What to Know About Selling A Home As-Is
Feb 07, 2019 | Ed Vasterra
Whether you’ve inherited a home, have a home that needs substantial repairs, or are just hoping to unload a lemon, an as-is sale is perhaps the most hassle-free selling option for homeowners. If you were hoping to sell your house quickly, without making renovations or repairs, here’s everything you need to know about an as-is sale:
What is an As-Is Sale?
An as-is sale is almost exactly what it sounds like. You sell your home just as it is. This means no repairs, no cleaning up for showings, and no hassle. For most people, an as-is sale also means you don’t need to hire a realtor, which can save a lot of money.
What Should I Know About Selling As-Is?
If you haven’t sold a home in a while, or if this is your first time selling a home as-is, there are a couple of things to keep in mind:
You’re selling your home, warts and all. With that in mind, you need to price your home fairly if you want it to go quickly. While other similar sized homes in your neighborhood may have sold for more money, that doesn’t mean you can expect the same for your home in an as-is state. If you price your home fairly, given its as-is state, you’re likely to see a quick sale and a fair cash offer that will save you time, repairs, and hassle in the long run.
Just because you’re selling your home as-is doesn’t mean you can leave out important information. If there are defects about your home you know of, the law requires you disclose that information to the seller. Major issues like structural problems, cracks in foundation, mold, termite damage, a leaky roof, high radon levels, plumbing or electrical problems, or any outstanding legal issues must be disclosed to potential buyers.
It’s good to remember that in most cases, this won’t affect your ability to sell the home. As-is buyers are expecting some levels of necessary repairs, and most professionals see these types of issues regularly. While it may be tempting to downplay some of the house’s faults, it will lead to more trouble in the future if you fail to disclose the information.
To move your home quickly, it pays to be flexible. Buyers will want to have a look around and will try to negotiate a price with you. To sell your home quickly, you’ll have to be flexible with some of those offers. While you certainly shouldn’t take the lowest offer, make sure you’re open to those who are making reasonable offers. By selling as-is, you won’t get a top-of-the-market price, but you can get a fair, cash offer that puts all of the proceeds in your pocket.
Benefits of an As-Is Sale
An as-is sale isn’t right for everyone, but it does have benefits for those who want to move on quickly, or who don’t have the money and time to make major repairs. Here are a few benefits of an as-is sale:
Move on Quickly
As-is sales can close exceptionally quickly when the home is priced fairly. If you need to move out-of-state or are in danger of foreclosure, an as-is sale can be a lifesaver. Since most as-is buyers are real estate investors, they make cash offers, which means you don’t have to go through a lengthy closing process, and can actually be out of your home, cash in hand, in as little as 5 days.
An as-is sale is exactly what it sounds like. You’re selling your home as-is. That means that issues that would scare off a traditional buyer, like cracks in the foundation or a leaky roof, aren’t a problem. You don’t have to worry about shelling out money in advance for repairs on a home you’re selling. Simply list your home in the condition it’s in, and the buyer will deal with any necessary repairs.
If you’ve inherited a home or need to move on quickly, an as-is sale is helpful since you don’t have to clean. As-is buyers often function on a “take what you want, leave what you don’t” policy that makes it easy to move on. Don’t worry about cleaning out that musty attic or clearing up the clutter in the garage. Just move on whenever suits you.
Cash In Hand
The final, and perhaps most obvious benefit of an as-is sale is that you walk away from your home with cash in hand. You don’t have to wait for a lender to appraise or inspect the home, you simply make a deal with your buyer, transfer the title, and you can receive your money in as little as 5 days. This gives you the capital you need to move on safely and quickly.
It’s good to know that a traditional retail home sale isn’t your only option. If you just don’t have the time or money to make repairs and clean up an older home, an as-is sale can be a quick, helpful way to move on.