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Leasing with an option to buy is a legal contract. If you don't have anything in writing, then you are just renting. In most cases, in order to secure Lease with Option to Buy, there has to be a fixed term at which time you have the right to "exercise" the option to buy the property at a predetermined price. In exchange for this "option," there is usually "option" money that you have to give to the owner that is not refundable. In some cases the option money is applied to your down payment/purchase price. If you decide not to exercise the option then the seller keeps your option money. So if you decide to move forward with this type of arrangement, make sure this is really what you intend to do. Good luck to you.
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For Sale: $679,000
For Sale: $1,100,000
For Sale: $2,995,000