~ AS IS ~
We oftentimes see "Sold As Is" in the description for properties for sale... but... what does that really mean? You need to keep in mind that the circumstances surrounding each property are all VERY different. Each seller has a different motivation for selling "as is" but I typically see it in 3 main situations:
FORECLOSURES:
When a bank is selling a home, they want it to be as uncomplicated as possible. The bank is unwilling to get into negotiations or take on the responsibility of repairs. Their main goal is to unload the property as quickly as possible. Foreclosures & "as is" go hand in hand.
ESTATES:
When a house is being sold to satisfy an estate, the relatives of the previous owner are responsible for coordinating the sale of the property. If relatives aren't local, then monitoring & orchestrating repairs becomes logistically difficult. Many estates are advertised as being sold "as is" due to this reason. If relatives are local, then this is less likely.
LOW SALES PRICE:
Many sellers, especially when they feel that the asking price is extremely reasonable, say "If someone wants it at that price, that's fine, but I'm not doing any extra work!" That's when the "as is" comes into play.
A buyer is still absolutely encouraged to do their inspections. If there are any major concerns that arise on the inspection report, they can still negotiate other terms besides repairs. A good Realtor will be able to think outside the box while still respecting the "as is" condition. Other possible suggestions would include negotiating the sales price, a credit for the repair (rather than getting the repair done itself), seller assist or a home warranty.
See Katina's "As Is" video at: https://www.youtube.com/watch?v=4pAQ8Mcbu2w
Katina Hunter
Realtor
Coldwell Banker