As-Is Listing Info for Buyers and Sellers

What you need to know about buying or selling an as-is home.

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The term “as-is condition” has different connotations for different people. So when a seller calls and says they want to sell their home as is, I ask what that means to them.

Often, they want to list as is because they don’t want to update their property. That’s fine because we’ll consider that when deciding on a price. However, for some sellers, it means something like the furnace is out and they don’t want to repair it, but that’s something we’ll have to disclose. Some people think they can list their home as is and no one will ask for inspection repairs, but the issue is that as-is listings sometimes have negative connotations for buyers.

That means we need to be extremely careful when listing a house as is. The only time I advise it is when there are issues that won’t be handled. If it’s a cosmetic problem, the buyer understands that they’re buying it as they see it, like if you didn’t remove wallpaper or replace the carpet. However, if something major needs to be fixed, such as the roof, we need to disclose it. Sellers need to be smart about using the term “as is” when selling because it could turn buyers away.

"As-is listings sometimes have negative connotations for buyers."

Buyers need to be aware that sellers of as-is properties may not provide you with a credit for repairs. When dealing with an as-is listing, ask your real estate agent for advice about how to present an offer and at what price. Your agent should also ask the listing agent what it means that they’re selling as is, as again, it means different things to different people. You don’t want to go under contract, pay for an inspection, then lose money because you didn’t understand. Buyers need to know that while the problems may be simple to fix, it could also mean something major is wrong with the property and the seller won’t correct it.

If you have any questions about as-is listings or real estate in general, I’m always here to help. Simply call or email me.

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