5 Benefits of Selling a Home in as is condition

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Do Less Work. Keep More Money.

What are the five benefits of selling your home “as is” or in any condition?

1. You Keep All the Money from the Sale

2. It is Less Stressful for Sellers

3. The is Fewer Sales to Close Issues

4. Best option for selling your house fast

5. Control: Sell Your Home on Your Terms


How to sell your home and keep more of the money? Do less work! Sounds counter intuitive but can it work? Check out these 5 ways it can benefit you.

Did you ever hear that numbers don’t always tell the full story? It’s true.  You can sell for a higher price and keep much less money.

What does it mean to sell a house in as is condition?

When a real estate agent lists an as is home sale, it means the homeowner is selling the home in its current condition. They don’t want to make any repairs or improvements before the sale the house. In California the potential buyers can negotiate with the seller for any credits to fund these fix-its or issues found in the home inspection. California purchase contract come standard with an as is condition clause.

How can I sell my house with terrible conditions?

Selling a house in terrible or poor condition can be a big challenge. Homes in poor condition or some times called ugly houses struggle to attract offers because they aren’t up to the standard that most buyers expect.

The as is or “poor condition” house can be used to describe properties in a range of states, but they will typically fit into one of three categories:

  • Outdated house both in looks and function
  • In need of major repairs or many minor repairs
  • Almost uninhabitable housing

They fail to take in all the cost of selling a house. The purchase agreement sets the cost the seller will pay to sell the property. The California purchase agreement and TDS agreement does not mention anything about sellers backing out of the “As Is” offer. Only if the buyer does not meet the conditions of the purchase agreement. It is always best practice when buying a house to have a professional home inspection done.

home inspection Sacramento CA house

The standard way of selling a home could cost the owner 10% or more of the sale price in fees, commissions, cleaning, updating, home inspections and buyer repair request. California law requires disclosure of any defects known and to give the buyer access to the property to inspect.

On the other hand selling “as is” could allow the owner to keep more of the money and spend less time. Their real estate agent should tell every seller they have to fill out a disclosure statement indicating what facts affect the value and livability of the home for sale, even if the sale is “as is.”

1. You Keep All the Money from the Sale

That brings us to the first benefit for selling your property in “as is” condition. There is no need to make repairs to the home. In real estate the term “as is” means the sale is based on current condition of the property.

The way the sale should go is the buyer views and inspected the property in its current condition and agrees to a price. The property in the sale agreement is then sold in “as is” condition. The seller should not have to make any repairs to the house. Therefor the sell gets to keep more of the selling price.

Here are some examples: — I know numbers are not fun but keeping more money is……

Here is Scenario 1 the standard home sale model. Let’s say home sells for $100,000 and the seller owes $50,000 to the Mortgage Company, the realtor commission is 6% and there are another 3% in escrow, recording and other fees. But the buyer finds some inspection issues and asked for $5,000 in repairs. Here is how the numbers look.

$100,000  Property sold amount

-$50,000  Mortgage

-$6,000    realtor commission

-$3,000   escrow, recording and other fees

-$5,000  in repairs

$36,000  Net amount

Scenario 2 is a “as is” home sale. The home sells for $100,000,, the seller owes $50,000 to the Mortgage Company, the realtor commission is 6% and there are another 3% in escrow, recording and other fees. But the buyer finds some inspection issues and asked for $5,000 in repairs. But this is an “as is” sale the buyer’s do not receive the $5,000 in repairs. Here is how the numbers look.

$100,000  Property sold amount

-$50,000  Mortgage

-$6,000    realtor commission

-$3,000   escrow, recording and other fees

-$0           in repairs

$41,000  Net amount

Let’s look at one other Scenario

Scenario 3 is a “as is” home sale to a real estate investor with no realtor. The home sells for $100,000 the seller owes $50,000 to the Mortgage Company, the realtor commission is 0% because the investor pays for the paperwork and there are another 3% in escrow, recording and other fees. When the investor finds some inspection issues they understand this is an “as is” and don’t ask for any additional money. Here is how the numbers look.

$100,000  Property sold amount

-$50,000  Mortgage

-$0            realtor commission

-$3,000   escrow, recording and other fees

-$0            in repairs

$47,000  Net amount

Some investors will pay for the escrow fees as well giving the seller another $3,000 for a total of $50,000.

The “as is” sale is one major way the seller keeps more of the money from the sale.

Of course the other way is to improve your property with upgrades and rehab and sell for more money. Many realtor push this view because upgrade homes are easier and more profitable for them to sell.

