When you want to sell a house as is, that doesn’t immediately mean the house is necessarily in poor condition. ‘As is’ means you’re not making any repairs or providing any warranties. The buyer gets the home in its current state. Here in Louisville, buyers can still walk away after their inspections.
However, you must divulge any issues about the estate to the best of your knowledge. The form we use is called a Seller’s Disclosure. The best thing to do is to honestly complete this form, which protects you against future liability.
The disclosure form covers everything, from fixtures to roofing leaks and more. If you know about problems with any of the items on the record, it’s a bad idea to hide them from the buyer.
Many real estate owners choose to sell their homes this way for several benefits. Here are the top reasons why some people sell a house as is.
1. They can’t afford any repairs.
Home sellers often prefer to list their homes for sale as is because they aren’t in a position to refurbish before putting it on the market. Renovations take time, effort, planning, and money.
Adding costly repairs are taken out of a seller’s funds and treated as additional investments for the property. However, not everyone can afford it.
Selling the house in its current state is the best way to save money that they would have to spend out-of-pocket to make expensive repairs. If the property has issues and you have no way to renovate them, you may have no other choice but to sell as-is.
Other homeowners can’t afford the time and effort that goes into the lengthy repair process. Most of the time, these homeowners have failing health, want to migrate, or can’t handle the everyday responsibility. They find that selling a home as-is is more comfortable than finding the time, energy, or funds to renovate it.
Without performing the restorations will mean the value of your property will be less, but you can still profit from the deal. You’ll have to be honest about the extent of the damages and find the right buyer that’s willing to scale the home up.
2. It’s a better market.
Believe it or not, the recent real estate market trends support a fixer-upper market. The real estate market has numerous high-priced properties that people cannot afford. Thus, the competitive market makes buying a fixer-upper a more attractive option for many buyers.
Some people prefer to refurbish homes for the fun of it. There has been a saturated market for DIY savvy buyers that looks forward to remodeling a poorly-looking house into a dream home.
There are also investment companies that pay in cash and purchase homes as-is. These property flipping companies are looking to purchase homes for pennies on the dollar. They do not want to pay anywhere close to the market value.
If you want to sell fast and aren’t concerned about what value you get for the property, selling as is make make the most sense. Selling as-is also won’t make as significant an impact when affordable dwellings are hard to come by.
3. They want to avoid stress.
Selling a home can be stressful. But, if you sell a house as is then it takes a lot of responsibility off you. Sometimes sellers find themselves in situations where they have to sell their home, but they are genuinely unable to deal with the stress of the selling process.
Some responsibilities and preparatory stages when selling a property that you have to take include pre-sale inspections, staging, and open houses. Thus, going on the as-is route can make the process easier and makes the most sense.
4. They are in financial distress.
Sometimes, owners are in severe financial distress that selling their home as is is more reasonable. The immediate sale of the house can help them secure the funds that they need.
Not everyone wants to be in a challenging financial situation, but getting rid of some properties that can help with any financial burden is what most people prefer. Some of these sellers choose to downgrade their lifestyle and move out to a more affordable home.
5. They want to weed out less serious buyers.
Selling an as is house lets buyers know that sellers don’t want to deal with any negotiations. While this can scare away some buyers, it also works to simplify the process for those who are genuinely interested in your property. You won’t have to deal with less enthusiastic shoppers that would only waste your time and effort.
Before selling any home, you should seek the expert advice of a local Realtor. They know the market, and once they’ve seen your home and heard your story, they can better direct you towards the path that makes the most sense.
Once you have this valuable information, you can choose to sell a house as is or the standard method. There are pros to both courses of action and you are ultimately in the driver’s seat.