Alabama Real Estate Practice Exam

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What does a lease option provide a tenant?

  1. The right to terminate the lease early

  2. The right to make modifications to the property

  3. The right to purchase the premises

  4. The right to sublease without permission

The correct answer is: The right to purchase the premises

A lease option provides a tenant with the right to purchase the premises, giving them the opportunity to buy the property at a predetermined price at the end of their lease. Options A, B, and D are all incorrect because they do not relate to the right to purchase the premises. Option A would give the tenant the right to end the lease early, option B would allow them to make changes to the property, and option D would give them the right to sublease without permission. These options are not part of a lease option agreement.

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