The term “as-is” in a real estate listing indicates that the buyer must be willing to accept the home exactly as it currently is, foregoing any opportunity to request that the seller make repairs or offer credits for problems with the property. Let’s take a look at how you may encounter the term “as-is” in a real estate transaction.
The Entire Property Being Sold “As-Is”
When the entire property is being listed and sold “as-is”, the seller will not make any repairs, nor offer any credits for potential defects of the home or grounds.
Some examples of major defects that the seller would not have to correct might include:
- Structural problems
- Leaking or faulty roof
- Active insect infestation or damage
- Non-functioning systems (HVAC, septic system, etc.)
- Mold or mildew problems
- Presence of asbestos or other harmful materials
It’s very important to have a home inspection so you’ll be prepared to make any repairs yourself upon possession. There are also circumstances that don’t guarantee that the home will be in the same condition as when you viewed it, or that the appliances will still be present when you get the keys to the home. These are all chances you take when buying “as-is, where-is”, so make sure you have professionals walking you through the process and you do all your research beforehand.