A substantial percentage of today’s home sales are short sales and foreclosures (in Chicago, it’s approximately 30%). These types of homes are always sold as is, but that doesn’t mean anything is necessarily wrong. It means that if something requires repair the owner or bank won’t fix it for you. Banks always sell homes ‘as is’ because they have never inhabited the property. Therefore, they can’t make any representations about the condition of the home. In a short sale, sellers are in a financial hardship and don’t have the funds to make repairs. As a result, short sales are also typically sold “ as is.”
Don’t be afraid! Even when a property is sold ‘as is’, you are entitled to have a home inspection. If you find defects that you aren’t comfortable with, or repairs that will prove too time consuming or costly, you can usually back out of the contract.
Consult with your real estate attorney on this first!