Option contracts are the least likely to be unilateral in real estate, and here’s why.

Understanding contracts in Arizona real estate isn’t just about memorizing clauses. It’s about feeling the rhythm of promises—who is on the hook, when the obligation kicks in, and how the pieces fit together when a deal moves from open offer to closing.

Let’s start with a simple idea: unilateral vs bilateral. A unilateral contract is like a one-way promise. One party makes a promise, and the other party doesn’t owe anything unless the first party keeps their word and takes a specified action. A bilateral contract, by contrast, is a two-way street—both sides swap promises, and each promise helps move the deal forward.

Now, let’s look at a specific question that often pops up in conversations about Arizona contract types: Which type of contract is least likely to be unilateral?

• A. Residential resale purchase contracts

• B. Brokerage and real property seller agreements

• C. Option contracts

• D. Independent contractor agreements

If you’re reading this for the first time, you might think, “Okay, option contracts are one-sided because they’re about keeping an offer open.” And you’re not completely off base. In many explanations, an option contract is described as a unilateral arrangement—the seller or the option grantor promises to hold an offer open, while the buyer (the option holder) isn’t obliged to buy unless they decide to exercise the option within the time frame. That’s the classic textbook line.

But here’s the nuance that tends to surface in real estate practice in Arizona: the other contract types listed—residential resale purchase contracts, brokerage and seller agreements, and independent contractor agreements—tend to involve mutual obligations that bind both sides. Let me explain each in plain terms, then connect them back to the idea of unilateral versus bilateral.

Option contracts explained (the one people often point to)

• What makes them feel unilateral: The core action is one party’s promise to keep an offer open or grant a future right, and the other party has the choice to exercise that right. If the option holder exercises, a separate agreement—such as a purchase agreement—usually comes into play, and that’s where the bilateral nature becomes clearer.

• The Arizona angle: In many real estate contexts, an option gives the buyer an exclusive right to buy at a set price within a window. The seller’s or optionor’s obligation to keep the offer open is the defining one-way promise. If no one exercises, nothing else binds the parties. It’s the classic setup that can feel unilateral at first glance.

Residential resale purchase contracts (the mutual road)

• Why they’re not unilateral: A residential resale purchase contract typically lays out promises on both sides. The buyer promises to pay a price and follow through with the loan, inspections, and closing conditions. The seller promises to transfer title, disclose known defects, and cooperate toward a timely closing. Each side has affirmative duties, and performance by one side often triggers performance by the other.

• Real-world vibe: Think of it as a two-way street where both parties are anchoring the deal with commitments. If the buyer stalls, the seller can’t close; if the seller stalls, the buyer can walk or seek remedies. The obligations aren’t one-sided.

Brokerage and real property seller agreements

• Why these feel bilateral: A brokerage agreement commits the broker to represent the seller under agreed terms, while the seller commits to cooperating—sharing information, granting access, and paying the broker’s fee if a closing occurs. The flip side is the seller’s ongoing obligation to act in good faith and provide necessary disclosures. Even though one party may bear a larger financial risk, there’s a mutual expectation and mutual performance woven into the contract.

Independent contractor agreements

• The mutual thread: Real estate professionals, like agents or contractors, often sign agreements that spell out duties, compensation, and standards of performance for both sides. The agent agrees to perform certain services; the broker or principal agrees to compensate and support those services. It’s a relationship built on reciprocal expectations—both sides doing their part.

So, which type is least likely to be unilateral? If you parse the typical language and the practical flow of transactions, option contracts usually sit closer to unilateral in nature. They’re built around a one-sided promise that creates a future option, with the actual act of purchase or sale often triggering a separate, bilateral arrangement. The other three categories—residential resale contracts, brokerage and seller agreements, and independent contractor agreements—are more naturally bilateral because they rest on mutual promises and reciprocal duties.

Here’s a grounded way to think about it in everyday terms, not just theory:

• You know that feeling when you’re holding a concert ticket. The ticket holds a seat for you; you’re not obliged to show up, but if you do, the event happens. That “hold” is like an option contract—one party has a right, the other has a promise to keep that right open for a time. Until you exercise, there’s not much binding on you.

• Now imagine you’ve actually bought a house in a real estate deal. The moment you sign the purchase agreement, both you and the seller promise things: money, title transfer, disclosures, inspections, and a closing date. That’s a bilateral dance—two sides making promises and keeping them.

A few practical takeaways you can keep in mind

• Identify who has the obligation to perform. In a typical bilateral contract, performance is expected from both sides. In a unilateral setup, one side’s performance isn’t required until the other side acts.

• Watch the timing. Option-style arrangements hinge on a window of time. The option gives a limited period during which a future decision becomes binding.

• Look for a separate binding act. Often, exercising an option leads to another contract (for example, a purchase agreement). That subsequent contract shifts the dynamic from unilateral to bilateral as both sides commit to the deal.

A quick memory aid that sticks

• If the contract is about keeping an offer open or granting a future right and the other party has no obligation to do anything right away, you’re in unilateral territory. If the contract requires promises and performance from both sides in one integrated agreement, you’re dealing with bilateral territory.

• In Arizona real estate language, you’ll often see option rights described as a gateway to a potential deal. They’re the hinge that leads to a bilateral path if the option is exercised.

A few concrete examples from everyday real estate life

• An option contract for a piece of property: The seller promises not to revoke the offer for a set period, in exchange for consideration from the buyer. The buyer isn’t obligated to buy, but if they exercise the option, a purchase agreement (with all its mutual promises) follows.

• A traditional residential resale contract: The buyer agrees to buy at a price if certain conditions are met, while the seller agrees to transfer title and disclose material facts. Both sides have ongoing duties through to the closing.

• A broker engagement: The seller hires a broker to find a buyer, and the broker promises to market the property and show it; the seller agrees to cooperate and pay a fee if a transaction closes. Both sides have obligations that bind them to perform.

• An independent contractor agreement in a real estate team: The contractor promises to deliver specific services, while the team or broker promises compensation and support. The arrangement rests on mutual expectations.

Grounding this in Arizona specifics

• Arizona’s real estate environment values clarity around who does what and when. The state’s real estate commission materials and the Arizona Association of Realtors resources often emphasize the importance of understanding whether a contract is primarily one-sided (unilateral) or has reciprocal duties (bilateral). In practice, option-style provisions are treated with particular attention because they shape the timeline and the sequence of obligations that follow.

• When you’re reviewing documents, flag the parts that spell out “promises” and “obligations” for both parties. If the document looks like it’s only promising something from one side until an event occurs, you’re likely looking at a unilateral element. If both sides commit to actions and remedies, you’re in bilateral territory.

To wrap it up

The landscape of contract types you’ll encounter in the Arizona 6-Hour Real Estate Contract course content is really about understanding where promises live and how they get executed. Option contracts tend to be the standout example that starts with a one-sided promise but can lead you into a broader, bilateral agreement once the option is exercised. The other three categories—residential resale purchases, brokerage and seller agreements, and independent contractor agreements—rely more consistently on mutual promises and reciprocal duties.

If you’re ever unsure, a simple litmus test helps: who is required to act next, and who would be harmed if they don’t? That question usually points you toward whether you’re dealing with unilateral nuance or a bilateral agreement in motion.

And if you want to keep this straight as you read real estate documents, remember the everyday analogy of the ticket hold versus the actual trip. The hold is one-sided and time-limited; the trip is a mutual journey with shared responsibilities. In Arizona contracts, that distinction guides how you interpret promises, plan the timeline, and ensure a smooth path from offer to closing.