Does “As Is” Mean I Can’t Have an Inspection when I Buy a House?
If it says the home is sold “as is”, does the buyer have to buy it without knowing what’s really wrong with the home?
The terms “as is” is found in many listings these days, especially on REO/bank owned homes and short sales.
Many in the real estate industry may think this is pretty standard language, but I have had more than one client ask me if this means that they can’t have an inspection done on the house.
Their concern is that after viewing the home one or maybe two times without professional assistance they have to make a decision whether or not they should buy the home and be willing to accept it “as is.”
I have explained to them that this is not the case.
Provided that the proper, and usual, contingencies are in the purchase contact, the buyer has the right to have inspections done of the home. If after the inspections are completed, the buyer has the right to ask for repairs (provided the request is made within the contingency period – usually 17 days here in Orange County) and decide not to buy the home if the repair request is denied.
In today’s market, most banks will not do repairs on REOs or short sales. Therefore, these homes are sold “as is”, and usually a buyer will have to decide after the inspection is done whether or not they still want to buy the home.
So, yes, you may have to buy the home “as is”, but you will get to make this decision after you have had inspections done on the home.
If you have any other questions or concerns about the buying process, please call me at 714-319-9751