Selling your house “as is” means you'll be selling your home without making any repairs — marketing your home flaws and all.
While you can sell your “as is” home on the open market or to cash buyers, you'll want to be aware that listing your home “as is” comes with a negative connotation and extremely lowball offers — even as low as 50% of your home's value.
Ensure you'll get the best outcome and price possible by discussing all your options with a top-rated agent who knows how to sell “as is” in your part of Illinois.
> Get in touch with an experienced, local agent for a free, no-obligation consultation on how you can sell your home without losing a ton of equity. Your home's too valuable to not consider all the options available to you.
But to give you a better idea of what it means to sell your home “as is,” here's everything you need to know about how to sell a house “as is” in Illinois.
What does selling a house “as is” mean?
When selling your house “as is” you'll put your home on the market in its current state without making any repairs or upgrades — your home will be sold with all its flaws and faults.
Before a buyer can purchase your home “as is” they'll have to sign a purchase agreement that makes it clear the buyer understands what they're getting into and the risk involved in buying an “as is” home.
However, selling “as is' doesn't mean you can intentionally hide your home's defects or downplay any major issues. If you misrepresent your home or conceal problems, you'll be leaving yourself open to legal recourse down the road.
Typical Reasons for Selling a House “As Is” in Illinois
The main reason most sell their home “as is” is because they're faced with financial struggles and simply don't have the funds to make the needed repairs. Repair costs can add up quickly. And if your home needs major renovations, you likely need to spend several thousand dollars to repair the damage.
Alternatively, many sell unwanted inherited homes “as is” to offload it as quickly as possible. Others sell “as is” because they don't want to deal with the stress or to spend their time and energy fixing major repairs. If you're trying to avoid foreclosure or need to move quickly due to illness, a divorce, or job relocation, selling “as is” can help get rid of your home fast.
By skipping repairs, you can put your home on the market more quickly. You won't have to wait on contractors or delay selling your home because the wrong building materials were ordered.
[zip-code heading="Want to sell your house fast?" subheading=”Learn how a Clever Partner Agent can sell your home quickly and for top dollar." button="Connect with an Agent"]
Potential Drawbacks of Selling a House “As Is” in Illinois
One of the major drawbacks of selling your home “as is” is that it comes with a negative connotation. If you sell your home “as is” most buyers will assume there is something catastrophically wrong with your home.
Buyers that do look at your home will be few and far between — unless they're an investor or house flipper, most don't want the hassle of fixing up an “as is” home. You'll be seriously limiting your potential buyer pool and consequently the number of offers.
Some buyers will still consider your home, but they'll make you a lowball offer well under market value. If a buyer knows they'll need to make repairs going in, they'll want a discount on the sales price.
How much do you lose selling a house as is?
While the exact amount you'll receive for your “as is” home depends on the condition and location of your property, you are guaranteed to see offers well below market value. For instance, if you sell to a cash buyer, including the ever-popular We Buy Ugly Houses, typically, they will make you an offer anywhere from 30% to 50% below market value.
The September 2019 median home value in Illinois is $182,600. That means if you sell “as is” to a cash buyer, you could be walking away from as much as $91,300.
And if you sell “as is” on the open market, you won't fair much better. To give you an idea, foreclosed homes in Illinois start out their initial bidding at nearly 50% to 60% below market value. Since homeowners selling their homes “as is” are typically struggling financially, this can put into perspective how low home prices can go.
Should you consider selling to an Illinois cash buyer?
Cash buyers make their money by purchasing homes for cheap, fixing them up, hiking up the price, and then reselling the home for profit. By selling to a cash buyer, you know you'll be losing out on nearly 30% to 50% of your home's value. So why even consider it?
Well, the advantages to selling your home to a cash buyer are typically speed and convenience. Most cash buyer companies will make you an all-cash offer quickly and promise to purchase your home “as is” no matter the size, age, location, or level of deterioration. And for those trapped in a difficult financial or emotional situation, this can be a viable option.
