A lease-to-purchase agreement in Florida is a legally binding contract. This agreement is entered into between a landlord and a tenant, with the tenant having the option to purchase the property. For the term of the agreement, the tenant will make set payments, and once all the payments have been made, the tenant will become the property owner. These contracts usually include a cost price that the tenant can pay earlier if they purchase the property sooner.
Like all other states, Florida regulates its own laws regarding lease-to-purchase agreements (LPAs). As such, it’s wise to ensure you know any state-specific laws before entering into an agreement.
LPA requirements in Florida
Must be in writing
Any LPA entered into in Florida must be in writing and signed by both parties. Both parties also need to keep a copy of the signed contract.
LPAs in Florida also need to include the following disclosures – personal and contact details of both parties, property description, all payment options and amounts, financial breakdown of the contract, clarification on any additional charges, tenant’s right to reinstate the contract, terminating the contract, and the details on completing the purchase.