Buying a home in North Richland Hills comes with a few Texas‑specific steps, and the option period is one you want to get right. It is your short window to inspect, negotiate, and decide with confidence, without putting your earnest money at risk. In this guide, you will learn exactly how the option period works, what it costs locally, and the steps to protect your money and your deal. Let’s dive in.
What the option period is
The option period is a negotiated, buyer‑controlled due‑diligence window in the standard TREC resale contract. During this time, you may terminate the contract for any reason and preserve your earnest money, as long as you meet the contract deadlines and delivery rules. The option period exists only if you set the length in the contract and pay an option fee to the seller as the contract provides.
Option fee vs. earnest money
- Option fee: Paid to the seller for the unrestricted right to terminate during the option period. It is usually non‑refundable if you continue with the purchase, though it can be credited back at closing if the contract says so.
- Earnest money: A separate deposit held in escrow by the title company or broker. It is generally refundable if you terminate properly during the option period or under another valid contingency. If you breach the contract, you could forfeit it.
- Bottom line: The option fee buys flexibility. The earnest money shows good faith.
Local norms in North Richland Hills
Option periods in the DFW suburbs commonly run 3 to 10 days. A 7‑day period is typical in many North Richland Hills resale deals. In very competitive situations, you may see shorter windows of 3 to 5 days to appeal to sellers.
Option fees vary with market pressure, price point, and property condition. In balanced conditions, fees of about 100 to 300 dollars are common. In hotter segments, buyers sometimes offer 500 dollars or more to strengthen an offer, or they may waive the option period entirely, which increases risk.
How market conditions affect your terms
- In a seller’s market or with multiple offers, expect shorter option periods or higher fees to stand out.
- In balanced or buyer‑friendly conditions, you can often secure 7 to 10 days and keep fees on the lower end.
- Your strategy should match the property’s price band, condition, and demand level in its specific neighborhood.
North Richland Hills practical checks
- Many neighborhoods have HOAs. Request the HOA packet right away since it can include rules, fees, and restrictions that affect your decision.
- Confirm property details and tax records with county resources early in the process.
- If a home sits near a creek or low area, review floodplain and elevation information promptly. Insurance and inspection needs can be different for these homes.
How to use the option period well
Treat the option period like a project plan. Move fast on inspections, keep everything in writing, and know your deadline.
Before or at the effective date
- Confirm the option period length, the exact option fee amount, and who is to receive it.
- Verify the earnest money amount, where it will be held, and the deposit deadline.
- Confirm acceptable delivery methods for notices, including email addresses for both sides. Ask how the seller wants to receive the option fee.
Day 0 to 1: Pay and schedule
- Pay the option fee per the contract instructions.
- Schedule a licensed general home inspection, a WDI or termite inspection, and any specialists you may need, such as roof, HVAC, electrical, plumbing, pool, or septic.
- Request HOA documents right away if applicable. Ask the title company to start a quick title check.
Mid‑period priorities
- Attend inspections and review the reports. Get written estimates for any major items.
- Read the seller’s disclosure carefully and compare it to what the inspector found.
- Review any floodplain, easement, or survey concerns and request a seller‑provided survey if available.
Late in the period: negotiate or terminate
- If you want repairs or credits, submit a written repair request or an Amendment that spells out your terms. Include estimates when asking for credits.
- Negotiate to resolution before the option deadline. The seller can accept, reject, or counter.
- If you choose to walk away, deliver a written termination notice before the deadline using the contract forms and agreed delivery method.
- If you terminate properly within the option window, your earnest money is typically returned. Confirm next steps with the title company.
Example 7‑day timeline
- Day 0: Contract goes effective, you pay the option fee, deposit earnest money, and schedule inspections.
- Day 1 to 2: Complete general, WDI, and specialist inspections. Request HOA documents.
- Day 3 to 5: Review reports and quotes. Talk with your lender about any items that could affect the loan or appraisal.
- Day 6: Send a repair request or Amendment if needed. Prepare a termination notice just in case.
- Day 7: Finalize negotiations or deliver written termination before the deadline.
Protect your earnest money
- Know your deadline and set reminders. The option right expires if you miss it.
- Use written notices only, delivered the way your contract specifies. Keep proof of delivery with timestamps.
- Store inspection reports, quotes, emails, and signed forms together in one folder.
- Coordinate with your agent and the title company about earnest money release procedures if you terminate.
Should you waive the option period
Some buyers consider waiving the option period to compete. Understand the risk. If you waive it, you lose the unrestricted right to terminate based on inspections. You may still have other contingencies, but you give up a key safety net. In most cases, a shorter option period and a stronger fee can balance risk and competitiveness without removing your inspection exit.
How we support North Richland Hills buyers
You deserve a calm, clear plan during the option period. Kramer Real Estate brings local experience, a trusted network of inspectors and contractors, and a negotiation approach that fits the market and the home. We help you schedule inspections fast, review reports, structure smart repair requests or credits, and keep your paperwork and deadlines tight so your earnest money stays protected.
Ready to shop with confidence in North Richland Hills? Reach out to Jason Kramer for a focused plan that fits your timeline and budget.
FAQs
What is the Texas option period in a home purchase
- It is a negotiated window in the TREC contract that lets you terminate for any reason within the deadline and keep your earnest money, provided you followed the contract rules.
How much is a typical option fee in North Richland Hills
- In balanced markets, 100 to 300 dollars is common, while hotter segments may require 500 dollars or more to strengthen your offer.
How long does the option period last and when does it start
- It typically lasts 3 to 10 days and starts on the contract’s effective date, with 7 days common in many local resale deals.
Can I get my earnest money back if I terminate during the option period
- Yes, if you deliver written termination before the option deadline and meet contract requirements, your earnest money is generally refundable.
What happens if inspections find big issues after the option period ends
- Your leverage is limited unless another contingency applies, so complete inspections and negotiations before the option deadline.
Should I waive the option period to win a bidding war
- It increases risk because you give up the unrestricted right to terminate based on inspections, so a shorter period with a stronger fee is often a safer strategy.
