Selling houses 'As is'
Click here for Top Ten Discussions. CLICK HERE for Q & A Homepage
Receive Free Rental Owner Updates Email:  
MrLandlord Q & A
     
     
Selling houses 'As is' (by Norm [NH]) Apr 13, 2019 8:36 AM
       Selling houses 'As is' (by Mel [MA]) Apr 13, 2019 8:43 AM
       Selling houses 'As is' (by WMH [NC]) Apr 13, 2019 8:46 AM
       Selling houses 'As is' (by joe [MD]) Apr 13, 2019 8:55 AM
       Selling houses 'As is' (by NE [PA]) Apr 13, 2019 8:57 AM
       Selling houses 'As is' (by NE [PA]) Apr 13, 2019 8:59 AM
       Selling houses 'As is' (by MikeA [TX]) Apr 13, 2019 9:00 AM
       Selling houses 'As is' (by Robert J [CA]) Apr 13, 2019 10:37 AM
       Selling houses 'As is' (by Landlord ofthe Flies [TX]) Apr 13, 2019 11:27 AM
       Selling houses 'As is' (by WMH [NC]) Apr 13, 2019 12:51 PM
       Selling houses 'As is' (by Doogie [KS]) Apr 13, 2019 1:18 PM
       Selling houses 'As is' (by JKJ [MA]) Apr 13, 2019 1:30 PM
       Selling houses 'As is' (by TA [CA]) Apr 14, 2019 2:01 AM
       Selling houses 'As is' (by Hoosier [IN]) Apr 14, 2019 3:35 PM
       Selling houses 'As is' (by Dee [AZ]) Apr 15, 2019 12:26 PM
       Selling houses 'As is' (by Sisco [MO]) Apr 15, 2019 1:32 PM
       Selling houses 'As is' (by Pmh [TX]) Apr 15, 2019 1:36 PM

Click here to reply to this discussion.
Click Here to send this discussion to a friend

Selling houses 'As is' (by Norm [NH]) Posted on: Apr 13, 2019 8:36 AM
Message:

After being consistently chiseled down by many over critical and deceitful buyers of properties I have recently sold, I am seriously considering selling in the future "As is."

One of my concerns is that I have been warned to never advertise them as such, because it instantly turns off a lot of good people who would otherwise be potential buyers.

In any case, I would greatly appreciate any input and guidance on this overall procedure and any other cautionary negatives - or positives.

Norm --173.48.xxx.xxx




Selling houses 'As is' (by Mel [MA]) Posted on: Apr 13, 2019 8:43 AM
Message:

From my past experience, to avoid any future conflict over what was or was not said during future negotiations, I would advise being totally open about properties being sold As is right up front in your ads.

Good Luck! --173.48.xxx.xxx




Selling houses 'As is' (by WMH [NC]) Posted on: Apr 13, 2019 8:46 AM
Message:

Depends on your market and your price point. Here, houses under $300k or so are routinely sold "As Is." Buyers are still allowed to do inspections and can still haggle with you if they want, but usually it's just take it or leave it.

What we do, if we really want a house, is bid full price (these being cheapo houses to begin with) and then, if we find something wrong with a major system (septic being a big one) we will go back and lower our offer. Seller is free to not take it, but now that he knows of this particular defect he has to disclose it to future Buyers. --50.82.xxx.xx




Selling houses 'As is' (by joe [MD]) Posted on: Apr 13, 2019 8:55 AM
Message:

I don't mention the words as as to potential buyers until the subject of inspections comes up. At which time, I am VERY CAREFUL not to promise anything that is not put in writing. --173.48.xxx.xxx




Selling houses 'As is' (by NE [PA]) Posted on: Apr 13, 2019 8:57 AM
Message:

I sell as-is. I'm not HGTV. I sell to first time home buyers who are looking for a place to kick off their shoes and love their wives. ;)

As brash as that may sound, I am 100% dead serious. If they don't like what I have to offer after I just spent 2 to 6 months remodeling the entire place, I don't care if they want it. They can go somewhere else. I'm not in the game of catering to picky buyers.

If you don't like the idea of selling as is, then don't advertise like that. What you can do is if they elect to have inspections done, tell them that is fine right up front that you can get whatever inspections you want for your own benefit, but I don't want to know what's wrong and you can fix it yourself when you buy it.

And if you are not comfortable with doing it that way, get the inspections wishlist of what the buyers want and X off the nonsense, because it will mostly be stuff that's not really needed. Focus on fixing the gigantic issues (as long as they are easy) or fix all the small nonsense and pass on the big wishlist items unless its bank required.

