Heard “option period” while house hunting in Fort Worth and wondered what it really means for you? You are not alone. This small window can make a big difference in your confidence and negotiating power. In this guide, you will learn what the Texas option period is, typical timelines and fees in Tarrant County, what to do once you are under contract, and the local strategies buyers use to protect themselves. Let’s dive in.
What the option period is
The option period is a negotiated number of days in a Texas residential contract when you have an unrestricted right to terminate for any reason in exchange for paying an option fee. If you terminate properly within that window, you typically get your earnest money back. The seller usually keeps the option fee unless you agree otherwise.
On the standard Texas forms commonly used in Fort Worth, you and the seller fill in both the option period length and the option fee. The contract spells out how to deliver the option notice and where earnest money goes. Follow those instructions exactly.
How it fits in the contract
- You and the seller agree on the number of days and the fee.
- The contract states who receives the option fee and how notices must be delivered.
- Termination has to be in writing and delivered before the option period expires.
Option period vs other protections
The option period is separate from financing, appraisal, and title objections. It gives you an unrestricted termination right. You do not need to prove a default or a specific problem to walk away during the option window. By contrast, financing and appraisal protections are contingency-based and follow their own timelines and rules in the contract.
Timelines and fees in Fort Worth
Option period length is market driven. In many Texas urban areas today, 3 to 7 days is a realistic typical range. In hotter Fort Worth neighborhoods, sellers often push for very short periods like 24 to 72 hours, or buyers sometimes waive the option period entirely to compete. In slower conditions, you may see 7 to 10 days.
Option fees are commonly modest flat amounts, often 100 to 500 dollars. The amount can go higher if you want a longer option period or if the seller asks for more certainty. Whether the option fee is credited at closing depends on the contract you sign.
Earnest money is separate. It shows your intent and is held by the title company according to the contract. Amounts vary by price point and competitiveness, often a few thousand dollars or about 1 to 3 percent of the price.
Delivery deadlines matter. Contracts typically require that you deliver the option fee and the earnest money quickly, often within 1 to 3 days of acceptance. Termination must be delivered in the manner the contract requires and before the option period expires.
What to do during the option period
Treat the option period like a checklist. Your goal is to identify issues, confirm your comfort level, and position yourself to negotiate repairs or credits if needed.
Schedule inspections immediately
- General home inspection by a licensed inspector. Typical cost 300 to 600 dollars.
- Pest or wood-destroying insect inspection. Typical cost 75 to 200 dollars.
- Roof review or certification if condition is uncertain. Typical cost 75 to 300 dollars.
- HVAC, plumbing, or electrical specialist checks if your inspector flags concerns. Typical cost 100 to 400 dollars each.
- Sewer scope or septic inspection if applicable. Typical cost 150 to 450 dollars.
- Foundation or structural assessment if there are signs of movement. Costs vary by specialist.
Review documents and disclosures
- Read the title commitment and exceptions, then raise any concerns quickly with your agent and the title company.
- Review the Seller’s Disclosure Notice and any required Texas disclosures.
- If there is an HOA, review the bylaws, restrictions, and any pending assessments.
Keep your loan moving
Financing timelines are separate, but you should advance loan application steps and get the appraisal ordered promptly. Appraisal scheduling can take 1 to 2 weeks after ordering, so do not wait for the option period to end.
Check neighborhood and utilities
Confirm school zones, commute routes, flood zone status and any insurance requirements, utility providers, and property tax history. Keep your review factual and focus on the data that matters to you.
A 3 to 7 day action plan
- Day 0: Once the contract is accepted, pay the option fee and earnest money as required. Hire the home inspector the same day and order any specialty inspections.
- Days 1 to 3: Complete inspections, review preliminary reports, read the title commitment and seller disclosures, and scan any HOA documents.
- Before the deadline: Decide to proceed, negotiate repairs or credits in writing, or terminate within the option period. If you are negotiating, gather contractor estimates quickly.
Use the option period to protect yourself
You have two main paths. You can terminate for any reason within the option period and recover your earnest money, while the seller keeps the option fee per the contract. Or you can use inspection findings to request repairs or a credit. The seller may accept, counter, or refuse. Any agreement must be written as a contract amendment.
Keep all communication in writing and route it to the parties named in the contract. That includes termination notices and repair requests.
Fort Worth negotiation moves
Seller-favorable moves
- Shorten the option period to 24 to 72 hours or ask buyers to waive it.
- Require a larger earnest money deposit or a higher option fee.
- Offer a credit at closing instead of making repairs, or ask the buyer to accept as-is.
Buyer-favorable moves
- Offer a higher option fee to secure a longer option period.
- Increase earnest money to show strength but keep a workable option window.
- Request quick access for inspections and allow early scheduling to meet a short deadline.
Delivery, deadlines, and money handling
Know the exact option period expiration date and time. Deliver any termination in the manner the contract requires and before it expires. Earnest money typically goes to the title company listed in the contract. The option fee is often delivered to the seller, the seller’s agent, or to the title company depending on the contract language. Confirm the payee and delivery method with your agent.
Common mistakes to avoid
- Waiting to schedule inspections until late in the option period.
- Relying on verbal promises rather than written amendments.
- Waiving the option period without understanding the increased risk.
- Missing the correct delivery method or recipient for termination.
Estimated costs to budget
- Option fee: commonly 100 to 500 dollars.
- Earnest money: varies by price, often a few thousand dollars or 1 to 3 percent.
- General inspection: 300 to 600 dollars.
- Pest inspection: 75 to 200 dollars.
- Roof, sewer, or specialty inspections: 100 to 450 dollars or more.
- HOA resale documents if applicable: often 100 to 300 dollars.
Tips for relocating or first-time buyers
- Ask for a practical option length that fits your travel or scheduling needs. In many cases 5 to 7 days is workable if the market allows it.
- Prioritize items that are hard to verify remotely, such as roof, foundation, and HVAC.
- If a seller pushes for a very short option period, consider offering a higher option fee instead of waiving the option outright.
Ready to move forward?
A smart plan during the option period can save you time, stress, and money. If you are buying in Fort Worth or across Tarrant County, you deserve clear guidance and fast inspection coordination tailored to local practice. For hands-on help planning your option period strategy and negotiating with confidence, connect with the Lori Mayo Real Estate Group. We are a family- and veteran-led team serving North Texas with deep local expertise and a service-first approach.
FAQs
What is the Texas option period in a home purchase?
- It is a negotiated window when you can terminate for any reason by paying an option fee, and you typically recover your earnest money if you terminate properly within that period.
How long is a typical option period in Fort Worth?
- Many transactions land in the 3 to 7 day range, though hot neighborhoods may see 24 to 72 hours and slower markets may allow 7 to 10 days.
How much is a typical option fee in Tarrant County?
- Option fees often run 100 to 500 dollars, and can be higher if you want a longer option period or if the seller asks for more certainty.
Is the option fee refundable if I terminate?
- The seller usually keeps the option fee, while your earnest money is returned if you terminate correctly within the option period per the contract.
What happens to my earnest money if I back out during the option period?
- If you deliver termination properly before the option period expires, you generally recover your earnest money according to the contract.
Can I waive the option period to make my offer stronger?
- You can, but it removes your unrestricted termination right and increases risk; many Fort Worth buyers instead shorten the period or offer a higher option fee.
Who receives the option fee and earnest money?
- Earnest money is typically deposited with the title company; the option fee is delivered to the party named in the contract, often the seller or as directed in the contract instructions.
What should I do first once my offer is accepted?
- Pay the option fee and earnest money on time, schedule the general home inspection immediately, and order any necessary specialty inspections.
