Canceling an AS IS Contract

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The Florida Realtors/Florida Bar AS IS Contract for Sale and Purchase is very clear on how and when a buyer may cancel.

When can a termination occur?

The buyer has up to 15 days to have the property inspected. He/she may terminate the contract for any reason before the end of the inspection period.

How does the buyer communicate to the seller that he/she is cancelling?

In writing. This can be in the form of a Release and Cancellation notice or via mail, personal delivery or electronic media. An email from a buyer’s agent to the listing agent is sufficient. It should clearly indicate the buyer’s intent to cancel before the end of the inspection period.

Does the seller have to sign the Release and Cancellation notice?

There is nothing in the contract that requires the seller to approve or sign off on the buyer’s intent to cancel. An escrow agent may require the seller to execute the notice before returning the deposit money. That won’t affect the buyer’s initial notice of cancellation.

 

Remember – requirements vary depending on the contract used. It’s important to carefully review the contract to determine when a party may cancel and what must be done to terminate.

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Levitan Realty

5628 Strand Blvd, Ste 2,
Naples, Florida 3411

Ph: (239) 290-5454

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