A "Purchase Option" is a contractual agreement that gives a buyer the right, but not the obligation, to buy an asset at a predetermined price within a specified time frame. This option is often used in real estate transactions, allowing potential buyers to secure a property while they decide whether to proceed with the purchase. In addition to real estate, purchase options can also apply to other assets, such as vehicles or equipment. They provide flexibility for buyers, enabling them to evaluate their investment without the immediate commitment to buy, which can be beneficial in fluctuating markets.