“As Is Condition”
Good afternoon Joe,
I have a quick question for you regarding "as is condition" sales. I recently looked at a house that is listed "as is condition" sale.
I plan to take out an FHA loan. Is this loan eligible to purchase an "as is condition" sale? What are the guidelines for an inspection to meet the requirements for either loan to be approved? Thank you
“As Is” doesn’t mean that you can’t or shouldn’t do a home inspection, it basically means that the seller is not going to pay for any repairs that may be needed as a result of the inspection.
As the buyer, you would need to decide if you will handle any and all repairs. The problem then becomes, will the lender loan on a property that the appraiser indicates repairs are required, especially if they are safety related.
What becomes a real problem is when the client is advised NOT to have an inspection done, that is certainly the time to walk away.
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