Removing The "as Is Claus"

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the investor buy my investment prop whats this taken out of the sales contract. what issues would this cause if any. thanks

Comments(4)

  • hibby7612th November, 2003

    Please edit your post and clarify. I don't have a clue what you're asking.

  • nebulousd12th November, 2003

    if he doesn't want it in an as is condition, find someone else. They can have an inspection done and if they don't like what they find, they don't have to buy it. I would just find someone else.

  • InActive_Account12th November, 2003

    When you have the "AS-IS" clause in your contract you are selling the house as it is, you will do no repairs or price adjustments for the buyer if he chooses to inspect it and then finds any defect no matter big or small.

    AS-IS is great for the seller, bad for the buyer. It can make an unsophisticated buyer nervous since it is not what the average buyer is used to seeing in a realestate contract. AS-IS is pretty common on foreclosed, bank owned or really bad condition properties.

    I don't know what type of house you are selling or to whom, but if you are retailing a nice house I wouldn't include an AS-IS clause unless you can get away with it. A retail buyer of a nice house is naturally going to be suspicious of what is hiding in the house waiting to get him financially after he moves in, if you sell him the house as is. So what this could cause you is to lose potential buyers if you are advertising it as is, or listing it in the MLS as as is.

    If you take it out you will gain buyers, but you will run the risk of having to lower your price or fix something after the buyer does his inspection if they find any issues.

    _________________
    Mike - Denver, Colorado - "I had my hair cut twice and it is still too short!"[ Edited by The-Rehabinator on Date 11/12/2003 ]

  • Stockpro9912th November, 2003

    I buy rehabs as is buyer beware, usually for cash.

    If selling a house I state that I will fix anything not noticed in the original walk through up to $500. Repairs over $500 will need to be negotiated between the buyer and the seller and a new purchase price agreed upon.

    That said, I have found several home warranty programs for 200-400$. Oftent his is a real mind easer for the buyer.

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