It's common for home buyers to request changes or repairs to be made to a property as a condition of the sale. When a home is sold "as is," this means that the homeowner is unwilling to make changes, and the buyer must accept the home in its current state. There are advantages and disadvantages to purchasing a home as is. If you're considering listing your home as is, you should know what to expect from the process. This will help you decide for yourself what is the best decision for your home.
Potential Advantages of Selling As Is
There are many reasons that homeowners decide to list their home as is.
Convenience
Homeowners can spend days or weeks of their lives making changes to their house before listing their property for sale. For a homeowner who is unable or unwilling to make home improvements before selling their home, selling as is can be very convenient.
Low Cost
Staging and making home repairs costs money. Homeowners who have little or no financial resources to repair their property often choose the as is option because it requires no financial investment in order to sell their home.
Faster Sale Process
As already stated, staging a home and making repairs can take a lot of time. Homeowners who choose to fix up their property before selling may delay listing their home by months. Those who are willing to make changes to the property during the escrow process can slow down the escrow period by weeks or longer.
Selling a home as is can be much faster. There's no room for negotiating repairs, and no delays when listing the property.
Narrows the Offers to Serious Buyers Only
There's little room for negotiation when a home is listed as is. Buyers who make an offer on a property that has been listed as is know that what they see is what they'll get. People who make offers on properties sold as is are generally serious about their offer, and ready to make a purchase.
Disadvantages of Selling As Is
Unfortunately, there are some disadvantages to listing a home as is. Here's what you can expect if you decide to go this route.
Lower Offers
Buyers tend to assume that there's something wrong with a house that has been listed as is. Knowing that they have no leverage to request repairs, buyers react accordingly, and make lower offers. Home sellers who want to get the most money out of their home sale must often be willing to make changes and negotiate with buyers.
When selling a home as is, buyers still have a right to know about known maintenance problems. Known defects must be properly disclosed in accordance with the law. Sellers who are unwilling to address these issues before listing their home can reasonably expect offers to address the cost of repairs/remediation/etc. It is possible that the difference might outweigh the cost of addressing the repair before selling the home.
Fewer Offers
The term as is can raise alarm bells for buyers. In addition, not all buyers are interested in purchasing a home that is not move-in ready. Because of this, as is properties may not get as many offers as other homes.
Contact Your Real Estate Professional
If you're a homeowner who is thinking about selling your home as is, talk to your real estate professional. Your real estate agent can help you decide whether this decision will help you meet your goals. Your real estate professional can also help you get the best price for your home, no matter what condition it's in. Call a reputable real estate agent to get started today.
