Option to Purchase
OPTION TO PURCHASE
KNOW ALL MEN BY THESE PRESENTS:
That I, , of legal age, single/married, Filipino and a resident of , hereinafter called the GRANTOR, in consideration of the amount of PESOS (P ), Philippine Currency, the receipt whereof is hereby acknowledged from , likewise of legal age, single/married, Filipino and residing at , hereinafter called the GRANTEE, does hereby grant unto the said GRANTEE the EXCLUSIVE OPTION TO BUY that certain real property covered by Transfer Certificate of Title No. and more particularly described as follows:
(insert location and description of property here)
That the purchase price of the above described property is hereby agreed at PESOS (P ), Philippine Currency, payable within the period of this option, which shall expire on at 12:00 noon/midnight of said date;
That the GRANTEE, upon deciding definitely to exercise the right under this option, shall serve written notice to the GRANTOR, at least five (5) days in advance of the date to be fixed for the execution of the final Deed of Absolute Sale, with warranty of title, and such other legal papers as may be necessary and simultaneously for the delivery of the agreed purchase price;
That it is further agreed that if the GRANTEE shall fail to exercise the right under this option, within the period above stipulated, or defaults to pay the agreed price on the date set for the execution of the necessary documents, then this option is deemed automatically cancelled and rendered of no further force and effect, and the consideration paid therefor forfeited in favor of the GRANTOR; Provided, however, that if the sale be consummated, the consideration of this option received by the GRANTOR shall be applied as part payment of the agreed purchase price; and
That all incidental expenses including attorney’s fees, documentary stamps and capital gains tax shall be for the account of the GRANTOR or seller and the registration fees and transfer tax for the transfer to the GRANTEE or buyer shall be for the account of the latter.
IN WITNESS WHEREOF, the GRANTOR has hereunto set his hand at on the day of _, 20_.
Signature of Grantor
Signature of Grantee
SIGNED IN THE PRESENCE OF: