Ever hear someone say “we’re in option” and wonder what that really means? When you buy a home in Arlington or anywhere in Tarrant County, the option period is your short window to fully check out the property and decide if you want to move forward. It can save you from surprise costs and give you leverage to negotiate repairs or credits.
In this guide, you’ll learn what the Texas option period is, how long it usually lasts, typical fees, what inspections to prioritize in North Texas, and how to use this time wisely. You’ll also get a simple step-by-step checklist. Let’s dive in.
Texas option period explained
The option period is a negotiated number of days at the start of your contract when you have an unrestricted right to terminate. You can walk away for any reason if you do it in writing before the deadline. This right exists only if your contract includes the option clause and you pay the option fee.
Most DFW buyers and sellers use the Texas Real Estate Commission forms. The option paragraph in the TREC One to Four Family Residential Contract (Resale) explains the timelines and payments. Always follow the exact contract deadlines.
Option fee vs. earnest money
The option fee is a separate, usually modest amount you pay to secure the option period. It is typically non-refundable and is paid to the party named in the contract. Whether it is credited to you at closing depends on what your contract says.
Earnest money is different. It is a larger deposit held by the title company or broker. If you terminate during the option period, your earnest money is usually returned per the contract. The seller normally keeps only the option fee.
Typical lengths and fees in Arlington
Local practice varies with the market and the property, but these ranges are common in the Arlington and greater Tarrant County area:
- Length: 3 to 10 days. Five days is a common middle ground in many offers.
- Fee: 100 to 500 dollars, with 100 to 300 dollars seen often for single-family homes.
- Competitive offers: Shorter periods, like 1 to 3 days, or higher option fees can help you stand out. On older homes or complex properties, 7 to 10 days is common to allow specialty inspections.
Your 7-day option timeline
Here is a simple example of how to use a 7-day option period effectively:
- Day 0: Contract effective date. Pay the option fee and schedule inspections immediately.
- Days 1–2: General home inspection. Attend if you can, or review the report the same day.
- Days 2–4: Order specialty inspections if needed. Common choices include foundation, roof, HVAC, electrical, plumbing, sewer scope, and termite.
- Days 4–6: Get contractor estimates for any major items so you know real costs.
- Days 6–7: Decide. Send written termination before the deadline or present a repair or credit request and be ready to respond quickly.
Top inspections for Tarrant County homes
North Texas homes face specific conditions. Prioritize these checks to protect your budget and safety:
- Foundation and structure: Expansive clay soils can cause movement. If you see cracks, sticking doors, or uneven floors, add a foundation or structural evaluation.
- Roof: Hail and wind are common in North Texas. Confirm roof age and look for storm damage.
- Sewer line scope: In older neighborhoods, scoping the main line can uncover costly issues.
- Termite and wood-destroying insects: Request a WDI report.
- HVAC and electrical: Confirm age, condition, and safety. Older systems can be expensive to replace.
- Flood risk: Review the FEMA Flood Map Service Center to see if the property is in a special flood hazard area and whether flood insurance may be required.
- Permits and repair history: Check Arlington’s Building Inspections records for past permits on roofs, additions, or structural work.
Typical inspection costs in North Texas vary by size and age of the home. General home inspections often run 300 to 600 dollars. Sewer scopes are usually 100 to 300 dollars. Foundation or structural assessments can range from 300 to 800 dollars. Specialty checks like HVAC, roof, septic, or radon typically add 100 to 500 dollars each.
Smart negotiation during option
Use the option period to gather facts and keep your requests focused.
- Prioritize safety and big-ticket items: Structural concerns, major systems, WDI, and code-related hazards deserve top attention. Avoid cosmetic requests if you want a smoother outcome.
- Use written estimates: Sellers respond better to repair requests backed by contractor bids. Estimates give everyone clarity on cost and scope.
- Choose your path: Repairs before closing, a credit at closing, or an escrow holdback can all work. Credits are often simpler for both sides if timing is tight.
- Coordinate with your lender: Certain loans, like VA or FHA, can require specific repairs. Share inspection findings with your lender early so there are no surprises.
Risks and common mistakes
The option period gives you flexibility, but it is not a cure-all. Keep these points in mind:
- The option fee is usually non-refundable. Budget for it as a cost of due diligence.
- Short option periods can backfire if you cannot schedule specialists in time. Leave enough room for estimates.
- Waiving the option period removes your broad right to walk away. You would be limited to other contract protections.
- Deadlines matter. Notices must be in writing and delivered as the contract requires. Verbal conversations are not enough.
Arlington buyer checklist
Use this quick list to stay on track from day one:
- Confirm the option period end date and exact cutoff time.
- Pay the option fee to the party listed in the contract.
- Schedule a general home inspection immediately.
- Add specialty inspections if needed: foundation, roof, HVAC, electrical, plumbing, sewer scope, WDI, septic or well, and pool.
- Gather contractor estimates for significant items.
- Decide and act before the deadline: terminate in writing or submit a repair or credit request.
- If proceeding, document all agreed repairs or credits and track completion.
Local resources for Arlington buyers
- Review the option paragraph in the TREC One to Four Family Residential Contract (Resale).
- Check flood risk using the FEMA Flood Map Service Center.
- Look up permit history through Arlington’s Building Inspections.
- Confirm tax details with the Tarrant County Appraisal District.
Work with a seasoned local guide
Your option period moves fast. A local team can help you schedule inspections, interpret reports, and negotiate a fair solution before the clock runs out. If you are buying in Arlington, Mansfield, or nearby Tarrant County suburbs, our team’s experience with hundreds of local transactions means you get clear advice and quick action when it matters.
Have questions about timelines, fees, or how to structure a strong offer? Connect with Angelique Burkett for a friendly, no-pressure consult and a plan tailored to your move.
FAQs
What is the Texas option period in home buying?
- It is a negotiated window at the start of your contract that gives you an unrestricted right to terminate for any reason if you pay the option fee and act before the deadline.
How long is a typical option period in Arlington?
- In many Arlington and Tarrant County deals, option periods range from 3 to 10 days, with 5 days commonly used in competitive suburbs.
How much is the option fee for Tarrant County homes?
- Many single-family purchases use 100 to 500 dollars, with 100 to 300 dollars common; higher fees appear in multiple-offer situations.
What happens to earnest money if I terminate during the option period?
- If you terminate in writing before the option deadline, earnest money is typically returned per the contract, while the seller usually keeps the option fee.
Which inspections matter most for North Texas homes?
- Start with a general inspection, then prioritize foundation, roof, sewer scope, HVAC, electrical, plumbing, and a termite or WDI inspection based on the home.
Can I waive the option period to win a bidding war?
- You can, but you lose the broad right to walk away; a shorter period or higher option fee is often a safer way to strengthen your offer.
Is the option fee credited back to me at closing?
- Sometimes; whether the fee is credited at closing depends on your contract language and what you negotiate with the seller.
How do I properly terminate during the option period?
- Deliver written notice as the contract requires before the exact deadline; verbal conversations are not sufficient under TREC contracts.
