What to know before selling a house “as is” in St. Louis
How do you sell a fixer-upper?
Selling your house can be a lot of work. With staging, marketing, showings, and closing, the process can be time-consuming and costly, even in the best circumstances. But when you’re selling a house that needs repairs, it can throw a wrench into the works.
Home repair project costs can add up quickly, and it could take weeks or months to get the necessary permits and work completed. Luckily, you also have the option of selling your house "as is.”
What does it mean to sell your house “as is”?
When you decide to sell your house "as is," it means you’re choosing not to do any repairs, renovations, or updates before putting it up for sale on the housing market. You also won't need to fix any issues discovered during a home inspection.
Even so, selling "as is" doesn't mean you can misrepresent or hide your home's condition or features. While Missouri is a non-disclosure state, St. Louis is one of the cities where disclosure is required. That means failure to disclose important information could lead to possible legal issues.
Pros of selling a house “as is” in St. Louis
When you sell your house “as is,” you:
- Save time and effort up front: Repairs and renovations can be taxing, and they may require a significant amount of time, money, and effort to complete before you’re able to sell. If you don’t want to worry about home repairs, then selling “as is” could be a great option.
- Simplify negotiations: Selling a house “as is” means that you are upfront about your property’s problems and shortcomings during the sale. Because of this, it’s less likely that you’ll need to deal with concessions or inspection contingencies.
Cons of selling a house “as is” in St. Louis
While selling “as is” can streamline your home sale, keep in mind that you should also expect:
- Lower offers: When you sell “as is,” you receive lower offers than if your house was in perfect condition. Buyers often expect a discount when purchasing a house that requires work, to offset the need for future investments in the property.
- Less buyer interest: A "move-in ready" home is usually preferred by a large pool of buyers. Selling a house "as is" limits your potential buyers, and even interested buyers may not be able to secure approval from mortgage lenders for a fixer-upper.
Do you need to worry about Minimum Property Requirements?
When selling any real estate, you will need to consider Minimum Property Requirements (MPRs). These are guidelines set by the Department of Housing and Urban Development (HUD). They ensure that the property is safe, secure, and structurally sound, and these conditions must be met for a buyer to qualify for a home loan. Selling to an off-market home buyer can allow you to bypass Minimum Property Requirements.
Do you need a home inspection when selling a house “as is?”
In Missouri, home inspections are not required when you sell a house “as is.” Buyers can get their own inspection done, but sellers are not liable for damages or defects. The state follows the principle of caveat emptor, or buyer beware, meaning it is the buyer’s responsibility to determine the condition of the home during the sale.
Your “as is” home-selling options
When you’re selling a house "as is," you have three main options:
- Work with an agent: Consider using a discount real estate broker who specializes in selling houses that need work. Their expertise comes at a small price, usually around 1% of your home sale price.
- Sell on your own: You could sell your house FSBO (for sale by owner). You’d need to use a "flat-fee Multiple Listing Service (MLS)" service to list your property and handle the sale yourself. This would include everything from staging to closing.
- Choose a real estate investor: You may opt for a hands-off approach by selling to real estate investors. When you sell to an investor, you are working directly with an interested buyer. These investors include iBuyers, house flippers, and off-market home buyers like us.
Sell your house “as is” in St. Louis.
Here at We Buy Ugly Houses, we have over 25 years of experience helping homeowners by buying their homes fast and making the process easy, regardless of their property's condition. We can secure our own financing, which means that we don’t rely on MPRs. Our seller-focused buying process can sometimes take you from offer to closing in as little as 3 weeks!
Reach out to one of our property buyers to kickstart the process of selling your St. Louis house “as is.” Experience a hassle-free home sale with We Buy Ugly Houses.
This blog is for informational purposes only and should not be considered legal advice.
