SKN | Florida Storm Threat Puts Real Estate Transactions on Watch

A state of emergency has been declared across 25 Florida counties as Tropical Storm Isaias approaches the Gulf Coast.

Real estate professionals are reviewing active transactions, including closing dates and contractual deadlines, as severe weather could affect the ability of buyers and sellers to perform their obligations.

Florida’s standard “AS IS” residential contract includes a force majeure provision that can provide limited extensions when hurricanes or other covered events prevent contractual performance.

A strengthening tropical system approaching Florida is prompting real estate professionals to reassess active transactions as severe weather could affect property access, inspections, financing, closings and other time-sensitive obligations.

Gov. Ron DeSantis declared a state of emergency covering 25 counties across the Panhandle, Big Bend and North Florida as Tropical Storm Isaias strengthened in the Gulf. The National Hurricane Center said the system was expected to intensify before approaching the northern Gulf Coast.

For buyers, sellers and their agents, the storm creates a need to review existing contracts rather than assume that weather-related disruptions automatically change transaction deadlines.

Storm Does Not Automatically Extend Deadlines

Severe weather does not by itself alter contractual obligations. However, Florida real estate contracts can contain provisions governing circumstances in which a hurricane or other extraordinary event prevents one or both parties from completing required actions.

The Florida Realtors®/Florida Bar “AS IS” Residential Contract for Sale and Purchase includes a force majeure provision covering hurricanes, floods, extreme weather and certain other events.

When a qualifying force majeure event prevents performance, applicable contractual time periods, including the closing date, may be extended for a reasonable period of up to seven days after the event no longer prevents performance.

The provision can become relevant when a storm makes it impossible for a party to complete an obligation within the original contractual timeframe.

Active Transactions Require Review

The potential effects of a major storm can extend beyond the closing itself. Real estate professionals may need to evaluate whether inspections, appraisals, lender requirements, document execution, property access or other transaction milestones can proceed as scheduled.

The appropriate response depends on the language of the contract and the specific circumstances affecting performance. Buyers and sellers therefore may need to review their agreements before making changes to scheduled deadlines.

Legal Guidance Available

Florida Realtors provides legal resources for members dealing with transaction issues arising from severe weather. Its Legal Hotline is available by phone and online to address questions involving Florida real estate contracts.

Hurricane preparation resources are also available to help real estate professionals respond to disruptions and protect the continuity of active transactions.

Outlook

The approaching storm highlights the importance of reviewing contractual provisions before weather-related disruptions affect a transaction. While a hurricane does not automatically change a closing date or other deadline, force majeure provisions may provide relief when covered conditions prevent performance. For Florida real estate professionals, monitoring the storm and reviewing affected contracts early can help identify potential issues before scheduled transaction milestones are reached.