FAR/BAR Seller Contract in Florida: What Canadian Sellers Need to Read Before Signing

Section 01The 60-second version

The FAR/BAR Residential Contract for Sale and Purchase is the form your Florida-licensed listing broker will almost always use. It exists in two flavours. The "Standard" version obligates the seller to make limited repairs after inspection, up to negotiated dollar caps. The "AS IS" version gives the buyer a 15-day "free look" but no repair obligation on the seller. The current revision is dated August 2024 (versions 7x and ASIS-7x). All deadlines run on calendar days from the Effective Date, the date when the last party signs and delivers. The contract sets the Inspection Period (15 days default in AS IS), the Loan Approval Period (30 days default), the title commitment timing (15 days default), the Closing Date, and the default remedies under Paragraph 15. Florida law layered on top of the contract creates the seller's duty to disclose latent material defects. That duty is rooted in case law (Johnson v. Davis, 1985), not in the often-cited F.S. §689.25, which actually says the opposite about deaths and HIV. Mediation under Paragraph 16(b) is mandatory before any party can sue.

Section 02Why this matters for a Canadian seller

A Canadian who lists a Florida property with a Florida-licensed broker will almost always be presented with one version of the FAR/BAR contract for signature. The property could be in Boca Raton, Naples, Cape Coral, Sarasota, Orlando, or Miami. The form is the same statewide. Reading the contract once before signing is the single most valuable hour you will spend on the sale.

Three things make this reading more important for a Canadian than for a Florida resident. First, the contract is in English and time-of-the-essence deadlines run in calendar days, including weekends, with extensions only when the period ends on a weekend or US federal holiday. A missed deadline can cost the deposit, the deal, or both. Second, FIRPTA (a US federal withholding) sits on top of the contract for any non-US tax resident seller. Paragraph 9 of the AS IS form has handled FIRPTA withholding and reporting costs as a seller cost since the November 2021 revision. Third, the contract assumes the seller is in Florida. Signing remotely, getting documents notarized in Canada, and coordinating wire transfers across the border all need to be planned around the closing date the contract sets.

This guide covers the seller-side mechanics of the contract itself. Disclosure obligations, prorations, estoppel letters, and FIRPTA withholding are each handled in their own dedicated guides in this chapter, linked at the end.

Section 03What FAR/BAR is, and why nearly every resale uses it

Florida is unusual in the United States for having a single residential resale contract endorsed by both the state's lawyers and the state's realtors. The form is widely used because it is balanced enough to survive negotiation between a buyer broker and a seller broker without either side feeling exposed, and because Florida title companies and closing agents are deeply familiar with it. There are alternative forms (the Florida Realtors Contract for Residential Sale and Purchase, known as CRSP, and contracts issued by some local realtor associations such as NABOR in Naples), but the FAR/BAR family dominates resale outside specialized markets.

Two versions of the form coexist.

The Standard contract (form 7x) obligates the seller to make certain repairs revealed during inspection, up to negotiated dollar limits called the General Repair Limit, the WDO Repair Limit, and the Permit Repair Limit (Paragraph 9). The buyer's right to terminate after inspection is narrower because most issues fall back into the seller's repair obligation rather than into a cancellation right.

The AS IS contract (form ASIS-7x) removes any seller repair obligation but gives the buyer a 15-day "free look" inspection period during which the buyer can terminate for any reason in the buyer's sole discretion and recover the deposit. Many Florida real estate attorneys prefer this form for both sides because it avoids fights over what counts as "Working Condition" or as a "Cosmetic Condition" under the Standard form's repair clause.

Section 04Anatomy of the contract for the seller

The FAR/BAR is structured in roughly nineteen numbered paragraphs followed by Standards (lettered A through Z and beyond) at the back. The paragraphs the seller needs to read carefully are concentrated in the first half of the form. The walk-through below uses the AS IS form, which is the dominant version in current use. Numbering can shift slightly between revisions, so always verify against the form on the table.

Paragraph 1 (Sale and Purchase) identifies buyer, seller, and the property by legal description. The contract is bound by the Statute of Frauds, so all parties must sign in writing for the agreement to be enforceable.

Paragraph 2 (Purchase Price) sets the price and breaks it into the Initial Deposit, any Additional Deposit, financing amount, and cash to close. The deposits are usually held in escrow by the closing agent or the listing broker.

Paragraph 3 (Time for Acceptance and Effective Date) defines the Effective Date as the date when the last of buyer or seller has signed and delivered the contract. Every other deadline in the contract counts forward from this date.

Paragraph 4 (Closing Date) fixes the date the deed will be signed and funds will be exchanged. The Closing Date can be extended automatically by up to seven days if the buyer's loan was approved and through underwriting before the original date but the lender cannot deliver the closing disclosure on time under federal CFPB rules.

Paragraph 5 (Extension of Closing Date) covers the CFPB extension above and a force majeure extension where utility or insurance unavailability makes closing impossible. Florida hurricane seasons make the force majeure clause more than theoretical.

Paragraph 6 (Occupancy and Possession) sets the default rule: the seller delivers the property vacant at closing. If a tenant is in place or the seller is staying after closing, riders T (pre-closing occupancy) and U (post-closing occupancy) are needed.

Paragraph 7 (Assignability) sets the default rule: the contract is not assignable without the seller's written consent. This matters when the buyer turns out to be a wholesaler.

Paragraph 8 (Financing) is critical. Either the contract is "cash" (no financing contingency, paragraph 8(a)) or it is contingent on the buyer obtaining loan approval (paragraph 8(b)).

If the buyer does not deliver written notice of loan approval, waiver, or termination before the Loan Approval Period expires, the contingency is deemed waived and the contract proceeds as if loan approval had been obtained. From the seller's perspective, this is the moment the deposit becomes at risk for the buyer if they then fail to close.

Paragraph 9 (Closing Costs; Title Insurance; Survey; Home Warranty; Special Assessments) allocates closing costs between buyer and seller. Critical points for the Canadian seller:

• Documentary stamp tax on the deed is paid by the seller. The Florida statewide rate is USD 0.70 per USD 100 of consideration. Miami-Dade County uses USD 0.60 per USD 100 for a single-family residential transaction. Both rates are set by F.S. §201.02 and §201.031.
• The owner's title insurance policy is paid by the seller in most Florida counties. In a handful of counties (notably Miami-Dade, Broward, Sarasota, and Collier), the buyer customarily pays. The contract has a checkbox.
• FIRPTA withholding and reporting costs are listed as a seller cost since the November 2021 revision.
• Survey, if any, is generally at the buyer's expense.

Paragraph 10 (Disclosures) contains the radon gas language required by F.S. §404.056(5), the property tax disclosure required by F.S. §689.261, and reference to the seller's disclosure of known material defects. The seller's affirmative duty to disclose latent material defects is a common-law duty under Johnson v. Davis, 480 So. 2d 625 (Fla. 1985), not a creation of the FAR/BAR contract. The contract restates the duty but does not invent it.

Paragraph 11 (Maintenance Requirement) applies even under the AS IS form. The seller must maintain the property in the same condition that existed on the Effective Date until closing, ordinary wear and tear excepted. If the air conditioning fails after the inspection period, the seller pays to fix it.

Paragraph 12 (Property Inspections; Right to Cancel) is where the AS IS form differs most from the Standard. Under AS IS, the buyer has 15 days after the Effective Date (default if blank) to inspect and may cancel for any reason in their sole discretion. Under the Standard form, the buyer must instead identify "Defective Inspection Items" and follow a tightly choreographed back-and-forth of estimates, second inspections, and seller repairs up to the negotiated repair limits.

Paragraph 13 (Escrow Agent and Broker) names the escrow agent and clarifies that the broker holding earnest money is regulated by the Florida Real Estate Commission (FREC).

Paragraph 14 (Professional Advice; Broker Liability) is a standard limitation of broker liability and recommendation to consult professionals.

Paragraph 15 (Default) is the seller's protection.

The seller's most common election is option (i): retain the deposit and walk away. Specific performance against a residential buyer is rarely successful in Florida because most defaulting buyers default for financial reasons, and a court order to close does not produce a closeable transaction if the buyer has no funds.

Paragraph 16 (Dispute Resolution) mandates mediation before any litigation. If mediation fails, the prevailing party in subsequent litigation can recover attorney's fees and costs.

Paragraph 17 (Attorney's Fees and Costs) confirms loser pays in any litigation arising from the contract.

Paragraph 18 (Standards for Real Estate Transactions and Riders) is a long list of standardized clauses that fill in the technical details: title commitment (Standard A), survey (Standard C), closing procedure (Standard S), FIRPTA per Standard L, FinCEN reporting, and so on. Riders A through Z (and beyond) are optional addenda for condominiums (Rider A), HOA-governed properties (Rider B), FHA/VA financing (Rider E), defective drywall (Rider M), Coastal Construction Control Line (Rider N), lead-based paint (Rider P), pre-closing occupancy (Rider T), post-closing occupancy (Rider U), and many more.

Paragraph 19 (Conveyances to Foreign Buyers Affidavit) was added in 2023 to comply with Florida Statutes Part III of Chapter 692, sections 692.201 through 692.205. This Florida state law restricts purchases of certain Florida real property by buyers tied to seven "foreign countries of concern" (China, Russia, Iran, North Korea, Cuba, the Maduro regime in Venezuela, and Syria). The buyer must sign an affidavit at closing. As a Canadian seller, you are not directly affected by this paragraph, but the closing agent will require the buyer's affidavit before recording the deed.

Section 05Sale-side comparison: FAR/BAR (Florida) vs. Promesse d'achat (Quebec)

The skill calls for a side-by-side comparison with one Canadian reference province, with explicit jurisdictional levels. Quebec is used here as the reference. Equivalent comparisons for Ontario, British Columbia, and Alberta are forthcoming in their own dedicated articles.

Two structural differences are worth pausing on. First, in Quebec the deed of sale is signed before a notary public, and the notary holds and disburses funds. In Florida, the closing is performed by a title company, an attorney's closing department, or an escrow agent under Standard S of the contract. Second, Florida has owner's title insurance as a standard product, paid for once at closing. Quebec has no equivalent retail product because the notary's title examination and the public registry are presumed to suffice. A Canadian seller should not interpret "title insurance" as an optional add-on. In Florida it is the document the buyer's lender will require and is normally paid by the seller per Paragraph 9 of the FAR/BAR.

Section 06Critical seller clauses, in order of risk

The deposit. The deposit is the seller's main remedy if the buyer walks. A USD 5,000 deposit on a USD 1,000,000 contract is, mathematically, a USD 5,000 cap on the seller's downside if the buyer defaults. Sellers who care about that downside negotiate the Additional Deposit upward, due either at the end of the inspection period or at the end of the loan approval period, so that real money is at stake before the buyer's contingencies expire.

The inspection period (Paragraph 12 of AS IS). During the 15-day default period, the buyer can cancel for any reason. The seller cannot prevent it. After the 15 days, the buyer's discretionary out is gone, and the buyer's grounds for cancellation narrow to the financing contingency, the title contingency, and (for HOAs and condos) the riders.

The Loan Approval Period (Paragraph 8(b)). The buyer must give written notice of loan approval, waiver, or termination before this period ends. If they do not, financing is deemed waived. The buyer's deposit is then at risk if they still fail to close. Florida courts have enforced this strictly. In Florida Investment Group 100, LLC v. Lafont, 44 Fla. L. Weekly D1063 (Fla. 4th DCA 2019), a buyer lost the deposit because the conditional approval she received did not meet the contract's defined "Loan Approval" terms and she did not give written notice of termination during the period [3].

The title commitment and cure period (Standards A and C). The closing agent issues a title commitment within 15 days after the Effective Date (default). The buyer has 5 days to object. The seller has 30 days to cure any title defect (an unsatisfied lien, an open permit, a boundary issue, a missing release). If the seller cannot cure, the buyer may take title with the defect and accept the property AS IS, or terminate and recover the deposit.

The Closing Date (Paragraph 4). A "time is of the essence" deadline. Auto-extension up to 7 days under CFPB rules is the only built-in flexibility. Anything else needs a signed addendum.

Default under Paragraph 15. The seller's two options if the buyer defaults are the deposit (option (i)) or specific performance (option (ii)). In practice, option (i) is the realistic remedy in the vast majority of cases.

Mandatory mediation under Paragraph 16(b). Before any party can sue, they must attempt mediation. This is a procedural step, not optional, and Florida courts will dismiss a lawsuit filed without it.

Section 07Worked example

A Canadian couple lists their Boca Raton condominium for USD 575,000. They live in Montreal. Their Florida-licensed broker presents the AS IS form. Headline numbers in the contract:

• Purchase price: USD 575,000
• Initial Deposit: USD 10,000, due within 3 days of the Effective Date
• Additional Deposit: USD 17,250 (3%), due at the end of the inspection period
• Inspection Period: 15 days (default)
• Loan Approval Period: 30 days (default), buyer is financing 70%
• Closing Date: Day 45 after Effective Date

Sequence A: buyer terminates during inspection.

1. Both parties sign on April 1. April 1 is Day 0, the Effective Date.
2. By April 4, the buyer wires USD 10,000 to the title company's escrow account.
3. April 1 to April 16 is the inspection period. The buyer hires a Florida-licensed home inspector and a WDO inspector. On April 14, the buyer sends a written termination notice citing "sole discretion" under AS IS. The deposit is refunded. The contract dies. The seller relists.

Sequence B: financing fails during the Loan Approval Period.

3'. The buyer does not terminate within the inspection period and wires the USD 17,250 Additional Deposit on April 16. 4'. By May 1, the buyer's lender has either issued Loan Approval (with the appraisal received) or the contingency expires. Suppose the appraisal comes in at USD 545,000, USD 30,000 below price, and the lender rejects the loan as written. The buyer gives written notice of termination on April 30, before the Loan Approval Period ends. The deposit is refunded under Paragraph 8(b). The contract dies.

Sequence C: closing proceeds with a CFPB extension.

3''. and 4''. Both contingencies clear. 5''. May 16 is the Closing Date. The buyer's lender is delayed in delivering the closing disclosure. The Closing Date extends automatically up to May 23 under CFPB rules. The closing happens on May 22.

The seller's net at closing in Sequence C, on a USD 575,000 sale:

• Listing broker's commission: negotiable, often 5% to 6% in Florida for a co-broker deal, so roughly USD 28,750 to USD 34,500.
• Doc stamps on the deed: USD 575,000 × 0.0070 = USD 4,025 statewide, or USD 3,450 in Miami-Dade for a single-family.
• Owner's title insurance premium: roughly USD 3,200 for a USD 575,000 property under Florida promulgated rates.
• Closing fees and recording fees: typically USD 500 to USD 1,500.
• FIRPTA withholding for a non-US tax resident seller: 15% on the amount realized under IRC §1445. See the dedicated FIRPTA guide.
• Tax, HOA, and utility prorations: covered in the dedicated prorations guide.

Section 08Common mistakes by Canadian sellers

1. Treating §689.25 as the basis for seller disclosure. It is not. F.S. §689.25 says exactly the opposite: that homicide, suicide, deaths, and HIV are not material facts requiring disclosure. The seller's actual duty to disclose known latent material defects comes from Johnson v. Davis, 480 So. 2d 625 (Fla. 1985), and the duty applies under both AS IS and Standard contracts. Florida Statutes also impose specific statutory disclosures (radon under §404.056(5), property tax under §689.261, code enforcement under §125.69(4)(d) and §162.06(5), flood under the FD-1 form). The seller's full disclosure package is covered in the dedicated guide on Florida seller disclosure obligations.
2. Leaving the deposit small to win the offer. A USD 5,000 deposit on a USD 800,000 contract gives the buyer a near-free option to walk after the inspection period. Sellers who are far from the property and cannot afford a re-listing cycle should negotiate a meaningful Additional Deposit due at the end of the inspection period.
3. Missing the calendar-day nature of the deadlines. The contract counts calendar days, including weekends. A deadline that lands on a Saturday, Sunday, or US federal holiday rolls to the next business day. Otherwise weekends count. Canadian sellers used to "business day" defaults in some Canadian provincial contracts have been caught by this.
4. Not reading the riders. Condominium properties pull in Rider A, which sets HOA/COA estoppel timing, structural integrity reserve study disclosures (under F.S. §718.503, in effect since December 31, 2024), and special assessment allocation. HOA properties pull in Rider B. Coastal properties pull in Rider N (Coastal Construction Control Line). A FAR/BAR signed without the right rider has gaps that will surface at closing, not before.
5. Treating "AS IS" as "no disclosure required." Florida case law has consistently held that AS IS does not eliminate the duty to disclose known latent material defects. A seller who knew about a roof leak and signed AS IS without disclosure remains exposed to a fraudulent nondisclosure claim post-closing under Johnson v. Davis and its progeny.
6. Forgetting FIRPTA at the contract stage. FIRPTA withholding is 15% of the gross amount realized, not 15% of the gain. The contract has listed it as a seller-paid item under Paragraph 9 since the November 2021 revision. A Canadian seller who has not planned for FIRPTA at the contract stage will face a closing surprise. See the dedicated FIRPTA guide.
7. Signing without a Florida real estate attorney's review. The FAR/BAR is "balanced" only in the abstract. It can be tilted by a savvy buyer broker through riders, additional deposit timing, and survival clauses. A USD 500 to USD 1,500 attorney review is cheap insurance against a six-figure mistake.

