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In this video, Erica from Gokuche Capital discusses the concept of a Letter of Intent (LOI) in real estate. She begins by highlighting a case from 2019 where the Alachua County school board was misled into overpaying for a property. The video emphasizes the importance of understanding LOIs, which are non-binding agreements that outline sale or lease terms, serving as a starting point for negotiations. The final legally binding agreements are the purchase and sale agreements or lease agreements. Erica also notes that LOIs are primarily used in commercial real estate transactions.