But the bottom line may not change as much as seller’s think. In fact by adding the risk of finding more problems during the rehab of the house and dealing with contractor who may not do a good job will cost most sellers the profit they hope to gain.

The bottom line is not only will it cost the seller more money, time and stress, in the end the seller could end up with less money.

If you want a FREE House Rehab Checklist

2. It is Less Stressful for Sellers

Which leads to the next major benefit for selling your home in “as is” condition, it is Less Stressful for Sellers.

Selling a house in “as is” condition is less stressful because of a few things. First you as the property owner don’t have to become a home designer, general contractor, subcontractor supervisor, shop for building supplies,

learn and follow the local building and zone codes, finding the money for all the projects and be the chief problem solver. Sacramento real estate sales can be stressful but an all cash as is sale can lower the stress a lot. Placer County house sales have some special area to review like septic tank systems, well water and local zoning.

Selling your property in “as is” condition means you do not have to update or rehab it.

Also selling your home in “as is” condition means you don’t have to worry about the inspections or repair reports. The buyer is accepting the property in “as is” condition. If they or the lender needs repairs done they have to pay for it.

This is a big reason to choose the correct buyer of your property. Many retail or home buyers cannot buy a home in “as is” condition. Their lender may require a clear section 1 pest report or other repairs which they cannot afford to do.

Beware of flippers making low ball offers so they can a quick profit. A real estate investor who buys with cash can truly buy your in “as is” condition. Selling a house this way may not give you the most money for the sale.

A real estate investor takes the long view of real estate ownership. They can make a higher offer because they view the property as an asset not a deal where they make profits overnight.

3. The is Fewer Sales to Close Issues

The third benefit of selling property in “as is” condition is fewer sales fail to close.

If the property is cash sale in “as is” an inspection report or cost of repair are not the things going to stop the sale from closing.

Many retail sales of home fail to close because the buyer’s home inspection show up items they want repaired before they buy the home.

Realtor have repair request forms ready to go on almost all the homes where they represent the home buyer.

These repair requests create an expectation in the buyer’s mind that the seller will pay for any repairs.

In fact many home sellers get sued after the sale of the house is something goes wrong like the air conditioner breaking.

Selling the house in its current condition can stop many of these issues before they can kill the deal.

4. Selling “as is” is the best option for selling your house fast

The forth benefit of selling your property in “as is” condition is that it is the best option for selling your house fast. Houses sold in “as is” condition can close in 14 days or faster.

we buy houses as is in Sacramento fast cash

To do a fast “as is” condition sale the offer should be a cash deal with an experienced real estate investor. Realtors and home buyers who do not have experience in a fast real estate close just cannot get it done on time. If you want to sell your property fast you must find the correct buyer who can do it.

Sell to a cash buyer: Cash buyers, such as investors or home-buying companies, can purchase your property quickly and with minimal contingencies, since they do not need to obtain financing.

5. Control: Sell Your Home on Your Terms

A fifth benefit for selling a home in “as is” condition is to control the terms of the sale. If the seller wants a fast close “as is” condition sale can make that work. If they want it to close in 60 days they can also make that happen.

If you want to rent back the property you may be able to after the sale that is a lot easier with an “as is” condition sale.

The “as is” condition sale can allow you to move out without cleaning the property or fix any damage. The “as is” condition sale can be set up to clover all closing cost. In other words the sale price minus any mortgage is 100% the seller.

With the “as is” condition sale you can control the terms of the sale. That is a very big benefit. Again choosing the correct buyer who can deliver on all your term with a fair price is key. 

Selling your property in “as is” condition gives the seller many benefits. The “as is” condition sale is less stressful. The “as is” condition sale has no upfront costs like repairs, clean up, rehabs and staging the home.

home inspection Sacramento home buyer's agent Dan Parisi

There are no unknown costs like pest report repairs or inspection repair cost. The buyer cannot ask for credits for worn rugs, dry rot, roof leaks, pest control or a million other things the buyers want money for.

“As is” condition sale lower or eliminate post sale cost like realtor commissions, escrow fees and other nonsense cost.

The “as is” condition sale is all around better deal for the seller. It is the least stressful property sale. The “as is” sale creates the clearest bottom line house sale. It is the best way to sell a home

We have some free helps selling your property.

Frist there is the free House Rehab Checklist  this will help know the numbers to update your property.

Next get a free “as is” value for your property. Where available a professional evaluator will do a free inspection and value report. This is an amazing value.

Also you can get a free “as is” offer for your property. Where available professional real estate investors will evaluate your property and make a no obligation cash offer. If you like it,, your property is sold with no stress and in “as is” condition.