I've been thinking about contracts. Really? That's what I'm thinking about? Well, as a matter of fact, it is. The "As Is" Addendum, to be specific.
In Maryland, there are several ways to do this...but seems sometimes it benefits the sellers, sometimes it benefits the buyer, and sometimes it is unclear...
If a seller's house is in rather good condition, but he/she is just being lazy or in a hurry to sell and says to his agent, "I just want to sell it as is. I don't want to have to fix anything." Is it a good idea for the agent to put that in the description on the listing? I think not. What would be the outcome? Very little. Most buyers would think..."Uh oh...this house must be in terrible shape. I don't want to even see it." Seems to me that would not benefit the seller very well if he really wanted to sell his house.
On the other hand, if it is in really,
really terrible shape I think it would benefit everyone involved. Perhaps someone is looking for a house with great bones that he can totally gut and renovate. This would be the house for him.
Now, what about the buyers? In Maryland there are a couple of options in reference to inspections. In the body of the contract (or with an addendum), the buyer can have an inspection with a total "out" saying that if they don't like the results that they can just "walk". What does that say to the seller? At first blush the seller would say, "No, screw you...I'm not going for that!"
On the other hand, as is most common, the buyer would have the inspection and present the results to the seller for the seller to come back with what he will or will not do. Here's where the fun begins. Bring on the negotiations!
But wait...let's go back to the paragraph before last. If the buyers have the inspection, they would not have to tell the sellers what is wrong with it and if they walked away, the sellers could put it right back on the market. BUT, if the buyers have the inspection the common way--inviting a give and take--once the sellers are aware of any latent defects, they MUST disclose it the next time they put it on the market (if it reached that point). Sometimes ignorance is bliss.
I don't know...what seems so simple definitely is NOT. What are your thoughts?