Can You Sell a House as Is?
Selling a house can be tricky at the best of times. Lots to work through, lots of viewings (hopefully) and a desperate attempt to rectify any issues to make your home more appealing to those interested in it.
Repairs and renovations can make a huge difference in the value you can get for your home. The time it takes to complete them though can result in anything but the fast house sale you had hoped for. Sometimes, the very same repairs and renovations could end up costing you much more than the expected additional value they could add to the home.
So, can you sell your house “as is”? Can you sell it in its current condition with no repairs or renovations? You may be pleased to know, the answer is yes, and in this edition of our blog, we look at how you can achieve that.
What does it mean to sell a house “as is?”
A property listed “as is” simply means that there have been and will be no repairs or renovations to current issues with the home. This could mean attempting to sell a property that had not been rewired, selling a home that has damage to the fixtures and fittings, or selling a house with Japanese knotweed for example.
Quite often, properties seen listed “as is” are those that have been inherited. Selling an inherited property “as is” tends to be the easiest option for those who have suddenly become new owners. With no real knowledge of the home or an understanding of issues that may be affecting it, an “as is” sale can be the easiest option.
What kind of properties are sold “as is”?
Any property can be sold as is, but commonly, those being sold like this fall into four categories. We’ve covered those below, and given a little insight into your best-selling options for each:
Derelict properties
Properties seen as derelict, or in very bad condition will always struggle to sell on the open market or get any buyer attention. But property investors, cash house buyers and developers will always be interested. Derelict properties can be purchased and refurbed and then sold for a profit or let out for tenants as a buy-to-let property.
Unmortgageable properties
If a buyer can’t get a mortgage on your property due to its condition, it is going to be impossible for you to sell unless the problems are fixed. This could cost vast sums, and see a sale take much longer to achieve. This can leave the most suitable option to be a cash buying company as they will not need the mortgage and can have the funds sent to you directly.
Dated properties needing refurbishment
A property that has a dated feel and look to it will not be one generating interest among many on the traditional market. People will want to be able to move into a home that is fit for their purposes and preferences. If multiple rooms need fixing up due to aged appliances, faulty pipework or damaged fixtures, the cost to upgrade as well as the current functionality and appearance will be a huge deterrent to a buyer. Much like the other examples, finding a cash house buyer or an auction house could be the best option. You may receive a lower offer, but you can guarantee the house will sell.
Cosmetic appearance
Where dated properties may need a full overhaul of kitchens, bathrooms, or bedrooms, those with cosmetic blemishes can still sell relatively fast on the market when listed “as is”. Interested buyers will want to make the home their own, and the cost of painting a wall, laying a new carpet, or altering some curtains will be significantly less than the more grandiose refurbs that some as is properties will require. As a result, selling properties that need a little touch up of the more cosmetic features can be done via more or less any means,
How do you sell a house as is?
There are a few options open to you if you opt to sell your house as is, but you should be aware that specific items need to be disclosed when selling a house, and these could deter potential buyers from moving quickly on securing your house as their next home.
Sell on open market
You could approach an estate agent and inform them of your wish to sell the home as is. They will market your property in this way, informing potential buyers that the property will not have any work done to it before a sale and any problems that exist currently will remain.
Properties take an average of around six months to sell, and that is for houses in generally good condition. If the property you are selling is riddled with faults, or even just has a small number of defects, you could see that time to sell doubled, or even never come at all. You will also need to factor in that the property value will be significantly less than a house that has had its issues rectified.
Selling at auction
You can opt to sell via auction, and this can be a good way to sell a house “as is”. With a buyer committed to purchase the moment the hammer falls, the risk of a fall-through is minimal. You will likely see a smaller price achieved than you had hoped but as many auction houses are experienced in selling problem properties, the network of interested parties is likely to be higher than that of on the open market.
Selling to a cash house buyer
Selling to a cash house buyer is probably the fastest way to sell a property as is. With a team of experienced buyers on hand and the willingness to buy any home, a sale can be completed rapidly. In the case of Gaffsy, we buy any home in as little as seven days, regardless of its condition, type, or location. This is particularly handy for those selling a property deemed unmortgageable by lenders.
What do I need to disclose if selling a house as is?
Regardless of the method you choose to sell your house, you should fill out the TA6 and TA10 forms. These disclose full information relating to the property and the fixtures and fittings of it. This can help interested parties decide on whether to make an offer and also weigh up the potential costs of fixing the problems. There may also be some problems that people see as exciting challenges, or even beneficial to them rather than being problematic. You should disclose the following:
- Whether your house is near a school or pub
- What the crime rate is like
- If your house is built of non-standard construction (add link when live)
- If a mortgage been refused on it
- If there is a history of dampness or subsidence
- Whether there has ever been a problem with Japanese knotweed, bug infestations or an influx of rodents
It is a legal requirement under the 2013 Consumer Protection Against Unfair Trading Regulations that the sale and description of properties are accurate. Failing to disclose relevant information could see the homeowner prosecuted.
Is it wise to sell a house as is?
It is ultimately up to you. If the cost of fixing any issues is going to cost significant sums and you don’t have the cash, selling as is, might be the best option. You may get lower offers than you would if your home is in tip-top shape, but due to the availability of cash house buyers, you can still guarantee a fast sale of the home regardless of whether any work has been done on it.
On the other hand, if you can affordably fix the issues, you could see the value of your home increase, and sell it for a much more favourable sum. Unfortunately, there is no guarantee that any work will drive value up sufficiently, and whilst a new kitchen can add value to your home, for example, it is by no means a dead cert.
You could also find that all the money spent on making the cosmetic appearance of the home better or rectifying some signs of damage doesn’t even get noticed by potential buyers.
If you have a property that has been listed “as is” in the past and not sold, why not speak to Gaffsy? We are the cash house buying experts that use our extensive product knowledge to help people sell problem properties fast. Our methods mean we can make an offer on your home and should it be accepted, have the process completed in as little as seven days. Need longer? Then just let us know and we can mould the sale around you. We make it possible to sell an unsellable house, so contact us today for a free, no obligation cash offer and sell your home today.
