Glossary

Exclusions

What “Exclusions” Means in Real Estate — A Clear Definition

Plain-language definition for buyers, sellers, and agents

“Exclusions” in real estate are specific items that the seller explicitly does not include in the sale of a property. While many things on a property are assumed to transfer with ownership (especially fixtures), sellers can carve out certain items to keep. Clear exclusions in the listing and purchase agreement prevent surprises at move‑out and disputes at closing.

Where you’ll see “Exclusions” (MLS, purchase agreements, addenda, disclosures)

Exclusions are commonly listed in: MLS listing fields, the purchase agreement or contract, attached addenda or inventory lists, and seller disclosures. When in doubt, check the purchase agreement first — that is the binding document that controls. For related terms see fixtures and purchase agreement.

Exclusions vs. Inclusions vs. Fixtures — How to Tell the Difference

What is an inclusion?

An inclusion is an item the seller agrees will remain with the property and transfer to the buyer at closing. Inclusions can be spelled out (e.g., “washer and dryer included”) or implied by fixture rules.

What is a fixture? (legal test: attachment, adaptation, intent)

Fixtures are items attached to the property and generally pass with the real estate. Courts and agents use a three‑part test: attachment (is it physically affixed?), adaptation (is it custom or fitted for the property?), and intent (would a reasonable person expect it to stay?). Because fixtures are assumed included, sellers who want to retain them must list them as exclusions.

What is personal property (movable items) and common gray areas

Personal property is movable and typically excluded unless the seller agrees otherwise — examples include freestanding refrigerators, lamps, rugs, and furniture. Gray areas arise with things like mounted TVs (brackets vs. set), drapery rods, and built‑in appliances. When appearance matters, buyers and sellers should be explicit about each item.

Quick checklist to decide if an item is likely a fixture or an exclusion

Common Examples of Exclusions and Inclusions

Typical items usually included unless excluded (appliances, built-ins, garage door openers)

Commonly excluded personal items (window coverings, furniture, artwork)

Frequently disputed items (light fixtures, custom shelving, security systems, outdoor equipment)

Disputes often involve items that sit in a gray zone: chandeliers (are they special or standard?), wall‑mounted TVs, security systems (leased vs. owned), custom closet systems, and outdoor structures. These should be explicitly listed as included or excluded in the contract.

How Exclusions Should Be Written to Be Enforceable

Best practices for clear listing language (MLS and marketing copy)

How to phrase exclusions in a purchase agreement or addendum (examples)

Short clear clause (simple): “Seller excludes the following items: dining room chandelier and owner’s washer/dryer.”

Detailed inventory clause (recommended for high‑value items): “Seller shall retain the following items: 1) Crystal chandelier, dining room (Model X, Serial #); 2) Wall‑mounted 70” TV and bracket at family room; 3) All personal artwork and framed photos located in the residence. Buyer accepts property without these items.”

Conditional removal clause: “Seller may remove the modular bookshelves located in Study within 3 business days prior to closing, provided Seller repairs any damage and returns the wall to paint‑ready condition.”

Using photos and inventory lists to avoid ambiguity

Attach a dated photo inventory or a labeled floor plan to the contract. Photos reduce disputes and are especially useful for high‑value or custom items.

Timing and delivery — when exclusions must be removed and responsibilities for damage

Specify timing (“Seller will remove excluded items prior to closing/possession”) and require the seller to repair any damage caused by removal. Address storage and liability for items left behind or removed late.

Negotiating Exclusions — Options, Remedies & Credit

How buyers can require items to stay (contract contingencies and addenda)

Buyers should include desired inclusions in the offer and use contingencies or addenda to confirm them. Example: “Offer contingent on seller including washer/dryer and all window coverings as listed in Attachment A.”

Typical remedies if a seller removes an item (repair, replacement, credit, holdback, legal action)

When price adjustments or credits are appropriate

Credits are appropriate for fungible items with clear market value (e.g., appliances). For unique fixtures or sentimental items, replacement or return of the item or legal remedies may be needed. Agree on valuation method in the contract if items are significant.

Using inspection and final walk-through to verify exclusions/inclusions

Inspectors and final walk‑throughs are your chance to confirm items stayed or were removed per the agreement. Document condition with photos and notify your agent/escrow immediately if discrepancies arise.

Who Needs to Care — Practical Implications by Role

Home buyers (what to ask and how to protect yourself)

Home sellers and FSBOs (how to list exclusions without scaring buyers)

Real estate agents and new agents (client scripts and disclosure checklists)

Provide clients with a standard exclusion checklist and script: “Which items do you intend to take? Please list model numbers or attach photos.” Include exclusions field in all listing paperwork and contract checklists.

Investors, landlords, and property managers (due diligence tips)

Verify what stays with the property in leases or sales contracts. For investment properties, ensure operational equipment (HVAC, boilers, security panels) are included or budgeted if excluded.

Closers, title officers, inspectors, movers, and attorneys (operational checks)

Confirm contract language shows exclusions and that escrow instructions reflect agreed credits or holdbacks. Movers should receive a list of excluded items to avoid accidental removal.

Real World Application

Fictional scenario: “The missing chandelier” — timeline, contract language, and resolution

Scenario: Buyer tours a home with a distinctive crystal chandelier. The MLS did not list exclusions. Buyer offers and contract includes no explicit reference to the chandelier. Seller removes chandelier before closing.

