have a sample deal they have done with a consumer. This is for a home in Northern California. Here's the basic terms:

- Company bought the home for the consumer in September 2019 for $1,850,000
- Consumer enters in to a 5 year lease agreement with the Company acting as landlord. monthly lease payment = $12,500
- Company and the consumer also enter into a 5 year option purchase agreement. At signing of the lease, consumer paid the Company a $20,000 option fee as consideration for the option.
- Consumer has the right to purchase the house at any time during the exercise period which is between September 2021 and September 2024 (i.e,. a 3 year exercise window)
- The purchase price owed at exercise is subject to a formula that increases over the life of the option, but if the consumer purchased the house at the front end of the option window (September 2021), the purchase price is $2,000,000 and if they purchase at the end of the option period (September 2024) the purchase price is $2,400,000.
- At exercise, the consumer owes the Company a fee = 3% of the Purchase Price, which is then credited against the Purchase Price.
- if the consumer decides not to exercise the option, then the company will pay the consumer a termination payment equal to a formula equal to the original purchase price ($1,850,000) multiplied by a percentage that increases over time (i.e., the later in the period the option is terminated, the higher the payment made by the Company to the Consumer). for example, if the option is terminated at the front end of the option period (Sept 2021), the percentage is 6.25% (i.e. $115,625) and 15% at the end (Sept 2024) ($277,500).
- If the option is exercised and the purchase closes, then the Consumer also earns a credit toward the Purchase Price based on the same formula described immediately above (i.e., exercise early in the exercise period and $115,625 is credited against your purchase price).

So if this for this couple, the Company bought the house in September 2019 for $1.85 million
- couple gives the company $20k for the option
- couple pays the company $12,500 a month in rent
- In September 2021, the couple decides to exercise the option. The Purchase Price for the house is established $2,000,000 according to formula
- The couple has to come up with a fee of 3% to exercise = $60,000
- The Purchase Price is reduced by $115,625 ($1,884,000) . .. also according to formula.

The current Zillow value of the house is $2,300,000 today