Be careful with some lending institutions as they will require their own inspection above and beyond what the buyers get. If that's the case, FIX NOTHING until you get the bank's list of demands.

You must focus on minimizing what you fix because sometimes they still walk and you'll be out that money and be lucky if you can even keep the deposit. Then along comes the next buyer with a new list of demands and the next thing you know, you're posting here for solutions.

The inspections are typically pushed by realtors to cover their own a$$e$. --174.201.xx.xx




Selling houses 'As is' (by NE [PA]) Posted on: Apr 13, 2019 8:59 AM
Message:

Also, the reverse works when your buying. Buy as-is, stay low as-is in your offers. Creep up with inspecting and desire for solutions as your offers go up.

Move incrementally when buying and selling.

Once you get seasoned, you'll see the weakness in the buyers, sellers, banks, and realtors armor. --174.201.xx.xx




Selling houses 'As is' (by MikeA [TX]) Posted on: Apr 13, 2019 9:00 AM
Message:

A lot depends on the house you are selling. If it is top notch condition and updated I wouldn't sell in "as is" condition. You will loose at least 20-30% of top buyers who won't look at as-is and will assume that there is something major wrong with the property. If it is a marginal property or in need of repairs it is not that big a deal, you won't attract those buyers anyway. How hot the market also factors in, hot market not as big a deal, cold market and you have less buyers from the start.

It is important to not get discouraged with buyers and/or agents trying to take advantage of you, there is all kinds out there. Your agent should be helping you through this, if not it's time to get a new agent. Most buyers are out to get the best deal they can, and or lock up your property under contract for extended periods so they can negotiate the price. Realizing this, it is up to you to only accept a contract that will meet your needs and not keep the property locked up longer than absolutely necessary for buyers to do due diligence. If it doesn't meet your needs either counter offer or just let them move on, simply how the game is played. --50.26.xx.xxx




Selling houses 'As is' (by Robert J [CA]) Posted on: Apr 13, 2019 10:37 AM
Message:

I had a friend who wanted to sell their old residence. They purchased a new home and rented out their old property. It needed a lot of work and they though they had only two choices:

1) Fix up the home for $100,000 and sell at the top of the market

or

2) Sell the house as-is and take whatever they could get!

I came up with a 3rd option. Do some cheep fixes to show the property has potential and character. So for less than $10,000 we gave it a make over. Paint, flooring, blinds, curb appeal (landscaping), new kitchen counter and custom painted the old cabinets with new hardware.

The house sold quickly because it was priced accordingly. They spent 10K and got a reasonable market price without going overboard.

When it came to selling the house, I told my friends that if a buyer wanted something done before the close of escrow, instead give the buyers a "credit" so you didn't have to do any other work and waste time or money. --47.156.xx.xx




Selling houses 'As is' (by Landlord ofthe Flies [TX]) Posted on: Apr 13, 2019 11:27 AM
Message:

In TX, all sales contracts for 1-4 Residential Housing specifies that the sale is "as-is" except for what's listed below. I don't know why you have to advertise "as-is" since it's always assumed. You do have to disclose known defects and issues.

That's the list I'd repair, but don't go overboard repairing everything. A buyer's home inspector will need to find something wrong with the house to justify their service. Give them some easy cheap targets so they don't have to spend time finding a target.

I disagree with those that say inspectors are useless. I value them and that report gives me a really good idea of the condition and the potential items that need fixing. Plus, it only costs a few hundred, and I can usually use the report to get at least $500 off the sales price concerning some defect they found.

In my case, they found out my new house had CSST gas tubing and alerted me to the issues with CSST tubing, mainly lightening strikes could perforate pipe if struck and both leak and ignite the gas inside. Considering I'm in a lightning zone, that was important to know.

--108.69.xxx.xxx




Selling houses 'As is' (by WMH [NC]) Posted on: Apr 13, 2019 12:51 PM
Message:

LLOTF, we've bought enough houses now that we can do our inspections on major systems OR call in our regular tradesmen to check THEIR specialties (Roof, plumbing, septic, electrical, HVAC, carpenter) either for free or for far less than a "Home Inspector" charges us.

The picayune imperfections that the HIs come up with are not of interest to us.

HOWEVER, for someone buying their first or second or third home, they are worth the money to see what they actually inspect. --50.82.xxx.xx




Selling houses 'As is' (by Doogie [KS]) Posted on: Apr 13, 2019 1:18 PM
Message:

I operate much like WMH. I haven't hired an inspection done for a while. My first few houses I did, but haven't after that. I got out of a contract recently because I discovered some major (read EXPENSIVE) issues the house had. I have no doubt an inspector would have come up with the same conclusion, but I saved a few hundred by doing it myself.

