If a house is being sold "As is" should we assume there's a problem?

[VArealtor]

Anonymous wrote:To the realtor who posted, are sellers generally receptive to as is inspections in those cases? Do the realtors ever give potential buyers info about the issues if there's something they already know (the hvac doesn't work, the roof is 50 years old and leaking)?

The seller has to disclose any known major issues. Assuming the realtor is aware, he/she will disclose those to you and/or your realtor directly if you are considering the property.

Whether the seller will be accommodating of inspection contingencies is entirely dependent on the individual seller and what his/her priorities are in the transaction.

[Anonymous]

Realtor (only): What is considered a "major issue"?

[Anonymous]

If the seller is deceased, as is often the case with "estate" houses, there is no one to disclose information to a buyer. This is one of the reasons for an "as is" sale

[Anonymous]

Having been through a number of sales (and having worked as a real estate agent) I may sell eventually "as is" simply because I don't want the haggling that usually comes after an inspection. It's ugly business and some buyers are just never satisfied. Once you go down that road of making repairs or slashing the price to accommodate for the alleged "problem" it just is never ending.

[Anonymous]

Anonymous wrote:To the realtor who posted, are sellers generally receptive to as is inspections in those cases? Do the realtors ever give potential buyers info about the issues if there's something they already know (the hvac doesn't work, the roof is 50 years old and leaking)?

No they won't. That's why you need an inspection, which probably won't catch everything even if a house is in good shape.

[Anonymous]

There is a problem with every house and many problems won't be discovered until after you move in. That's a fact.
As is just means you can't sue them for it.
It means you need a very thorough inspection and make sure you have a few thousand left to fix whatever you need.

It can be a good deal. We bought a foreclosure and had to do inspection before we put the offer in. Worked out just fine and this place was falling apart. We knew we had to renovate and there really weren't too many surprises. The house is only 20 years old though and we got a good deal. It it's a very old house, you might have more to fix.

[Anonymous]

When we were looking, we saw some "as is" homes. All were short sales. So if the house is on the market as a short sale, it is not likely that they even have the money to do the repairs. Some of the houses we saw were perfectly fine (all pre inspection). A few would have needed some major work. The one we put a contract on was a tear down for an amazing deal in a great area. However, after not hearing a response from the sellers for 3+ weeks, we pulled the contract and purchased another tear down.

[Anonymous]

I would probably avoid an "as is" sale. I think its a pretty big red flag.

[Anonymous]

Anonymous wrote:I would probably avoid an "as is" sale. I think its a pretty big red flag.

Then you're basically shut out of hot markets, where sellers are listing as-is basically just because they can. It's not necessarily a red flag at all.

[Anonymous]

I sold a house "as is" when I put my father's house on the market. He had not done any work on the house in the 40 years that he had lived there. I fixed the roof, installed a new boiler, replaced the toilets, upgraded the wiring, and refurbished the basement. (The basement was water damaged, so I had to replace the floor and walls.) Structurally, the house was in good shape, but it needed a lot of cosmetic work done, particularly in the kitchen and bathrooms. I sold it "as is" because I was exhausted from caring for my father and didn't see the point of repainting and remodeling, only to have the next owners rip out the cosmetic work and design to their own taste. We got a very good price for the house. Perhaps I could have gotten a better price by remodeling, but when you figure in the remodeling costs, it wouldn't have been much of a profit. It just wasn't worth it to me. I wanted to spend time with my father instead of the house.

[Anonymous]

We bought our house *as is*. We bought knowing the basement had flooded, the air conditioner was ready to crap out, the hardwood floors were a mess, etc. We bought for the neighborhood and didn't tear dow -have spent the last 7 years updating, ripping out and building up. The previous owner passed away and the house was willed to her sister, who needed the cash, so we low balled, paid cash, and bought as is. Worked out ok fo rus but we had cash to sink in the house immediately.

[Anonymous]

NP agent here: as-is doesn't mean today what it meant 10-15 years ago. Unless my client is listing in a 30-45 day area, I always advise listing as-is. It just speeds up the process and makes everyone aware up front that there is no inspection contingency.

As others noted, all major known defects must be disclosed anyway, and a buyer is almost always welcome to do an inspection post-deposit without any recourse to my seller.

I work mainly in Bethesda and Downtown Silver Spring - it is possible that in other areas (especially VA, where I do not work) that there are different customs or perceptions.

[Anonymous]

Anonymous wrote:NP agent here: as-is doesn't mean today what it meant 10-15 years ago. Unless my client is listing in a 30-45 day area, I always advise listing as-is. It just speeds up the process and makes everyone aware up front that there is no inspection contingency.

As others noted, all major known defects must be disclosed anyway, and a buyer is almost always welcome to do an inspection post-deposit without any recourse to my seller.

I work mainly in Bethesda and Downtown Silver Spring - it is possible that in other areas (especially VA, where I do not work) that there are different customs or perceptions.

When are major known defects supposed to be disclosed?? Is that only on as-is sales? I was under the impression that it's "buyer beware" and sellers don't have to tell you anything.

[Anonymous]

We listed our house for sale as is because we were in a hot area and didn't feel like haggling back and forth or spending time fixing minor things. There were no big problems with the house - we just didn't want the hassle that comes with not listing as-is and living where we were, we could list it as is and still get a good price.

When we were buying a house a bit later, a lot of them were listed as is - not a dealbreaker if I can have my own informational inspection to see what it is I would be buying and if it's worth it. We ended up buying one that was not as is but might as well have been because the sellers did not want to make any repairs and that was fine with us.

[Anonymous]

Very different market here than other places I have lived; it seems most houses in the outer suburbs in my price range are listed "as is." We plan to have our own inspection anyhow, but this thread has been very enlightening--as I just assumed any "as is" house had major problems.