Selling a House As Is in PA
Selling your home can be one of the most challenging things you have to consider. Deciding to sell the home is one thing. Another thing that people always have to think about is whether to sell the house “as is” or to do some repairs beforehand. Both scenarios have pros and cons, where one makes sense over the other. No matter what decision you make, it is vital to ensure that it’s the best one possible. Most sellers believe selling “as is” is more straightforward when they don’t want to put out more money. However, selling it that way always means receiving a lower offer.
What is Selling a House ‘As Is’ in Real Estate
Before diving any deeper into selling a house repaired or “as is,” it is essential to understand what selling a house in that condition means. In simple terms, selling a house “as is” is when you don’t make any improvements to the house before selling it. Whether it needs repairs, fresh paint, or any other problems that your home may have, you will leave all the repairs to the incoming owner. When selling a house “as is,” the seller chooses not to entertain buyers' requests to complete repairs or provide credit for fixes.
An as-is sale may also indicate that the functionality and longevity of specific components of the home, such as a stove on its last legs or an older roof, is not guaranteed. Pennsylvania law requires sellers to disclose material facts about the property through the
Seller’s Property Disclosure Statement. Sellers should be ready to omit the amount that the owner will use on repairs from the final price. When selling a house “as is,” the property's general condition should already be accounted for in the home's purchase price to the best of the seller’s knowledge. When the seller is honest with the buyer, selling a house “as is” becomes more effortless.
Which Types of Homes are Sold ‘As Is’?
Most homes sold “as is” usually need work or maybe cosmetically outdated. It is a label that you should ensure you have included on the house when you are listing it. Such a house cannot be labeled as pristine or in a move-in condition. Most houses that are sold “as is” attract investors searching for their next flip or buyers who want a bargain. The home could be in a great location or with lots of potentials. Buying an old home and flipping it could be less costly than building a new home from the ground up. If your home is in good condition and you would like to avoid making repairs, you should not list it “as is” in the property description. Bring this information up when you begin negotiations with buyers.
Problems You Have to Disclose when Selling House “As Is” in Pennsylvania
Selling a house as is in Pennsylvania doesn’t mean you sweep known problems about the house under the rug. It is required and courteous to let potential buyers know what problems they will face so they can plan how to deal with such problems. A good time to fill out Pennsylvania’s Seller’s Property Disclosure Statement is before listing your home or requesting an offer so that you know it’s taken care of. As per the document, sellers must disclose to the buyer any material defects with the property known to the seller. Material defects are items that would provide significant adverse impacts or cause unreasonable risk to the residents. The form will help you document what you know about problems such as mold, appliance issues, plumbing, electricity, and hazardous substances.
You will also be required to fill out the information about any water accumulation or dampness in the basement and crawlspace, if you’ve made any alterations to your home, when your water was last tested, any problems with the sewage system, and when the heating system was installed. You have to make these disclosures to the best of your ability always.
However, the form notes certain exceptions for sellers if they transfer the property to their spouse, direct descendant, or property co-owner. The seller may also be exempt from completing a disclosure if their property will be “demolished or converted to a non-residential use” or if the property transfer is court-ordered.
Options When Selling a Home “As Is” in Pennsylvania
Now that you know what selling a house “as is” entails, you need to know your options for selling the home. You cannot just put it into the market if you expect to sell fast. When selling a house as is in Pennsylvania, you need to market it well to ensure that you attract all the right customers. There are two main options that you can follow. They include the following:
1. List ‘as is’ Using a Real Estate Agent
Real estate agents can be used for many things, and they come in handy for anyone looking to sell a home as is. People have commended the work of real estate agents, and selling your home will become more straightforward with the right one. Agents give simple presentation tips that will help improve marketing. Agents also help to set a fair price that reflects the home’s condition. Determining the value of your home can be a challenging task. Agents also take the bulk load of the work, which is finding a serious buyer for your home at its state and price.
An essential part of selling a home “as is” is listing it in a way that attracts buyers. A home listed as “as is” means the seller doesn’t want to do repairs; it doesn’t mean it is in bad shape. However, buyers could be a bit skeptical after reading that a home is in that condition. It is vital to ensure you list your house in the best way possible. Agents are pivotal in making that possible.
2. Sell Directly to a Cash Buyer
If you want to sell your home “as is,” you can also work directly with a property investor or house-buying company rather than listing on the market. This can work in cases where you find it difficult to get an offer from a limited buyer pool.
Pezon Properties is the team you can count on to buy your house at reasonable prices.
We buy houses Allentown PA to remove the load of selling your home by yourself. We are a premium team that can take your house “as is” and simplify the entire transaction process. Contact us today if you want to sell your house fast.