As for advertising for sale that way, I have mixed feelings. As an investor, it doesn't bother me a bit. As a first time home buyer, it might. Might depend on the realtor too. You can always not advertise it that way and then not agree to fix anything if they want it? If they discover something major, you may have to fix it anyway? --72.209.xxx.xxx




Selling houses 'As is' (by JKJ [MA]) Posted on: Apr 13, 2019 1:30 PM
Message:

I have never purchased or sold a house “as is” however I have family that have purchased investment property in this manner and sold investment property in this way as well. Typically they have the house listed as they would any other house, then when the buyer mentions a house inspection they are told they are obviously free to have an inspection done but no repairs will be made and no money will be taken off the price. They told me they do this because, (At least in this area, the North East) advertising it “as is” really scares off a lot of people actually looking at the home. Probably afraid it has a major issues. --174.192.xx.xxx




Selling houses 'As is' (by TA [CA]) Posted on: Apr 14, 2019 2:01 AM
Message:

As is can mean different things to different people. Unless you are buying a new home with a warranty, it is as-is. Home warranties for existing homes are really more of appliance warranties.

I would spell out in the listing notes if you mean you will not be making repairs, or will not be negotiating on price due to the inspection at all, or just minor issues in the inspection but will consider material changes, or if you know the home will not qualify for a traditional mortgage and only cash offers are accepted, or if you are only accepting offers with no inspection contingency(but buyers are free to get an inspection and take it or leave it). It certainly depends on your market, but you usually come out ahead selling to an owner occupant who wants to reduce the price or make some repairs compared to selling as is to an investor. --73.15.xx.xxx




Selling houses 'As is' (by Hoosier [IN]) Posted on: Apr 14, 2019 3:35 PM
Message:

I was a licensed home inspector for 7 years. I don't think it turns people off, but it also does not deter them from asking you for more money off or to fix something if they found an issue. Of course you can refuse to do so....you both have "rights"...they have the right not to buy, you have the right not to fix anything.

I'd say of the houses I inspected that were sold "as is", 90% of the buyers still asked for things to be fixed.

As a home inspector, it was not my place to advise them either way on this. If they asked me whether they should ask for repairs on an "as is" home, I would say "you should consult your realtor, that is their area of expertise". But I would find out later or get a scheduled "reinspection" to look at the items they had fixed. --99.92.xxx.xxx




Selling houses 'As is' (by Dee [AZ]) Posted on: Apr 15, 2019 12:26 PM
Message:

I agree that homes listed for sale are innately considered "as Is". It used to be solely up to the buyer (beware) to find the problems via inspections before making the purchase and not the responsibility of the seller. Although laws have changed mandating sellers to reveal property defects (there's a whole seller form list to fill out on this part). But it's still buyer beware as " long as the seller has no awareness" theres no way to determine if they are just lying. I have run into that personally. Also need to be careful if your RE agent says I know an inspector I can recommend for you and he's a lot cheaper too.......run from that and find your own home inspector as your RE and Inspector might have a pac that short changes your home inspection to move the sale through. I experienced this because I trusted my agent. RE salespeople are much like car sales people in the end so do your do diligence. Once you know what condition it's in, you can haggle price or walk away. Just remember you get your earnest money back if after inspection, you decide not to buy it, but you're out the inspection fee. If you can prove they hid defects/repairs they should know of, you might be able to get your inspection fees back too. --72.208.xxx.xx




Selling houses 'As is' (by Sisco [MO]) Posted on: Apr 15, 2019 1:32 PM
Message:

1.) Make sure that paint, cabinets, flooring, appliances, decor, lawn, and flower beds are all new.

2.) Price your home no higher than mid point of your house comps.

3.) Be willing to fix anything the buyer mentions.

These are the tips to sell your home that a local realtor mentioned on social media.

It is no wonder that many now prefer to rent. --72.172.xxx.xx




Selling houses 'As is' (by Pmh [TX]) Posted on: Apr 15, 2019 1:36 PM
Message:

LLOTF has it precisely --70.119.xxx.xxx



Click Here to send this discussion to a friend
Report discussion to Webmaster


Reply:
Subject: RE: Selling houses 'As is'
Your Name:
Your State:

Message:
Selling houses 'As is'
Would you like to be notified via email when somebody replies to this thread?
If so, you must include your valid email address here. Do not add your address more than once per thread/subject. By entering your email address here, you agree to receive notification from Mrlandlord.com every time anyone replies to "this" thread. You will receive response notifications for up to one week following the original post. Your email address will not be visible to readers.
Email Address: