Cuevas, Garcia & Torres, P.A.
contact Our Firm Today
Toll free – 877-801-4135

Miami – 305-461-9500

Orlando – 407-992-2251

Key components of a residential real estate contract

Buying or selling a home in Florida is nearly always accompanied with signing a contract. While these documents provide legal protection for both the buyer and seller, many people are unaware of the items to look for to guarantee that protection.

For example, reports that confusing or unclear language can lead to losing a sale, as was the case when a couple in Florida offered $620,000 for a home contingent upon the language that the property could not appraise for less than that amount. The seller secured an appraisal above that number, and the buyers got an appraisal for much less. When the buyers canceled the sale, the seller took the couple to court, claiming breach of contract. A state court of appeals ruled that the buyers were within their rights, as the contract language inferred that no appraisal could come in below the sale price.

Experts advise that a real estate contract should include clarity in a number of sections, including the following: 

  •        The inspection: There should be a contingency to protect the buyer in the event that the inspection turns up unsatisfactory results.
  •        Financing: Sellers should be aware that sections related to financing could indicate that a buyer can keep his or her earnest money if a loan falls through.
  •        Closing costs: Who is responsible for paying the closing costs? This is usually negotiated during the sale.
  •        Selling an existing home: Many contracts are contingent upon a buyer selling an existing home.
  •        Warranty: Is there a home warranty in place to cover the cost of certain repairs?

Florida Realtors points out that buyers should especially pay attention to as-is home sale contracts. These include a section that dictates that if a buyer moves into a home before closing, then the buyer accepts the property in the condition it is in, no questions asked. Reading the fine print on any contract or having a professional explain the documents is advisable.

No Comments

Leave a comment
Comment Information
The Florida Bar | 1950 American Bar Association DADE County Bar Association | 1916 Orange County Bar Association Coral Gables Bar Association American Immigration Lawyer Association

Contact Us Today. Call 877-801-4135 or complete this form to schedule a consultation with our legal experts.

Bold labels are required.

Contact Information

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.


Privacy Policy

Offices Conveniently Located in Miami And Orlando
Google+ Facebook

Miami Dadeland Office
7300 North Kendall Drive
Suite 680
Miami, FL 33156

Toll Free: 877-801-4135
Phone: 305-461-9500
Fax: 786-362-7127
Map & Directions

Midtown Miami Office
3401 North Miami Avenue
Suite 209
Miami, FL 33127

Toll Free: 877-801-4135
Phone: 305-461-9500
Fax: 786-362-7127
Map & Directions

Orlando Office
801 North Magnolia Avenue
Suite 221
Orlando, FL 32803

Toll Free: 877-801-4135
Fax: 786-362-7127
Map & Directions

Email This Office