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	Real Estate Investment Real Estate Option Real Estate Investing How to get started Common mistakes Tips to finding a good deal   Property Investments Real Estate Option Tax Liens Wholesaling Seller Finance or 'Subject to' Short Sale or Pre-foreclosure Rehabbing Raw Land Mortgage Investing Birddogging Condo Hotel Hard Money Lenders Lease Option   Appraisal MARKET VALUE explained A real estate option is very similar to a stock option in the sense that an owner of a property may sell an option, which in turn would be bought by someone else on or before a future date, at a predetermined price. The buyer of the option thus hopes that the value of the property will either go up or is already low and he will pay a premium for this option. He may thereafter either exercise the option by buying the property or sell the real estate property option to someone else to exercise. This is often done to obtain control over a property in spite of not having much cash. Option premiums are usually non-refundable and these options may be recorded at the county recorders office.