What does a right of first refusal in real estate allow an individual to do?

A right of first refusal in real estate is a contractual agreement that gives an individual the opportunity to purchase a property before the owner can sell it to someone else. This means that if the property owner decides to sell, they must first offer the property to the individual holding the right of first refusal under the same terms they would offer to any potential buyers. If the individual declines, the owner can then sell the property to another buyer.

This right is particularly beneficial for someone who wants to ensure they have the opportunity to acquire a property they are interested in, without the risk of missing out due to another buyer's offer. It is essential for creating a preferential purchasing opportunity in competitive real estate markets.

The other options do not accurately reflect the nature of a right of first refusal. Purchasing property without a mortgage pertains to financing options, negotiating after a sale implies involvement post-transaction, and evicting a tenant is related to landlord-tenant law rather than purchasing rights.