Contracts
A right of first refusal in a Utah real estate context gives the holder:
AThe right to purchase at any time they choose
BThe right to match any bona fide offer the owner receives before the owner can sell to a third party✓ Correct
CThe right to lease the property for any duration
DA guaranteed purchase price set in advance
Explanation
A right of first refusal gives the holder the right to purchase the property on the same terms as a third-party offer, but only if and when the owner decides to sell. The owner cannot accept the third-party offer without first offering the holder the chance to match it.
People Also Study
Related Utah Questions
- In Utah, which type of listing gives the seller the right to sell the property themselves without paying a commission?Utah License Law
- A Utah property owner who sells their home but retains a right of first refusal for any future sale holds:Property Ownership
- A 'subject to inspection' contingency in a Utah purchase contract gives the buyer the right to:Contracts
- The Utah statutory right of redemption after a TAX sale (as distinguished from a foreclosure) gives the original owner:Escrow & Title
- A Utah purchase contract that includes a seller's right to accept backup offers 'subject to' the primary contract means:Contracts
- Under the Utah REPC, the due diligence period gives the buyer the right to:Contracts
- A Utah property owner who grants a neighbor the right to use a path across their property for hiking has created:Property Ownership
- Under Utah's Residential Purchase Contract, which party typically pays for the owner's title insurance policy?Contracts
Key Terms to Know
Right of First Refusal
A contractual right giving a party the opportunity to match any offer received before the owner can accept it from a third party.
Option ContractA contract giving the buyer the right, but not the obligation, to purchase a property at a specified price within a specified time period.
Earnest MoneyA deposit made by the buyer when submitting a purchase offer, demonstrating serious intent and serving as consideration for the contract.
Purchase AgreementA legally binding contract between a buyer and seller that outlines the terms and conditions of a real estate sale.
Study This Topic
Practice More Utah Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Utah Quiz →