Buying an AS-IS Propertyin Northern Virginia As Of...WHEN?
If you are buying a bank owned home (often referred to as a foreclosure) or a short sale in Northern Virginia, you are likely going to be buying the home AS-IS. When you're agent sits down the write the offer and pulls out the AS-IS clause, there are three choices of AS-IS dates. Those dates and the reasoning behind why you, or the Seller, would choose each one is as follows:
CONTRACT DATE: This is a popular choice for buyers and their agents. You know the condition of the property on the day you saw it. So make sure if you choose this option that you are actually dating your offer the date you physically SAW the listing....even if that was two weeks ago. Of course, if a buyer wants to choose this option and hasn't seen the home in two weeks, I'd recommend another visit before signing the offer.
DATE OF THE HOME INSPECTION: This is my favorite choice whether I am representing the sellers or buyers. Why? There is no way you can get into a he said/she said argument over property condition when you have a written home inspection report to refer too. This could be dangerous if the property has sustained some damage since you wrote the offer. This may be a particular concern if you are buying a short sale and you may have delayed the home inspection until after short sale approval. That means you could be three months away from when you first saw the home. Maybe more.
SETTLEMENT DATE: This is the least favorable of them all for buyers, in my opinion. Sure your contract covers conveyances, so if a refrigerator was supposed to be in the house, and a financially strapped seller took it, you have recourse. Your walk through will give a record of property condition. If it's been vacant, maybe it's no big deal. Personally, I don't like this option unless there is a vacant home that will have a fast settlement.
Ultimately, this is the buyer's choice when making the offer. Pick the option that makes you, the buyer, most comfortable. And if you have questions about buying an AS-IS property, ask your Buyer's Agent.
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