Sell In As-Is Condition
As anyone who’s worked in the business can attest to, the real estate industry loves its abbreviations and lingo. From CMAs to PMI, piggyback loans to short sales, the language of real estate can be confusing – even to those of us who deal with it every day! Every once in a while, though, you come across a term that says exactly what it means – like “as-is condition.” No tricks or creative language here – when you buy or sell in as-is condition, the name of the game is, well, the name of the game!
Of course, there’s more to it than just that – at its surface, an as-is sale is one in which you buy or sell a property in its current state, exactly as you see it, with no representations about its condition being made by either party. At first glance, this seems like the ideal situation for a seller. They don’t have to worry about saying something inaccurate or misleading about the property, or about necessary repairs down the road coming back to haunt them. This can be especially beneficial if the seller has never lived in the property and doesn’t know much about it, or knows that it needs a lot of work, ensuring that they won’t be held responsible for any necessary – and possibly expensive – repairs.
The buyer can benefit too, though, whether they’re purchasing as an investor or looking to live in the property themselves. The main draw of an as-is condition sale for buyers is that it’s a great negotiating tool – a buyer in this type of transaction has lots of leverage to negotiate the price down, and can often make up for any repairs that might be needed by purchasing the property for a lower price, to begin with.
That said, it might be tempting for one or both parties to try to take advantage of the situation in order to get the best possible deal. As far as we’re concerned, though, that shouldn’t be the goal of this type of transaction – if you as a seller know that something major is wrong with the property, you should consider sharing that information with potential buyers regardless of whether it’s an as-is sale. For buyers, we suggest the use of research and reason to negotiate a better price, not fear or intimidation. By maintaining respect and professionalism throughout the deal, whether the property is being sold in as-is condition or not, you’ll achieve the best possible outcome for both parties.
To learn more about as-is condition sales, give us a call at 828-222-6443 or visit us on the web at AshevilleCashBuyers.com.