From the Broker · Florida Contracts

What the ASIS Contract Really Means in Florida Real Estate

An ASIS offer does not mean the buyer accepts every condition at face value—and it does not mean the seller must agree to every repair request.

The Common Misconception

“The buyer offered on an ASIS Contract, so the buyer cannot ask me to fix anything.”

Many sellers believe an ASIS offer is a promise to accept the home exactly as it appeared when the offer was made.

What the Contract Actually Does

Requests are allowed. Agreement is optional.

The buyer may inspect, investigate and request a repair, credit or price adjustment. The seller may accept, reject or counter that request. The buyer’s remaining choices depend on which contractual rights are still available.

A Balanced Framework

The ASIS Contract preserves choices for both sides.

It separates the buyer’s ability to investigate from the seller’s obligation to repair. A request begins a negotiation; it does not rewrite the contract.

B

The buyer may ask.

Inspection findings, insurance conditions and lender requirements may lead the buyer to request repairs, credits, price changes or another written solution.

S

The seller may say no.

The ASIS inspection provision generally does not obligate the seller to complete requested repairs merely because the buyer, lender or insurer wants them.

C

The contract determines what follows.

A refusal does not automatically force the buyer to close. Inspection, financing, title or rider protections may still provide a valid exit.

Where the Leverage Comes From

Five parts of the contract may shape the outcome.

No single paragraph should be read in isolation. These provisions work together, and their usefulness depends on the selections, deadlines, notices, riders and modifications in the executed agreement.

2

Purchase Structure

Identifies deposits, financing amount and balance to close. It establishes the transaction’s financial structure and the deposit that may be returned or placed at risk.

8

Financing

Creates financing rights when selected and preserved. Timely notice is critical, and certain unmet property-related conditions of Loan Approval may remain important through closing.

9

Title & Closing

Addresses title evidence, insurance, costs and related closing matters. A title defect follows a different process from a roof, HVAC or physical-condition concern.

12

Inspection

Allows desired inspections and, during the negotiated period, a sole-discretion termination right through timely written notice if the property is unacceptable.

18

The Standards

Supplies the rules for title, time, notice, delivery, written modification and other procedures that make the earlier contract rights function.

Rights Change With Time

A repair conversation can have different consequences at different stages.

Stage One

Inspection period open

The buyer may request a solution and may still hold the broad Paragraph 12 sole-discretion right to terminate through timely written notice.

Stage Two

Financing period active

A properly financed buyer may have rights under Paragraph 8 if Loan Approval cannot be obtained and the required notice is delivered before the applicable deadline.

Stage Three

Approaching closing

Preserved financing protection, unmet property-related conditions of Loan Approval, title matters and applicable riders may still affect whether the transaction can close.

Important: Paragraph 8 is not always completely moot when the Loan Approval Period ends. If the buyer preserved the applicable financing rights, Paragraph 8(b)(vi) may remain relevant when closing later fails because a property-related condition of Loan Approval has not been met. A buyer who failed to provide required notice may face a very different result.
Real-World Friction

Some “repair requests” begin with the lender or insurer.

A buyer may want the property exactly as it sits while still being unable to obtain the insurance or financing required to close.

  • Water-quality results
  • Rotten or damaged wood
  • Termites or pest damage
  • Older or damaged roof
  • Older HVAC equipment
  • Older water heater
  • Four-point deficiencies
  • Electrical concerns
  • Structural conditions
  • Insurance unavailable to bind

The seller still controls the response.

A seller is not required to take on an expensive repair merely because a particular buyer chose FHA, VA or another loan program with property requirements. The seller may decide that permitting cancellation and returning to market for a conventional or cash buyer is preferable—subject to the existing contract and any rights already preserved by the buyer.

Paragraph 12

The ASIS and Standard Contracts handle repairs differently.

The contract selected can materially change the parties’ repair obligations and cancellation options.

ASIS Contract

  • Buyer may conduct desired inspections during the negotiated period.
  • Buyer may terminate in sole discretion before the inspection deadline through proper written notice.
  • Paragraph 12 does not create a general seller repair obligation.
  • Parties remain free to negotiate a voluntary written solution.

Standard Contract

  • Paragraph 12 establishes standards for covered property conditions.
  • The seller may be obligated to repair covered items up to the limits negotiated by the parties.
  • Separate limits may apply to general repairs, wood-destroying organisms and permit matters.
  • If costs exceed an applicable limit, Paragraph 12 provides additional choices for the parties.
What ASIS Does Not Eliminate

The seller still has contractual and disclosure obligations.

ASIS does not authorize concealment and does not erase the rest of the agreement. Depending on the transaction, the seller may still be responsible for:

1

Known latent facts

Florida residential sellers must disclose known facts materially affecting value when they are not readily observable and are not already known to the buyer.

2

ASIS maintenance

Paragraph 11 requires the seller to maintain the property in the condition existing as of the Effective Date, except for ordinary wear and tear and casualty loss.

3

Other contract duties

Access, utilities, title, written addenda, casualty provisions and other negotiated obligations continue to apply when the ASIS Contract is used.

Continue Learning

Understand the deadlines behind the negotiation.

Florida Inspection Period Calculator & Best Practices→ Florida Escrow Deposit Deadline Calculator→

The strongest negotiations begin with understanding the contract.

DW&Co. helps Florida buyers and sellers evaluate their choices, preserve important deadlines and negotiate from an informed position.

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This page provides general educational information about the ASIS and Standard Contracts commonly used in Florida residential transactions. Contract selections, handwritten terms, addenda, riders, notices, deadlines, financing, title matters and individual circumstances can materially change the parties’ rights and obligations. Nothing on this page determines whether a party may terminate, whether a deposit must be returned, whether a repair is required or whether a party is in default. It is not legal, lending, insurance, inspection or title advice. Consult the executed contract and the appropriate licensed professional or a Florida real estate attorney.

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