What is the difference between the AS IS contract and the standard contract in Florida?

How does the AS IS contract work?

Florida Realtors describes the AS IS form as one used when the seller does not want to be obligated to make repairs and the buyer wants the right to cancel if not satisfied with the home inspection.

In the 2024 version of the form, the buyer gets an Inspection Period of 15 days after the Effective Date unless another number is filled in. If the buyer decides, in the buyer's sole discretion, that the property is not acceptable, the buyer can terminate by written notice delivered before the period expires, and the deposit is returned. If the buyer does not terminate, the buyer accepts the physical condition of the property.

AS IS does not mean the seller has no duties. The seller must still maintain the property, including lawn, shrubbery and pool, in its condition as of the Effective Date (ordinary wear and tear excepted), and the seller states that it knows of no facts materially affecting the value of the property that are not readily observable.[1][3]

How does the standard contract handle repairs?

The standard form makes the seller responsible for specific conditions. The ceiling, roof, walls, doors, windows and foundation must be free of leaks, water damage and structural damage, and listed systems such as the pool, HVAC, electrical and plumbing must be in Working Condition through closing. Cosmetic conditions are not covered unless caused by a defect the seller must repair.

The seller's spending is capped by three limits. If estimates exceed a limit, the seller may choose to pay the excess, or the buyer may designate repairs up to the limit and accept the rest as is. If neither party acts, either party may terminate and the buyer's deposit is returned.

• General Repair Limit: 1.5% of the purchase price if left blank
• WDO (wood-destroying organism) Repair Limit: 1.5% of the purchase price if left blank
• Permit Limit for open or expired permits: 1.5% of the purchase price if left blank[2]

What is the same in both forms?

Both 2024 forms use the same default timelines: an initial deposit within 3 days after the Effective Date, a 30-day Loan Approval Period for financed purchases, and a walk-through on the day before closing or on closing day. The standard form does not give a general right to cancel for any reason, although it lists an optional rider for a right to inspect and cancel.

Florida Realtors released version 7 of both contracts in December 2024, updating the paragraphs on closing services, brokers' shares of retained deposits and riders, so check the version you are signing. The Florida Bar recommends having a Florida-licensed real estate lawyer review the contract before you sign.[1][2][4][5]