Selling a house “as is” quickly — and at the right price — can be a challenge. For a homeowner facing financial hardship or in a hurry, the shorter selling time and the ability to get cash fast is appealing.
What sellers should remember though, is that while "as is" sales can be quick, their proceeds are often much lower than fair market value.
While considering selling "as is," talk to an experienced local real estate agent who can advise on how to attract buyers, so you can get the most for your home.
> To find out more, get in touch! One of our licensed experts will reach out to answer your questions and connect you with a top-rated, local agent who will help you sell your house “as is” — and save thousands in the process.
So, how do you sell a house in Maryland "as is"? We've put together a comprehensive guide.
What does selling a house “as is” mean?
Selling a house “as is” means that the buyer will take it in its current state — warts and all. Specifically, the two parties are in agreement that no repairs or improvements will be made by the seller before the sale.
“As is” basically means that what you see is what you get.
It does not mean that a seller can intentionally hide flaws from potential buyers. Many states require sellers to honestly answer questions about defects from buyers. (We'll get into disclosure requirements further on.)
Typical Reasons for Selling a House “As Is” in Maryland
Many homeowners decide to sell as-is during a period of financial or personal hardship.
Sometimes the sellers can't afford to make repairs to their home, or don't have the time to take on significant work.
They might be in a difficult family situation — dealing with an inherited property or a divorce, for instance — and may simply want to wash their hands of the emotional baggage.
Whatever the reason, they often hope to sell as quickly as possible without making costly repairs.
Potential Drawbacks of Selling a House “As Is” in Maryland
There are several reasons why it can be a difficult to net good value when selling your house "as is."
For one, buyers often have a negative perception when they see the term “as is” in a listing. They assume the house has major defects or that they can take advantage of a desperate seller.
Cash buyers know that you are eager to close a deal quickly. In exchange for taking on a house's flaws, they will offer much less than market value.
Selling "as is" means you'll have to work harder and more strategically to sell your house quickly and get good value for it.
How much do you lose selling a house "as is"?
The reality is, selling your house "as is" will net you less than a conventional sale. Exactly how much less varies, but for comparison, many cash buyers offer about 30-50% less than fair market value.
According to Zillow, the estimated median home value in Maryland is $288,700 (as of 2019).
Let's say a cash buyer offers you 30% less than market value for such a house sold "as is". This scenario would get you $202,090 — meaning you would stand to leave $86,610 on the table.
Should you consider selling to a Maryland cash buyer?
A cash buyer is typically an investor or flipper who will pay cash for your house whatever the condition or location.
These companies offer two benefits. First, they buy houses "as is," regardless of condition. Second, they can make an offer very quickly. Some companies — such as We Buy Ugly Houses — will make a cash offer in just days.
But cash buyers come with a big downside.
As investors, they make a profit by paying you significantly less than your home's market value — about 30-50% less. They may give you a lowball offer initially, and then an even lower one after a site visit.
Are there any required disclosures when selling a house "as is" in Maryland?
Maryland sellers must legally disclose knowledge of “latent defects.” These include potentially hazardous flaws that may not be visible during a basic inspection — such as asbestos ceiling tiles or rusted pipes in the walls.
Aside from disclosing these known defects, sellers in Maryland must choose to sign either a “disclaimer” or a “disclosure.”
The choice will depend on a number of factors. A disclosure will ask you to answer a comprehensive list of questions about defects and condition of the house. This is like creating an open book about the home's condition, which could make it less appealing if it has issues.
The disclaimer option works the opposite way. With a disclaimer, you make no warranties as to the house's condition — it's simply for sale “as is.” The downside of a disclaimer is that it might raise as a red flag for a buyer who wants more certainty about what they're getting into.
Remember, whether you choose a disclosure or disclaimer, you are required to disclose any major latent defects that you know about.
For help navigating Maryland's disclosure laws, talk with a licensed agent who can make sure you get the best return and avoid legal problems down the road.
5 Steps for Selling a House As-Is Quickly in Maryland
Once you've decided you're ready to sell your home "as is," here are the next steps.
1. Find a Great Maryland Real Estate Agent
An experienced real estate agent will work to get the best possible price for your home sale. Get in touch if you'd like to meet with a local agent who can advise on price, marketing, and legal requirements.
2. Get a Pre-Listing Inspection
Before you list your property, it helps to have an idea of what exactly its condition is. Opting for a pre-listing inspection will help identify issues before you put it on the market.
This way, you'll be able to price your listing more accurately to sell. It will also help you decide if any issues that turn up are worth fixing in order to ask for a higher price.
3. Consider Making Some Low-Cost, High-Impact Repairs
Even if you don't want to make major repairs, putting in just a little time for quick fixes can help your chances of selling quickly.
If you have a yard, spending an afternoon mowing and clearing overgrowth can really improve curb appeal. Inside the home, replace light bulbs and add a fresh coat of paint to brighten the rooms.
Any buyer will respond positively to a clean house. If you have even a few hours to spend, cleaning floors and carpets will help with a buyer's first impression.
4. Set a Competitive — But Fair — Price
Setting a price for your house is not easy. You'll want to set a fair price that will attract buyers willing to take the home in its current condition — but still nets you the best possible return.
Use a knowledgeable, local agent to accurately estimate the cost of repairs on your house and price it properly to sell.
5. Have Realistic Expectations
Remember to set realistic expectations in terms of time and price of the sale. Selling as quickly as possible — i.e. to a cash buyer — will likely net you a low offer.
It could take a little more time to attract a competitive buyer, but the result may be worth it.
Next Steps: Find a Top Maryland Listing Agent
When you're ready to sell your house “as is”, you'll want to talk to an experienced realtor for expert guidance on how to price, market, and sell your home. Clever is here to help!
Clever Real Estate has negotiated reduced rates with top Maryland real estate agents, which can save you thousands — up to 50% on your commission fees.
Fill out the form below to learn more and interview top-rated, low commission agents in Maryland.
Top FAQs About Selling a House “As Is”
1. What does it mean to sell a house "as is?"
A home listed "as is" will be purchased in its current condition. This means the seller will not consider any improvements before the sale or provide credits to the buyer for repairs.
2. Should you fix up your house or sell it "as is?"
It depends how much time, energy, and money you are able to put into updating your house before selling.
Generally, you'll get more if you take the time to fix any glaring repairs and make aesthetic improvements.
If you need to sell your home immediately, or can't afford to make repairs, then selling "as is" may be a better approach.
3. How do you sell your house fast "as is?"
If your goal is simply to sell your house as quickly as possible, an investment company that will pay cash for it may be a viable option. Remember though that the quick turnaround will come at a lower sales price.
4. Can you sell a house "as is" without inspection?
You can sell a house "as is" without having an inspection, though by doing so, you will very likely limit interested buyers. Investors especially may be willing to take on your property (at a low cost) without completing a full inspection.
Keep in mind though that you may still be required to disclose any known defects, whether you allow an inspection or not.
5. What's the best way to sell a house "as is?"
Using a low-commission real estate agent who knows your market is arguably the best way to sell your house "as is." An experienced realtor will work with you to net the highest return from your sale.
If you partner with a Clever Partner Agent, you'll work with a top-rated, local realtor and will only have to pay a flat-fee of $3,000 (or 1% on a home sale over $350,000).
> Click here to schedule a free, no-obligation consultation with a top-rated agent in Maryland.