After computing the cost of repairs and maintenance, you are thinking about how to sell a house as is. Stained carpeting or really old appliances mean buyers will not see your house as ready to move in and hence might not pay top dollar.
But you do not have the time or money to carry out so much work and would instead just contend with a decent amount and move on. That is completely ok!
This guide brings to you the complete ins and outs of selling a house as is, including several ways to sell fast and how to find buyers.
Meaning of “as is”
When you add “as is” to your home listing, that means you, as a seller, will not perform any repairs, even if they surface on the inspection report. The buyer is completely aware of the state of your house and is willingly buying it in that condition.
How to sell a house as is?
Below mentioned are a few things you will have to do during an as-is sale:
When you sell house as is, it doesn’t absolve you of your duty to reveal the problems with your property. So, if you have a leaky roof or your house needs new plumbing, you will have to disclose it.
Most states require mandatory disclosures and if you fail to disclose such information and you might be staring at legal liabilities. If you have an agent, then check with them to understand your state’s disclosure laws.
Name the listing “as is”
If your listing does not have the specific language of being sold “as is”, buyers will presume it is a regular sale.
When you sell house as is, including the label helps your agent connect with the right buyers. This way the potentially interested parties also know that you will not be doing any repairs.
Conduct a pre-listing inspection
A pre-listing inspection will add transparency to your property’s condition and is usually important during an as-is sale.
If you have disclosed everything, the chances of getting non-contingent offers are more. Buyers will be aware of the exact defects with your house and place an offer accordingly.
Take up a repair project that isn’t too costly
Avoid repairs that will raise your house’s value only marginally. A home’s future value and repair costs are a one-to-one relationship.
Here are a few high ROI projects that you may consider taking up without breaking a bank:
- Declutter and deep clean
- Add a fresh coat of paint
- Fix a runny tap
Options to sell a house as is
Approach a cash buyer
The majority of the cash buyers like to buy properties off the market. So, chances are that you might have to go to them rather than they come to you.
You might also wonder what is the best site for real estate if you are selling as-is. Besides individual investors, there are two types of cash buyers: We Buy Houses companies and iBuyers.
We Buy Houses real estate companies usually only buy houses that are in dire need of repairs. They also pay only around 50% of fair market value.
iBuyers are a bit better in the sense that their offers are usually closer to the property’s fair market value. However, the offer is not as high as what you could get on the open market. Having said that their purchase criteria are quite stringent and their presence is quite limited as of now. Check out ibuyer reviews for more information.
Cash buyers are quite convenient in the sense that they do not involve a lender’s involvement to buy a house. This means that they can act quickly compared to entities who require financing.
Sell in the open market by the owner
Maybe your house is not in a very rundown state and you want to explore the type of deal you could get on the open market.
To that end, you may list your property, with a pre-listing inspection and required disclosures, at a fair price.
But remember that selling a house as-is on the open market without a realtor could be really taxing. It could be difficult for a first-time seller to determine the listing price.
Sell with an agent
Every home sale is unique in its own way and each seller has their specific needs, limitations, and end goals. You might need a sales plan to address your specific situation.
The best way is to speak with an agent who has an experience in as-is sales. This way you will avoid a bad experience and the agent will also save you from unscrupulous buyers and take a solid stand on negotiations.
Agents do a lot of homework, do a background check on the buyer, explore the ways in which the buyer may try to tip the scale in their favor and thwart those efforts.