It is important to understand what "As-Is" means when it comes to a home for sale. Most bank owned homes and short sales are sold "As-Is", and with the current number of these types of sales listed on the market it is imperative that the home buyer understands what the term means.
Purchasing a home "As-Is" basically means that the seller (bank or owner) is not willing to make any repairs to the property. You are buying the home in it's current condition. That could mean that the leaky roof or faulty electrical will be your responsibility to repair after closing.
Every home buyer, but especially a buyer purchasing a home advertised "As-Is" should complete a home inspection. The results of the inspection will help you evaluate the condition of the property and alert you to any immediate repairs that need to be made, and any maintenance issues that will need to be addressed. After the inspection you have the option of canceling the contract (if you find more work than you expected) or proceeding towards closing.
Every so often an "As-Is" seller will agree to a repair or a price concession if a major safety issue is uncovered, but the buyer should go into the transaction understanding that the inspection is for their information only. Most often the seller of an "As-Is" property will respond to a request for repairs or concessions after inspection with "What part of As-Is do you not understand?".
Your Buyer's Agent should be well versed in the type of property you are purchasing (short sale, bank owned, estate, etc). The advice and guidance given by your agent can assist you in making a good investment decision (ie not taking on a project that is outside of your comfort zone or budget) and in successfully negotiating a deal on an "As-Is" home.
As a Certified Foreclosure Specialist, I am well qualified to assist both buyers and sellers in dealing with an "As-Is" transaction. I can be reached via email at angelahardy@pnwrealty.com or by phone or text at 425-210-1071.
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