If you've explored all your options and decided selling to a cash buyer is worth the loss in your home's equity, just make sure you're working with a legitimate company (cash companies are vulnerable to scams) and do your homework to ensure you're not swindled out of all your money or home.
Are there any required disclosures when selling a house as is in Illinois?
Illinois passed the Residential Real Property Disclosure Act requiring sellers to disclose any known issues with the home. The entire disclosure form lists out 23 specific items for sellers to check off that include any issues with flooding, municipal code violations, environmental issues, material defects in the basement, foundation, plumbing, and other structures, and any pest or toxic hazards like radon or mold.
In Illinois, however, you may be exempt from meeting all the disclosure requirements if you're selling because of divorce, foreclosure, bankruptcy, or transferring the home from a trust, or to a close relative.
5 Steps for Selling a House As-Is Quickly in Illinois
1. Find a Great Illinois Real Estate Agent
First and foremost you'll want to partner with a top-rated, experienced Illinois real estate agent who can help you navigate the market and use their network to find the right buyer who will buy your home “as is” but for a higher price than a typical cash buyer.
2. Get a Pre-Listing Inspection
Getting a pre-listing inspection will reveal anything that could pose a problem with selling your home. By knowing all the issues before you put your home on the market, you'll be better prepared to answer buyers' questions honestly and know that you've done everything in your power to prepare the buyer for what to expect when purchasing your home.
3. Consider Making Some Low-Cost, High-Impact Repairs
While you don't have to fix every little problem in your home, fixing a few repairs can make all the difference on not only how quickly your home sells but how much it sells for. For instance, putting a fresh coat of paint in the kitchen or bathroom can go a long way to freshen up the look of your home.
And because Illinois winters can easily hit freezing temps, you can appeal to buyers by installing energy-efficient windows or adding in more insulation in your attic or basement for under $200.
4. Set a Competitive — But Fair — Price
You don't want to set a ridiculously high price for your “as is” home — buyers will see right through it and avoid your home like the plague. Instead, work with your agent to settle on a fair price, factoring in the amount of repairs needed.
Your agent knows the market, what Illinois buyers are looking for, and how much they're willing to pay for your particular home.
5. Have Realistic Expectations
Make sure you keep everything in perspective and remember that selling your home “as is” typically means that you won't receive full market value and that it may take longer to sell on the open market as only a limited pool of buyers will be interested in purchasing a fixer upper.
Next Steps: Find a Top Illinois Listing Agent
Clever Real Estate can help you find a top Illinois real estate agent, who can handle your priorities and save you money. Clever connects sellers with top-rated, full-service agents from major brands and regional brokerages such as Keller Williams, RE/MAX, and Century 21.
When you work with a Clever Partner Agent they'll help sell your home “as is” ensuring you get the best price possible, while at the same time you'll only pay a fraction in commission costs. Partner Agents work for a flat fee of $3,000 or 1% if your home sells over $350,000 helping you save thousands in commission.
Top FAQs About Selling a House “As Is”
Should I sell my house “as is” or fix it up?
If possible, you should try to fix up your home making as many necessary repairs as possible to up the value of your home. Understandably, for many, repairs might not be financially feasible. In this scenario, focus on non-costly cosmetic repairs like doing a deep clean of your home or mowing and tidying up the lawn.
Who buys homes sold “as is?”
Your target buyer pool is mainly investors and house flippers who look to buy up property at low costs, fix them up, and then resell for a profit.
What are the best repairs to make before selling?
The repairs that tend to return the most value on your investment are improvements and upgrades in the kitchen and bathroom. Even low-cost renovations such as repainting or replacing the hardware on your kitchen cabinets can make a significant difference in how buyers view your home.
If your budget allows, replacing old appliances, repairing old HVAC systems, fixing a leaky roof or basement, and cleaning carpet can also go a long way in adding value to your home.