What as-is really means
An as-is sale tells the buyer up front that you won't make repairs or give credits for them. The buyer can still inspect, and in a regular sale they can usually still walk away during their contingency period. What as-is never covers is hiding a problem you know about. California courts don't let an as-is clause excuse concealment.
Two ways to sell as-is
You can list the house as-is with an agent. That reaches the most buyers, but many will use a loan, and lenders and appraisers sometimes require repairs before they'll fund. A house with a failing roof or an unpermitted unit can stall right there.
Or you can sell to a cash buyer who expects to do the work. There's no lender, no appraisal condition and usually one walkthrough. The price is lower than a fixed-up sale, and the useful question is what you'd net each way, not which price is higher.
| List as-is with an agent | Sell to a cash buyer | |
|---|---|---|
| Who you reach | The most buyers, many of them using a loan | One buyer who pays cash and does the work |
| Lender and appraisal | Often. A lender can require repairs before it funds | None |
| Repairs before closing | None promised, though loan buyers may still ask | None |
| Inspections | Yes, with a contingency period | Usually one walkthrough |
| Disclosures | Required | Required |
| Commission | Yes | Usually none |
| Price | Higher, if the sale closes | Lower than a fixed-up sale |
| What to compare | What you net after commission, credits and months on the market | The written offer |
Disclosures you still owe
In most sales you fill out the Transfer Disclosure Statement and tell the buyer what you know (Civil Code 1102 and the sections after it). There's also a natural hazard disclosure. For houses built before 1978, federal rules require a lead-based paint disclosure and a pamphlet, which the EPA describes here.
California adds two certifications at sale: that the water heater is braced for earthquakes (Health and Safety Code 19211) and that the house has a working smoke alarm (Health and Safety Code 13113.8). Some Bay Area cities add their own items, like a sewer lateral certificate in Oakland and Berkeley or a 3R report in San Francisco. Each city page covers its own.
The whole list:
| What you give the buyer | Where the rule comes from | When it applies |
|---|---|---|
| Transfer Disclosure Statement | Civil Code 1102 and the sections after it | Most sales |
| Natural hazard disclosure | Civil Code 1103 | Most sales |
| Lead-based paint disclosure and pamphlet | Federal rules (EPA and HUD) | Houses built before 1978 |
| Water heater bracing certification | Health and Safety Code 19211 | Every sale |
| Smoke alarm certification | Health and Safety Code 13113.8 | Sales of single-family houses |
| Sewer lateral certificate | EBMUD's regional program, Berkeley's own program | Oakland and other cities in EBMUD's program, Berkeley |
| 3R report | San Francisco | San Francisco sales |
Price it for its condition
Compare your house with sales in similar condition, not with the remodeled house down the street. If you'd like help with that, start with how much your house is worth.
The steps
- Gather what you know. Permits, past repairs, insurance claims, any city notices.
- Decide how to sell. List as-is, or get a written cash offer, or both, and compare the net.
- Fill out disclosures honestly. If you're not sure about something, say you're not sure.
- Allow inspections. A buyer who has inspected is less likely to renegotiate later.
- Close through escrow. A title company handles the deed, the payoff and the money.
If something specific is wrong with the house, these pages go deeper: major repairs, unpermitted work and fire damage.