Kick Out Clause in Florida Real Estate: What Buyers Really Need to Know
Why a kick out clause is not as scary as it sounds and how it actually protects both sides.
As the Florida real estate market shifts, buyers and sellers are seeing more contracts that include selling contingencies. When that happens, a term that often raises concern is the kick out clause.
In the video above, Lindsey Whitney explains what a kick out clause really means, how it works in Florida contracts, and why buyers are not automatically “kicked out” of a deal. Below is a clear, practical explanation to help you understand your options.
Table of Contents
What Is a Kick Out Clause?
A kick out clause is an addendum used when a buyer submits an offer with a selling contingency. It allows the seller to continue marketing the property while the buyer works on selling their current home.
Despite the name, a kick out clause does not automatically remove the buyer from the contract.
Why Sellers Ask for a Kick Out Clause
From the seller’s perspective, a selling contingency creates uncertainty. Their home could be off the market for weeks while the buyer attempts to sell another property.
The kick out clause helps reduce that risk by allowing the seller to entertain backup offers during that time.
How a Kick Out Clause Actually Works
If another acceptable offer comes in, the seller can trigger the kick out clause. When this happens, the buyer is notified and given a short window — typically three days — to make a decision.
This is a key detail many buyers misunderstand.
What Choices the Buyer Has
When a kick out clause is triggered, the buyer is not forced out of the contract. The decision moves to the buyer.
- Remove remaining contingencies and move forward toward closing, or
- Cancel the contract and receive their escrow deposit back.
The right choice depends on how far along the buyer is in selling their current home.
Common Misconceptions About Kick Out Clauses
The biggest misconception is that buyers lose control. In reality, the contract language gives buyers options and time to evaluate their situation.
A kick out clause is less about removing a buyer and more about balancing risk between both parties.
FAQ: Kick Out Clauses in Florida
Does a kick out clause mean I lose the house?
No. You are given time to decide whether to proceed or exit the contract.
How much time do buyers usually get?
Most Florida contracts allow three days, but timelines can vary.
Is my escrow deposit protected?
Yes, if you choose to exit under the terms of the clause, your deposit is returned.
Are kick out clauses becoming more common?
Yes. As markets balance, sellers are more open to contingencies with added protection.
Next Steps
Kick out clauses can work in your favor when structured correctly, but the details matter.
Lindsey and Harvey Whitney help buyers and sellers understand their options and structure contracts that protect equity, deposits, and timelines.
The right contract strategy can make all the difference.