Timeline & resolution options: Buyer documents removal at final walk‑through, notifies agent/escrow. If chandelier was reasonably considered a fixture, buyer may demand replacement, credit, or sue for breach. Common practical resolutions: seller returns chandelier (if available), seller pays replacement or agreed credit, or escrow holdback until replacement.

Example outcome options: credit at closing, replacement, or legal remedy

Credit example: agreed value $2,500 credited at closing. Replacement: seller procures and installs a comparable chandelier before possession. Legal remedy: buyer sues for contract damages if negotiated remedies fail.

Lessons learned and practical takeaways for each party

What Happens if a Seller Removes an Item That Wasn’t Excluded?

Typical legal and contractual consequences

Removal of an item not listed as excluded can be a breach of contract. Remedies include monetary damages, replacement, or, in some jurisdictions, specific performance. Many disputes are resolved by credit or replacement rather than litigation.

Steps buyers should take immediately (document, notify agent/escrow, request remedy)

  1. Photograph the area and missing item immediately.
  2. Notify your agent and escrow/closing officer in writing (email is fine).
  3. Request the remedy specified in the contract or propose an agreed credit/replacement.

Common defenses sellers raise and how courts/agents usually treat them

Sellers may claim the item was personal property, consent was implied, or an honest mistake occurred. Courts often examine contract language, MLS statements, and the fixture test to decide. Clear written exclusions/inclusions minimize these disputes.

State and MLS Variations — When Local Rules Matter

Why exclusions can differ by state or local custom

Real property law and MLS rules vary. Some states have standardized contract forms with specific inclusion/exclusion fields. Local customs (what buyers expect to remain) also differ — e.g., window coverings may be considered included in some areas but not others.

Examples of specific rules or common variations to watch for (note: recommend local counsel)

Examples: certain MLS systems require a separate exclusions field; some states interpret central alarm systems as fixtures if hard‑wired. When in doubt, consult local counsel or your agent.

How to find local guidance and where to check MLS rules

Check your local MLS rules, state association contract forms, and consult a local real estate attorney for high‑value or unusual items.

Sample Wording & Templates (copy-ready)

Short, clear MLS exclusion examples

“Exclusions: Dining room crystal chandelier; wall‑mounted 65” TV in living room; seller’s personal artwork.”

Purchase agreement exclusion clause examples (several variants: simple, detailed inventory, conditional)

Simple: “Seller excludes: dining room chandelier and washer/dryer.”

Detailed inventory: “Seller retains the following items (not transferred with property): 1) Crystal chandelier, dining rm (Serial #); 2) Wall‑mounted Samsung 65” TV, family rm; 3) All framed artwork shown in photos A–D attached.”

Conditional removal: “Seller may remove the standalone greenhouse in the backyard prior to closing provided Seller repairs any foundation damage and returns compacted soil to grade.”

Addendum template for items to be removed after inspection

“Addendum: The parties agree Seller may remove the listed items within 3 business days after the inspection contingency is released: [list items]. Seller will repair any damage caused by removal and deliver premises broom clean. Any dispute regarding removal will be resolved by escrow holdback in the amount of $________ until resolved.”

Buyer/Seller Checklist to Avoid Exclusion Disputes

Pre-listing checklist for sellers

Offer-response checklist for buyers and agents

Final-walkthrough checklist for buyers and closers

When to Involve an Attorney — Red flags and timing

Situations that commonly need legal help (valued sentimental items, high-value built-ins, intentional removal after contract)

What info to bring to an attorney and likely remedies they’ll pursue

Bring the purchase agreement, MLS listing, photos, inspection reports, and all correspondence. Remedies often sought include monetary damages, escrow holdback enforcement, replacement, or injunctive relief.

FAQ (quick answers to high-volume search questions)

Is a garage door opener included unless excluded?

Typically yes — garage door openers and remotes are commonly treated as included unless explicitly excluded.

Can a seller remove built-ins after signing a contract?

Not without buyer consent. Built‑ins are usually fixtures; removing them after contract can be a breach unless the contract lists them as exclusions.

Do window coverings usually stay or go?

It varies. Freestanding curtains are often personal property; attached blinds or rods may be fixtures. List them explicitly to avoid confusion.

How specific must exclusion wording be to be enforceable?

Be as specific as possible. Include item descriptions, locations, model/serial numbers, or photos for high‑value items. Vague descriptions increase dispute risk.

Who pays for damage caused by removing excluded items?

Seller generally must repair damage caused by removal. Contract language should require the seller to return surfaces to “paint‑ready” or comparable condition.

Closing Summary — Key Takeaways & Next Steps

Short checklist of immediate actions for buyers and sellers

Resources to download: sample clause pack, buyer/seller checklist, agent script

Downloadable templates (sample clause pack, checklist, and agent script) make exclusions simple to document — ask your agent or use the templates above as a starting point.

Offer: draft custom exclusion wording, produce checklist, or outline state-specific issues (optional add-on)

Would you like me to: 1) Draft the sample exclusion wording and addenda templates now? 2) Produce the buyer/seller checklist as a printable? 3) Outline state‑specific issues for a particular state (tell me which)? Reply with the number or state and I’ll create it.

Written By:  
Michael McCleskey
Reviewed By: 
Kevin Kretzmer