" AS IS' Home purchase . What buyers should know .

By
Real Estate Agent with RE/MAX Centre Realtors
http://actvra.in/srx

"AS IS" home purchase . What buyers should know before writing the purchase agreement.

This is not legal advice and buyers should seek legal advice when purchasing a home. Laws may be different in different States Ask your Real estate agent to guide you about disclosure laws in the state.

Before making an offer on a home please know that when sellers say they are selling the home ' as is ' it does not mean that you cannot have a home inspection. In fact you should always have a home inspected by a quailfied home inspector.

The purpose of the home inspection is to find out about material defects . If it is going to cost too much to repair / replace items mentioned by the home inspector, based on the contingency clause in your agreement of sale, you can decide whether you want to purchase the home or not. When the seller is selling 'as is,'  it means that the seller is not going to do repairs. This is quite common in bank owned homes .

It is important to get a home inspection even when you are buying a home  'AS IS'

The sellers may have a number of reasons for selling 'AS IS.'

1. They may not have enough money to pay for repairs.

2.They may not know any handymen or contractors to get the work done.

3. They may be scared to have strangers come to the house to repair the items.

4.They may not want to be bothered with repairs and may not mind selling for less money. They may have listed accordingly.

5.It may be an inconvenience to repair or replace items that need it for a number of reasons including health issues, relocation etc.

If your contract states that you have the option to back out of the contract if you are not satisfied with the inspection report you can do so. You can also try to get the seller to credit you at settlement for  items mentioned in the inspection report.

In some instances the seller may be willing to adjust the price or give you credit at settlement.

Another misconception buyers have about AS IS sales is they think that they will get all the furniture in the house when they buy the house. Furniture is not part of real estate . Fixtures that are permanently installed are included but the furniture is not included unless it is mentioned in the mls and you should then  mention in the agreement of sale that it should be included. All inclusions and exclusions should be spelled out. It is common for washer, dryer and refrigerator to be negotiable items, because they are not permanently attached they are not  fixtures.

Also make sure you have a clause that says the place should be broom clean, There have been sellers who have left all the junk in the basement saying it was sold AS IS . You may have to buy a home in this condition  if it is a foreclosed hom.

It is important to work with a good buyer agent and a good attorney when buying a home.

Sellers should disclose known material defects even if they are selling AS IS. Check with your agent  or attorney about discosure laws.

 

 

 

 

 

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When you read about events please check the year for the event as some people find information a year later and think it is for that year. . The posts remain online even after the event.

Gita Bantwal is a Realtor with RE/MAX Centre Realtors in Bucks County, a Northern suburb of Philadelphia. You can view 1000s of listings on her web site www.GitaBantwal.com

 

She can be reached at 215-343-8200x124 or direct 215-275-8491 or via email gita01@aol.com

If you would like a FREE MARKET EVALUATION OF YOUR HOME IN PHILADELPHIA, BUCKS or MONTGOMERY COUNTY call me at 2152758491

 Gita specializes in Active adult communities and is a Seniors Real Estate Specialist. She holds the ABR designation (Accredited Buyers Representative) and specializes in selling to first time buyers as well as move up buyers.Gita also hold the CRS designation , Certified Residential Specialist and the CDPE designation as well. Information about real estate market is deemed to be correct but is subject to errors and omissions and should be verified independently.. Opinion expressed by me or others  in my post and comments is not to be construed to be  legal advice.I am licensed in Pa. Check real estate laws in your state as they may be different than in Pa.

IF YOU WOULD LIKE TO SUBSCRIBE TO MY BLOG         CLICK HERE   OR EMAIL ME AT Gita01@aol.com

 

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Re-Bloggged 5 times:

Re-Blogged By Re-Blogged At
  1. Ritu Desai 02/02/2012 02:39 PM
  2. Gene Riemenschneider 02/04/2012 12:29 PM
  3. Gabe Sanders 02/06/2012 06:19 AM
  4. Dale Taylor 02/25/2012 10:36 PM
  5. Joy Daniels 10/06/2012 03:39 PM
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Topic:
Real Estate General Information
Location:
Pennsylvania
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as is home sale

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Rainmaker
1,752,945
Gita Bantwal
REALTOR,ABR,CRS,SRES,GRI - Bucks County & Philadel
RE/MAX Centre Realtors

Luis, We should explain it to buyers and make an offer accordingly.

Sandy, Thanks for reading.

Kasey, There should be some kind of a clause so that there will not be surprises.

Roy, Have a good day.

Sylvie. It is important to have a home inspection.

February 06, 2012 09:06 AM
Rainmaker
638,804
Elite Home Sales Team
Tenacious and skilled real estate team
Keller Williams Realty

Inspection is even more important on as is sales. When the issue is major often a bank will make the repair on the property.

February 25, 2012 10:43 PM
Rainmaker
1,752,945
Gita Bantwal
REALTOR,ABR,CRS,SRES,GRI - Bucks County & Philadel
RE/MAX Centre Realtors

Elite home sales team, I agree. Inspections are important in' as is 'sales.

February 29, 2012 02:28 PM
Rainmaker
529,870
Gary Frimann
California Broker and REALTOR
Eagle Ridge Realty / Signature Homes & Estates

Gita, that was a great explanation of an "as-is" sale that I've ever seen.  Whatever the reawson, I'm glad you included the hint that the seller may take less money.  SOme people are scared off by someone wanting an as-is sale.

October 06, 2012 05:41 PM
Rainmaker
1,752,945
Gita Bantwal
REALTOR,ABR,CRS,SRES,GRI - Bucks County & Philadel
RE/MAX Centre Realtors

Gary, Sellers should realize that buyers do not offer full price if it needs work.

October 07, 2012 03:31 AM
Anonymous
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