CAN I SELL MY PROPERTY “AS IS”?

All of the California Association of Realtors (C.A.R.) purchase agreements state that the property is sold “AS-IS” in its PRESENT physical condition as of the date of Acceptance. Keep in mind that the seller is still obligated to maintain the property in its condition as of the date of acceptance.

In most transactions there will be state and sometimes local point-of-sale retrofit requirements which may require repairs be made to the property despite the “as is” clause. If these point-of-sale requirements are not complied with, then repair work must typically be done prior to close of escrow.

Regardless of the AS IS clause, the seller is obligated to fill out any disclosures required by law. Even where there are no mandated disclosures, the seller is obligated by law to disclose any material facts and defects that affect the value or desirability of the property.

An “as-is” clause does not limit the buyer’s investigation rights. The main function of the “as is” provision is to relieve the seller of any obligation to pay for or make repairs with certain limited exceptions.