Do you lose money when you sell your house as is? If you’re thinking about selling your house in as is condition, keep reading. We’ve included the top 3 things you should know before you make a decision and a sample comparison of what an as is sale costs versus a traditional sale.
What You Should Know About Selling As Is
There’s no doubt that selling a home can be a ton of work-especially if repairs are involved. This could be why more and more Charleston homeowners are selling their house in “as is” condition. This means selling the property in its current state and condition without making any repairs. If you’re considering selling as is, you should know a few important facts.
Sample “As Is” Sale vs. Traditional Real Estate Sale
1. You Don’t Have To List With An Agent
Most Charleston homeowners do not realize that there is more than one way to get their home sold. Traditional home sales usually involve listing with a real estate agent who takes a commission on the sale. Homeowners can also sell their house by owner (FSBO) or sell directly to a home buying company for cash.
Selling As Is For Sale By Owner (FSBO)
If you choose to sell FSBO, familiarize yourself with the appropriate laws and regulations. Be prepared to dedicate a lot of time and energy to get your house sold. If you feel that avoiding the 6% realtor commission is worth the extra work, selling FSBO could be for you. If you do not have the time to sell FSBO, but still want to save on the realtor commission, you have another option.
Selling As Is Directly To A Professional Cash Buyer
Selling directly to a professional home buyer (usually for cash) is a great option for as is sellers. Unlike FSBO and listing with an agent, you do not have to list your house and wait for an offer. A home buying company typically makes you a cash offer on the spot. People who do not have the time or resources to prepare their house for sale are prime candidates for this selling method.
2. Your Buyers Could Be Limited
Most mortgage lenders will require that a house be free of any structural, safety, or health issues. It is likely that the buyer’s lender will require an inspection before they lend money. Thus, you may be limited to buyers who can pay in cash or buyers with special construction loans. Also, keep in mind that not everyone is in the market for a fixer-upper. If your house requires purely cosmetic updates, you won’t have to worry about this one.
3. You Aren’t Exempt From Disclosures
Even if you list your house “as is”, you still have to disclose your house’s known defects. You should make it clear from the beginning that you will not be performing any repairs. You are not obligated to make these repairs, but you do have to inform potential buyers of any issues you know about. Termite damage, roof defects, foundation damage, and mold are among the items you will need to disclose. Be prepared that these disclosures may scare away a potential buyer all together. Professional home buyers will still purchase your house but may factor repair costs into their offer.
Selling As Is: Key Points To Remember
Selling your house in as is condition is possible! In fact, it can often make more financial sense than shelling out for repairs. Professional home buyers, like D Gilpin Properties, are always looking to purchase houses in as is condition. When listing your house, remember that your buyer pool will be limited and you must disclose any defects your house has.
Do you want to sell your house “as is” in Charleston? Find out what we can do for you! Call Us Today @ 843-994-3200 !