Contracts
In Texas, an option contract differs from a purchase contract in that:
AAn option has more parties involved
BAn option gives the buyer the right (but not the obligation) to purchase, while a purchase contract binds both parties✓ Correct
CAn option is always oral, while a purchase contract must be in writing
DAn option requires a higher earnest money deposit
Explanation
An option contract gives the optionee (buyer) the right to purchase the property within a specified period at a specified price. The optionor (seller) is bound, but the optionee may choose not to exercise the option — it is unilateral.
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