A real estate purchase contract can run ten-plus pages of dense language, and it’s easy to sign where you’re told to sign without fully understanding what you just agreed to. This post walks through, in plain English, what a typical Florida real estate contract covers. It’s general education only, not legal advice — always have any contract you’re about to sign reviewed by your real estate agent and, ideally, a real estate attorney before you sign it.
The basics: price, parties, and property
Every contract starts with the who and what: the buyer’s and seller’s names, the property address and legal description, and the purchase price. It sounds obvious, but this section is worth double-checking carefully — errors here (a wrong legal description, an unclear list of what’s included, like appliances or fixtures) can cause real headaches later.
Earnest money
Earnest money is a deposit — usually a small percentage of the purchase price — that the buyer puts down to show they’re serious about the deal. It’s typically held by a title company or broker in escrow, not paid directly to the seller, and it’s generally credited toward the buyer’s costs at closing. What happens to that deposit if the deal falls through depends heavily on the specific contract terms and which contingencies were or weren’t met — this is one of the areas where it genuinely pays to have a professional explain your specific contract rather than assume how it works.
Contingencies
Contingencies are conditions that must be satisfied for the deal to move forward. The most common ones in a typical Florida residential contract include:
Inspection period. A window of time (often 10–15 days, though this is negotiable and varies by contract) during which the buyer can have the home professionally inspected and, depending on the contract terms, request repairs, a credit, or walk away.
Financing contingency. Protects a buyer who is financing the purchase if they’re unable to secure a loan under the agreed terms.
Appraisal contingency. Addresses what happens if the lender’s appraisal comes in below the purchase price.
Title contingency. Gives the buyer protection if a title search turns up liens, ownership disputes, or other issues that need to be resolved before closing.
Each contingency typically has its own deadline, and missing one can waive the protection it offers — which is exactly why a professional should walk you through your specific timeline rather than you guessing from a template.
Closing date and other key terms
The contract sets a target closing date — the day ownership officially transfers — though this can shift by mutual agreement if delays come up on either side. You’ll also typically see sections on who pays which closing costs, how the property must be maintained until closing (the “as-is” or maintenance clause), what disclosures the seller is required to provide, and what happens if either party fails to perform. These sections vary meaningfully by which standard contract form is used and any custom language added, so treat any general description — including this one — as a starting point for your own reading, not a substitute for it.
The bottom line
A purchase contract is a legally binding document, and the details matter. Reading it in plain English first helps you ask better questions, but it doesn’t replace having your agent walk you through the specific terms, or having an attorney review anything that feels unclear or high-stakes before you sign.
Questions about a contract in front of you?
If you’re looking at an offer or a contract right now and want a second set of eyes, I’m happy to walk through it with you in plain language — and point you to an attorney if it calls for one. Reach me at 941-737-6562, email linda@reynoldsrealty.com, or book time here.