[retiredguy123]

Originally Posted by kingofbeer

I understand that Villages agents are licensed real estate agents.
Seems many are confused about this cancellation issue. The most common real estate contract in Florida is called an AS-IS contract. Section 12 has an inspection period which gives the buyer a right to cancel within 15 days after the effective date. After cancelled, the seller must return the deposit. I have cancelled out of these contracts before a few times. You can cancel for any reason.

Look at section 12 in the contract.
https://peopleschoicerealty.com/wp-c...-version-1.pdf

According to a sales agent that I discussed this with, The Properties of the Villages does not use "as-is" contracts, unless the house is in very bad condition. A typical Villages resale contract is NOT an as-is contract. You are correct that, if you use an as-is contract, the buyer can cancel the contract for any reason. But, if it is not an as-is contract, the buyer is locked in to the sale unless there is a specific clause in the contract that allows the buyer to cancel the sale.

[SoCalGal]

Originally Posted by kingofbeer

I understand that Villages agents are licensed real estate agents.

That is correct. You can verify the real estate license of any Villages agent here.

MyFloridaLicense.com

[retiredguy123]

Originally Posted by kingofbeer

You can cancel for any reason. You can cancel because you found another house down the street that you like better.

Not correct unless it is an "as-is" sales contract which are not typically used for Villages resales.

[retiredguy123]

Originally Posted by SoCalGal

The Villages employs nearly 400 licensed real estate agents.

Correct, but they are not "Realtors" because The Properties of the Villages is not a member of the NAR, The National Association of Realtors. Also, any person who sells real estate for a commission must have a state license or they are violating the law.

[jrref]

I don't understand. I thought you can backout of the contract pending the inspection. Meaning if the inspection finds something that you find unacceptable, you can backout. I thought my contract had this clause. If you didn't have a clause like this and couldn't backout why would you have the inspection? Wouldn't you pretty much be buying the home "as-is"? True the owner would have the option to correct any findings. In NY, you can backout up to the closing and get your deposit back.

[retiredguy123]

Originally Posted by jrref

I don't understand. I thought you can backout of the contract pending the inspection. Meaning if the inspection finds something that you find unacceptable, you can backout. I thought my contract had this clause. If you didn't have a clause like this and couldn't backout why would you have the inspection? Wouldn't you pretty much be buying the home "as-is"? True the owner would have the option to correct any findings. In NY, you can backout up to the closing and get your deposit back.

Maybe in NY, but not in Florida. If the inspection reveals minor defects, the seller can correct the defects and the buyer must buy the house or risk losing their earnest money. Minor defects are sometimes defined as 3 percent of the sales price, which can be very subjective.

[jrref]

Originally Posted by retiredguy123

Maybe in NY, but not in Florida. If the inspection reveals minor defects, the seller can correct the defects and the buyer must buy the house or risk losing their earnest money. Minor defects are sometimes defined as 3 percent of the sales price, which can be very subjective.

So, if the inspection finds a crack in the foundation or the home needs a new roof then can the buyer backout even if the seller agrees to fix the problems?

My thoughts are, if there is a severe crack in the slab or some severe drainage issue or something more significant is found, eventhough the seller agrees to fix the problem, I might not want to by the house.

Or another situation where the inspector finds evidence that the house had a fire or a flood and the damage was repaired. Again, I might not want to purchase that house or at least I would want to re-negioate the price.

So what protections does the buyer have?

[dewilson58]

Originally Posted by jrref

So what protections does the buyer have?

The written contract.

[Bill14564]

Originally Posted by retiredguy123

Maybe in NY, but not in Florida. If the inspection reveals minor defects, the seller can correct the defects and the buyer must buy the house or risk losing their earnest money. Minor defects are sometimes defined as 3 percent of the sales price, which can be very subjective.

My 2018 contract was not an As-Is contract. The threshold in y contract was 1.5%. Below that must be repaired and above that the seller had the option to cancel the contract.

[retiredguy123]

Originally Posted by jrref

So, if the inspection finds a crack in the foundation or the home needs a new roof then can the buyer backout even if the seller agrees to fix the problems?

My thoughts are, if there is a severe crack in the slab or some severe drainage issue or something more significant is found, eventhough the seller agrees to fix the problem, I might not want to by the house.

Or another situation where the inspector finds evidence that the house had a fire or a flood and the damage was repaired. Again, I might not want to purchase that house or at least I would want to re-negioate the price.

So what protections does the buyer have?

If the damage repairs exceed 3 percent of the sales price, the buyer can cancel the sale. But, the contract doesn't clearly define who determines the cost of the repairs. To me, that makes the contract somewhat ambiguous.

[retiredguy123]

Originally Posted by Bill14564

My 2018 contract was not an As-Is contract. The threshold in y contract was 1.5%. Below that must be repaired and above that the seller had the option to cancel the contract.

Interesting. In the contracts that I am familiar with, the seller had no obligation to make any repairs, but the buyer could cancel the contract if the seller chose to not make the repairs. If the repair costs exceeded the threshold, the buyer could cancel regardless.

[Bill14564]

Originally Posted by retiredguy123

Interesting. In the contracts that I am familiar with, the seller had no obligation to make any repairs, but the buyer could cancel the contract if the seller chose to not make the repairs. If the repair costs exceeded the threshold, the buyer could cancel regardless.

I’ll scan the page or copy the text sometime.

[kingofbeer]

Originally Posted by retiredguy123

Any person who sells real estate for a commission must be licensed by the state.

The OP didn't say that it was an "as-is" contract, so, without confirming, that is a fairly large assumption. I have never purchased a house with an as-is contract.

Everyone seems to be speculating and confused. In Florida, the "as-is" contract is the most common one used. The buyer has an inspection period to "inspect" the property and can cancel the contract for any reason. We do not know the specifics of the OP's contract. However, the OP said that he was allowed to cancel the contract.

5 Key Facts About The Florida “As-Is” Contract - Farshchian Law, P.A

[asianthree]

Originally Posted by jrref

So, if the inspection finds a crack in the foundation or the home needs a new roof then can the buyer backout even if the seller agrees to fix the problems?

My thoughts are, if there is a severe crack in the slab or some severe drainage issue or something more significant is found, eventhough the seller agrees to fix the problem, I might not want to by the house.

Or another situation where the inspector finds evidence that the house had a fire or a flood and the damage was repaired. Again, I might not want to purchase that house or at least I would want to re-negioate the price.

So what protections does the buyer have?

Actually when you speak to whatever insurance company, many are obligated to inform you there has been a fire, flood, or major damage such as a sinkhole. Not only is it in the best interest for you, they are more concerned for their interest.

[retiredguy123]

Originally Posted by kingofbeer

Everyone seems to be speculating and confused. In Florida, the "as-is" contract is the most common one used. The buyer has an inspection period to "inspect" the property and can cancel the contract for any reason. We do not know the specifics of the OP's contract. However, the OP said that he was allowed to cancel the contract.

5 Key Facts About The Florida “As-Is” Contract - Farshchian Law, P.A

As-is sales contracts are rarely used in the Villages and almost never used by the Property of the Villages for resales. I confirmed this with the Villages sales office today.