Steps in Listing a Home “as is” With Help of Real Estate Agent
If you have decided to work with a real estate agent, there are steps you can follow to make your listing successful. Working with a real estate agent is highly advisable. However, to get the best results, there are things you must do right on your end.
1. Work with An Agent Willing to List the Home “As Is”
When choosing a real estate agent to work with, you should ensure to work with one willing to list the home “as is”. Some agents don’t list such houses. When selling a house as is in Pennsylvania, you should ensure you find the right match as a real estate agent. It would be best if you worked with a real estate agent that won’t shy away from listings that need few repairs and has a strong network of investor connections.
Your agent should also be willing to go the extra mile on marketing. Considering 80% of Americans say they would prefer to buy a move-in ready home, an “as is” sale likely has a reduced buyer pool from the start. Find a real estate agent who has experience in selling houses “as is.”
2. Conduct a Pre-Listing Inspection
A pre-listing home inspection is the same as a standard home inspection except that the seller pays for it before listing their home on the market. It may sound like a counterintuitive step for an as-is sale, but getting the inspection results upfront can illuminate any issues that could impact the home’s value and inform a proper pricing strategy. If a buyer requests further deduction to the price based on their own inspection, you may be able to point to how the estimated cost of certain repairs was already baked into the list price.
Conducting a pre-listing inspection can save you a lot during the negotiation process. With an inspection, the exact value of the repairs can be known. Several times, people buying a home “as is” consider replacement and repairs to be costlier than they truly are, making them receive higher discounts that they aren’t warranted. If you want to sell your home at a particular value, you can justify it using the inspection results.
3. Price Reflecting “As Is” Condition
Homes that are sold in “as is” condition in Pennsylvania typically sell for less than regular listings. However, it isn’t easy to know how much this amount is. Some top factors impacting the value of an “as is” listing includes the home's condition, the seller's willingness to make any upgrades before listing, and location. If you are unsure about the value of your home, you can turn to Pezon Properties. We buy houses Allentown PA and help people with home valuation.
4. Do Light Preparations
Even if you are trying to sell your home “as is,” there are standard preparations that you should do. They include the following:
- Declutter: Removing clutter from your home before you sell can provide an ROI of 432%.
- Deep clean: Hiring someone to deep clean your home can provide an ROI of 935%.
- Address safety concerns: Fix minor issues such as missing railings.
- Improve curb appeal: Completing basic yard care has a potential ROI of 539%.
- Clean or replace carpet: Wash stained carpet to give it a fresh look and replace the tattered or outdated carpet.
- Power wash: Power washing gives your siding, porches, and decks a fresh look.
5. Use Photographs to Show Potential
To convince a person to buy a home “as is,” they need to know that the property is worth their investment and has potential. You should hire a professional photographer who will ensure optimal interior and natural lighting, the best angles for each room, and premium editing.
High-quality cameras with wide-angle lenses are essential in showcasing entire rooms rather than half or three-quarters of what is there. Professionally photographed homes can sell up to three weeks faster and earn up to $11,000 more than houses marketed without professional photos.
6. Highlight Surrounding Areas
An important part of any house is the surrounding areas of the property. Is it in a good location? This is a factor that many people look at before buying any home. Mention in your as-is listing if your home is close to any of the following:
- Public parks and green spaces
- Train stations in metro areas
- Walkable spaces
- Amenities like restaurants and malls
7. Include “As Is” in the Listing
If you don’t mention that you are selling your home “as is,” buyers won’t know what kind of deal they are getting into. Another descriptor you can use for your home is “priced to sell.” So the “as is” doesn’t stand out, work with your real estate agent to highlight your home’s best features. The description of your home will determine whether you sell fast or not.
Pros of listing a home ‘as is.’
- Save time and money on prep work
- Possibility of reducing negotiations from the inspection
- Solution for out-of-state owners and inherited homes
Cons of listing a home ‘as is.’
- Limited buyer pool
- Expect lower offers
- Negotiations and repairs aren’t always off the table
Do you want to know
how to sell a house by owner Pennsylvania? Pezon Properties is the team you can trust. We have all the experience needed to help you sell your home in any condition. Contact us today for more information.
Give us a call anytime at 484-484-0971 or fill out this quick form to get started today!
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About the author
Mathew Pezon
Mathew Pezon is the founder and CEO of Pezon Properties, a cash home buying company located in Lehigh Valley, Pennsylvania. With several years of experience in the real estate industry, Mathew has become a specialist in helping homeowners sell their properties quickly and efficiently. He takes pride in providing a hassle-free, transparent, and fair home buying experience to his clients. Mathew is also an active member of his local community and is passionate about giving back. Through his company, he has contributed to various charities and causes.
