seller?
AA. The seller's signature alone
BB. Consideration paid by the optionee to the seller✓ Correct
CC. Recording of the option in the county deed records
DD. A letter of intent from the buyer
Explanation
An option contract must be supported by consideration paid by the optionee. The seller is bound to keep the offer open, while the optionee has the choice of whether to exercise the option.
Related Georgia Contracts Questions
- The Georgia Association of Realtors (GAR) Purchase and Sale Agreement is best described as a:
- A 'walk-through' inspection before closing in Georgia is intended to verify that:
- A 'novation' in Georgia replaces:
- An 'as-is' clause in a Georgia contract does NOT protect the seller from liability for:
- An earnest money dispute between buyer and seller in Georgia is typically resolved by:
- Under the GAR contract's 'New Loan' contingency, if the buyer cannot obtain financing at specified terms, they may:
- In the GAR Purchase and Sale Agreement, a property described as including 'all fixtures' would typically include:
- The Georgia Association of REALTORS (GAR) Purchase and Sale Agreement is an example of a:
Practice More Georgia Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Georgia Quiz →