Section 09Action checklist for the Canadian seller

1. Confirm with your listing broker whether the contract presented is the Standard or the AS IS version. Ask why that choice was made for your property.
2. Read Paragraphs 1 to 19 in full before signing. All of them.
3. Verify the Effective Date mechanics. Initial every change with a date.
4. Negotiate a meaningful Additional Deposit due at the end of the inspection period.
5. Confirm the Closing Date is a date you can actually close on, considering remote signing and notarization in Canada.
6. Identify the riders that apply (Condominium, HOA, Coastal, etc.) and read each one.
7. Confirm with your closing agent and your cross-border tax professional how FIRPTA will be handled at closing.
8. Have a Florida real estate attorney review the contract before signing. Budget USD 500 to USD 1,500 for the review.
9. Set written calendar reminders for the Inspection Period end, the Loan Approval Period end, the title commitment objection deadline, and the Closing Date.
10. Keep the original contract and every signed addendum together with the closing file. You will need these for the FIRPTA filing, your Canadian capital gains return, and any post-closing dispute.

Section 10FAQ

Is the FAR/BAR contract mandatory in Florida? No. It is the dominant form, but a private contract or another form (Florida Realtors CRSP, NABOR contract in Naples, custom drafted contracts) is legally valid as long as it satisfies the Statute of Frauds (in writing, signed by both parties).

Can I negotiate the deadlines in the FAR/BAR? Yes. Almost every default deadline (Inspection Period, Loan Approval Period, title commitment) can be customized by filling in the blank. Leave the blank empty and the printed default applies.

What is the difference between "Loan Approval" and "loan commitment" in the contract? Since November 2021, "Loan Approval" requires both lender approval of the borrower and a satisfactory appraisal received by the lender. A conditional approval that still depends on a future appraisal does not meet the contract's definition of Loan Approval [3].

Can the buyer cancel after the inspection period under AS IS? Yes, but only on grounds tied to the financing contingency, the title contingency, force majeure, riders, or seller default. The "free look" cancellation right ends with the inspection period.

Can a seller back out after signing? Only on grounds the contract gives them: typically a buyer default, a force majeure event, or an inability to cure a title defect. A seller who simply changes their mind and refuses to close exposes themselves to the buyer's specific performance suit and damages under Paragraph 15(b).

Does signing remotely from Canada change anything? Mechanically, no. Florida accepts e-signature under the federal ESIGN Act and Florida's Uniform Electronic Transaction Act (F.S. Chapter 668). The deed itself, signed at closing, must be notarized. A Canadian notary public's seal is generally accepted at Florida title companies, but verify in advance with your specific closing agent.

How long does mediation take if the deal falls apart? Florida private real estate mediation typically wraps in one to three sessions over four to eight weeks if both parties cooperate. The contract requires mediation before litigation, but it does not require parties to settle.

Is the AS IS form better for the seller? The AS IS form caps the seller's repair exposure but gives the buyer a 15-day discretionary out. The Standard form constrains the buyer's exit but exposes the seller to repair obligations up to the negotiated limits. The right choice depends on the property's condition, the seller's risk tolerance, and how confident the seller is in the buyer's seriousness. This is the kind of question worth asking a Florida real estate attorney before listing.

Section 11Out of scope, covered in dedicated guides

This guide covers the contract itself. The following adjacent topics are addressed in their own guides in this chapter:

1. The full sale process from listing to closing: see "Florida Sale Process: 10 Steps".
2. The seller's disclosure obligations and statutory disclosure forms: see "Florida Seller Disclosure Obligations".
3. HOA and COA estoppel letters: see "Estoppel Letter: HOA and Condo Sales".
4. Tax, HOA, and utility prorations at closing: see "Closing Prorations: Taxes, HOA, Utilities in Florida".
5. Documentary stamp tax under F.S. §201.02: see "Florida Documentary Stamp Tax §201.02".
6. Real estate commission: see "Florida Real Estate Commission".
7. FIRPTA 15% withholding: see "FIRPTA explained: the 15% withholding when a Canadian sells Florida real estate".
8. Title insurance from the seller's side: see "Florida Seller's Title Insurance".

Equivalent province-by-province comparison tables (Ontario, British Columbia, Alberta) are forthcoming in their own dedicated articles.