Land records · Parcel maps · October 6, 2026
What Is a Right of First Refusal in Real Estate?
What is a right of first refusal in real estate? A right to match an offer before the owner sells to someone else. How it works, recording, and pitfalls.
What is a right of first refusal in real estate? A right of first refusal, often shortened to ROFR, gives someone the right to buy a property on the same terms as a third-party offer before the owner can accept that offer. The owner is not required to sell. But if the owner decides to sell and gets an acceptable offer, the holder gets a chance to match it within a set time. ROFRs appear in leases, family agreements, HOA documents, co-ownership agreements, and some deeds. This page is general land-records background, not legal advice.
How a ROFR typically works
- The owner receives a bona fide offer from a buyer.
- The owner notifies the ROFR holder with the offer terms.
- The holder has a set period, often 10 to 60 days, to match.
- If the holder matches, they buy on those terms. If not, the owner can sell to the third party on the same terms.
If the owner later changes the deal materially, such as lowering the price, the right may come back into play.
ROFR vs option vs right of first offer
| Right | What it gives |
|---|---|
| Right of first refusal | Chance to match a third party’s offer |
| Right of first offer | Chance to make the first offer before the owner markets the property |
| Option to purchase | Right to buy at set terms during a set period, regardless of other offers |
Where you will find them
- Leases, especially commercial leases and farm leases.
- Family land agreements, so relatives can keep property in the family.
- Co-ownership or tenancy in common agreements.
- Condo and HOA documents, in some older communities.
- Deeds, when a seller wants a chance to buy back land.
- Government or utility agreements on certain parcels.
Recording and notice
A ROFR in a lease or private agreement may not appear in land records unless a memorandum is recorded. A recorded ROFR shows up in a title search and is listed on the title commitment. Buyers who ignore a recorded ROFR risk having their purchase challenged. See what is a memorandum of lease.
Common pitfalls
- Vague terms: unclear notice rules or deadlines invite disputes.
- Non-cash deals: an offer with a property swap or financing contingency can be hard to “match.”
- Packaged sales: selling the ROFR property together with other land complicates matching.
- Old, forgotten ROFRs: they can cloud title years later. See what is a cloud on title.
- Duration limits: some states limit how long such rights can last.
Releasing a ROFR
If the holder waives the right for a specific sale, the title company may require a recorded waiver. To end it permanently, the holder can sign a release.
Bottom line
A right of first refusal lets the holder match a third party’s offer before the owner sells. It does not force a sale. ROFRs show up in leases, family and co-ownership agreements, and some deeds, and recorded ones appear in title searches. Get waivers or releases in writing and recorded. Find county land records via the Platbookmapper map.
What is a right of first refusal in real estate FAQ
Does a right of first refusal force the owner to sell?
No. It only applies if the owner decides to sell and receives an acceptable offer.
How long does a ROFR holder have to decide?
Whatever the agreement says, often 10 to 60 days.
Is a right of first refusal recorded?
Sometimes. Recorded ROFRs appear in title searches; unrecorded ones may not.
What is the difference between a ROFR and an option?
An option lets the holder buy at set terms anytime during the option period; a ROFR only lets them match an offer.
Can a right of first refusal be waived?
Yes, usually in writing. Title companies often want the waiver recorded.