option to buy
noun[C]
ukus(alsooption to purchase)FINANCE,STOCK MARKET
anagreementthat gives aninvestortherighttobuyaparticularnumberofshares, or otherfinancialassets, at afixedpriceand before afixeddate:
TheoptiontobuyexpiredlastFriday.
FINANCE,COMMERCE
anagreementin which acompanybuysaproductfrom anothercompanyand has therighttobuymore of thatproductlater, but does not have to do so:
exercise/have/receive an option to buyTheexecutivecanexercisetheoptiontopurchaseand thenresellit into themarketat thehigherprice.
FINANCE,PROPERTY
afinancialagreementthat gives someone therighttobuypropertyorlandwithin anagreedtimeand for anagreedamount,especiallyafter they haverentedit for aparticularamountoftime:
Thecityleasedthebuildingto Rescue Ministries in 2009with anoptiontobuy.
Cityofficialssigneda $5,000 90-dayoptiontopurchaseon thebuilding, which islocatedin theheartofdowntown.
Compare
rent-to-own