Generally speaking, the idea behind selling your home “As-Is” means that you intend to sell the home rather than fix any issues that you may not have the time or the money to complete. As a seller, this can be an easy option to choose rather than going through an extensive repair. This isn’t for every kind of buyer. Many conventional buyers will see an “As-Is” listing and continue about their day. However, for many real estate investors (like us), this can mean a great opportunity to help a homeowner.
Selling a home “As-Is” translates to deciding to sell your home in its current state with regard to repairs, updates, and maintenance. Another way to look at that statement is to understand that this means the home may not necessarily be bordering on being condemned, but does need to be worked on in some way.
For a seller this means that you understand your home may not be “move in ready”, or may need some work done (updates to make it competitive with comparable homes in the area). This fact will likely affect the price of the final sale. This is not always the case as well. Many times families inherit the homes from a loved one who has passed or a bank may have taken the property as a foreclosure. In both scenarios, the home may be listed As-Is because the current owner may not be in the position to, or have the desire to attempt, an extensive repair on a home. You could even go a step further and suggest that the home itself may not even need repairs, just that you need to sell the home quickly and don’t want to deal with the home before selling it. Now, just because you’re looking into selling As-Is doesn’t mean you’re exempt from disclosing issues and the home doesn’t need an inspection.
The one major thing that you want to be sure happens with an as-is sale is your home inspection. This is the major bargaining factor in the sales process. However, this is the buyer’s responsibility, and will take place after the buyer has made an offer and placed their required down payment on the home. The inspection is important as it gives the buyer the chance to back out of the deal if there’s repairs they don’t want to complete. On the other hand, it may reveal that there’s no problems with the home at all which can be good news for the buyer as well as the seller. This can mean that the buyer will be confident with the sale and push to make sure the sale goes through. Just be sure to disclose any problems that you’re aware of if you’re going to be selling the home. You don’t want to get in trouble for not disclosing an issue you were aware of prior to selling the home.