REAL ESTATE MAILBAG
ADEAR ALTA: That's the shortest real estate question -- and one of the best -- I have ever received. I wish the answer could be so brief.</br></br>An "as is" real estate sale means the seller will not pay for any property repairs but must disclose all known defects.</br></br>Many sellers of older homes sell "as is" because they don't want to be inconvenienced with repairs or renovations, realize the buyers may want to tear down the house or remodel to their own preferences, and/or can't afford to make repairs.</br></br>Personally, I learned about "as is" home sales after I bought a foreclosure house from a bank. The realty agent marketing the residence emphasized that the sale was "as is" and that the bank wouldn't pay for any repairs. But the price was such a bargain that I was blindsided and failed to notice all the items that needed repair or replacement. Fortunately, I had plans to renovate the property, so it really didn't matter, and I eventually resold that property at a substantial profit.</br></br>Sellers of "as is" houses should realize that it is a red-flag warning to buyers, who usually expect a sales price discount from full-market value to compensate for the needed repairs. Buyers of "as is" houses can often obtain bargain purchase prices, but they should always make their purchase offer contingent on approval of a professional inspection report.