California Real Estate Practice Exam

An option to purchase property is considered what type of agreement?

1. Implied bilateral

2. Express unilateral

3. Tacit unilateral

4. Express bilateral

The correct answer is: Express unilateral

An option to purchase property is considered an express unilateral agreement because it involves a promise by one party (the property owner) to sell the property to the other party (the option holder) at a specific price within a certain timeframe. The option holder does not have an obligation to purchase the property, but the property owner is obligated to sell if the option holder chooses to exercise their option. This distinguishes it from implied bilateral, tacit unilateral, and express bilateral agreements, as all parties have a mutual obligation or understanding in those types of agreements.