TL;DR
Selling “as-is” in Michigan means you’re telling buyers up-front that you won’t make repairs or improvements. It does NOT mean you can hide defects — Michigan still requires a Seller’s Disclosure Statement. As-is sales typically net 10–25% LESS than fully-renovated comparable homes, but save you the cost and hassle of repairs. Best for inherited homes, divorce sales, estate sales, deferred-maintenance situations, and quick-close scenarios. Here’s what to know.
What “As-Is” Actually Means in Michigan
An as-is sale means:
- The seller will not make repairs
- The seller will not provide credits for known defects
- The buyer accepts the property in its current condition
What as-is does NOT mean:
- You can hide known material defects (illegal in Michigan)
- The buyer can’t inspect (they almost always still will)
- The buyer can’t terminate due to inspection findings (they can if contract permits)
You Still Must Complete the Seller’s Disclosure
Michigan’s Seller Disclosure Act requires the seller to complete a written disclosure statement for residential property regardless of as-is status. You must disclose known material defects (roof issues, basement leaks, septic problems, structural cracks, electrical/plumbing issues, etc.). Failing to disclose can lead to post-sale lawsuits.
Who Should Sell As-Is
- Estate / inherited home sales where the property hasn’t been maintained
- Divorce sales where parties can’t agree on repairs
- Distressed sellers needing fast closing
- Out-of-state sellers who can’t manage repairs
- Homes with major deferred maintenance where partial repairs won’t move the needle
Who Buys As-Is Homes?
Mostly:
- Cash investors / flippers — Quick close, no financing contingency, typically 10–30% below ARV
- Renovation-loan buyers (FHA 203(k), Fannie Mae HomeStyle) — Finance purchase + renovations in one loan
- Owner-occupant flippers — Live in the home while renovating
Pricing an As-Is Home
Comparable-sales analysis still applies, but you’ll need to discount for the most-likely-needed repairs. Typical discount range:
- Cosmetic-only needs: 5–10% below renovated comps
- Some mechanical needs (HVAC, water heater, electrical): 10–20% below comps
- Major structural / roof / foundation: 20–40% below comps
Frequently Asked Questions
What does it mean to sell a house as-is?
Selling as-is means you’re telling buyers up-front that you won’t make repairs or improvements. The buyer takes the home in its current condition.
Do I have to disclose known problems if I sell as-is in Michigan?
Yes — Michigan’s Seller Disclosure Act requires written disclosure of known material defects regardless of as-is status. Failure to disclose can lead to post-sale lawsuits.
How much less will I get selling as-is?
As-is sales typically net 10–25% less than fully renovated comparable homes. Homes needing major structural work can be discounted 30–40%.
Can buyers still inspect an as-is home?
Yes — buyers can still inspect and, depending on contract terms, may still have the right to terminate if inspection reveals significant issues. As-is generally means no repairs requested, not no inspection.
Who typically buys as-is homes in Michigan?
Cash investors and flippers are the largest buyer pool. Renovation-loan buyers using FHA 203(k) or HomeStyle loans are second. Owner-occupant flippers (DIY renovators) are third.
Should I sell to a cash buyer or list as-is on MLS?
Cash “we buy houses” offers are typically 15–30% below market and trade speed for net proceeds. Listing as-is on MLS with proper marketing usually nets 10–20% MORE because you reach multiple investors who compete.
Considering Selling As-Is?
We’ll do a free walkthrough, give you a true net-proceeds estimate, and decide together if as-is is the best path. Fill out our contact form or text 734-977-1405.
Chris Bujaki with The Saward Team, brokered by eXp Realty