The Florida AS IS Residential Contract for Sale and Purchase — commonly called the FAR/BAR AS IS contract — is the most widely used purchase agreement in Florida real estate. The words "AS IS" sound alarming to many buyers, but they don't mean what most people think.

What "AS IS" Actually Means

"AS IS" in the Florida contract means the seller is not obligated to make any repairs. The seller is not agreeing to fix anything found during the inspection period. However:

  • The buyer still has a full inspection period to investigate the property.
  • The buyer can cancel the contract for any reason during the inspection period and receive their full earnest money deposit back.
  • The seller is still legally required to disclose known material defects under Florida law (Johnson v. Davis, 1985).

Think of it this way: "AS IS" defines what the seller will do (no repairs), not what the buyer can do (still inspect and walk away).

The FAR/BAR Contract: Florida's Standard Form

The Florida Association of Realtors and the Florida Bar jointly publish the standard contract forms used in most Florida residential transactions. The two primary forms are:

  • FAR/BAR AS IS Contract — Seller makes no repairs; buyer has inspection rights and cancellation right.
  • FAR/BAR Standard Contract — Allows buyer to request repairs or credits after the inspection, with a negotiated repair limit.

The AS IS contract is by far the more common form used in Florida today, particularly in active markets.

Buyer's Rights Under the AS IS Contract

Despite the "AS IS" language, buyers have substantial protections:

  • Inspection period: The length is negotiated (commonly 10 to 15 days) and begins the day after the effective date of the contract. During this window, buyers may conduct any inspections they choose.
  • Right to cancel: The buyer can cancel for any reason — or no reason at all — during the inspection period by delivering written notice to the seller or seller's agent. The earnest money deposit is returned in full.
  • Disclosure protections: Even in an AS IS sale, the seller must disclose known material defects that are not readily observable. Hiding a known roof leak, for example, can expose a seller to legal liability.

Can Buyers Still Negotiate After Inspection?

Yes — but the seller has no obligation to respond. If a buyer's inspection reveals significant issues, the buyer can:

  1. Proceed with the purchase as-is.
  2. Cancel within the inspection period and receive their deposit back.
  3. Request a price reduction or credit — the seller may agree, refuse, or counter.

In practice, even with AS IS contracts, negotiations over price or credits often occur after inspections. The seller simply has the right to say no and the buyer must decide whether to proceed or walk away.

Common Misconceptions

  • Myth: "AS IS means the seller doesn't have to disclose anything." — False. Florida Statute 689.261 and the Johnson v. Davis case law still require disclosure of known material facts.
  • Myth: "AS IS means the buyer has no recourse." — False. Buyers can still cancel during the inspection period. After the inspection period expires, buyers lose their right to cancel based on inspection results but may still have remedies if the seller actively concealed material defects.
  • Myth: "AS IS is always bad for buyers." — Not necessarily. AS IS contracts are standard in Florida. An experienced buyer who conducts thorough due diligence is well-protected.
Key takeaway: The AS IS designation shifts repair responsibility to the buyer — it does not eliminate the buyer's right to inspect or walk away, and it does not eliminate the seller's disclosure obligations under Florida law.

This article is for informational purposes. For advice on a specific transaction, consult a licensed Florida real estate attorney.

Have questions about your specific situation? Every real estate transaction is unique. Call or email HP Singh at Coastal Group Brokers for personalized guidance.