When buyers see “as is” in a Chicago real estate contract, they often assume it means they are giving up all of their protections.
That is not how I explain it to my clients.
An as is purchase generally means the seller does not want to make repairs or provide credits for issues found after the contract is signed. But that does not mean the buyer should skip the inspection or stop asking questions.
You Can Still Have an Inspection
I still want my buyers to inspect the home. In some markets, buyers waive inspections to make their offer more competitive. I think that is very risky unless the property is a true teardown or the buyer is planning a complete gut rehab.
The point of the inspection is not just to create a repair list. It is to understand what you are buying. If the inspector finds something serious, we can bring in specialists such as a roofer, mold professional, radon expert or other contractor to get a more specific opinion.
I once represented buyers on a home where the seller had originally planned to wait another year before selling. We won the contract and completed the inspection, which uncovered three gas leaks. There were children living in the home, and the seller had the leaks repaired immediately. He was extremely thankful the inspection found them. If the sale had been delayed another year, the outcome could have been very different.
As Is Has Become More Common in Multiple Offer Situations
In a competitive Chicago market, offering as is can make an offer more attractive to a seller.
It tells the seller that the buyer is not planning to come back after the inspection with a long list of cosmetic repairs or small requests.
As a listing agent, when I receive multiple offers, it is now very common for the strongest offers to be written as is. Buyers need to understand that if they are competing against several offers, refusing to write as is can make their offer less competitive.
That does not mean giving up the inspection itself. It means going into the transaction with a clear understanding that you are not planning to renegotiate over every minor issue.
Do Not Expect the Usual Repair Requests
One thing that has changed over the years is how often buyers ask for things like home warranties or smaller repair items.
With more contracts being written as is, I see far fewer home warranty requests than I used to.
If a home warranty is requested, I always think it is important to look closely at the company and coverage because not all warranties are created equal.
The bigger point is that an as is offer is not the time to renegotiate over every broken item the inspector finds. Serious concerns are different.
You Still Have Attorney Review
Another thing buyers sometimes misunderstand is that signing an as is contract does not automatically mean they are locked into the deal no matter what happens.
Chicago area transactions typically include an attorney review period. During that period, the buyer’s attorney can review the contract and any inspection issues and advise the buyer on their options.
If the inspection uncovers something significant, such as a structural issue, active water infiltration, pest infestation, gas leak or another serious health or safety concern, the buyer may still have options during attorney review.
In some cases, the seller may also choose to repair a serious issue because they still own the property until closing and the problem could continue damaging the home or create a safety risk.
I always want my buyers speaking directly with their attorney about their rights and options rather than making assumptions based on the words “as is.”
What I Tell My Buyers
An as is offer can be a very useful strategy, especially in a competitive situation.
But I never want a buyer to confuse as is with buying blindly.
You can still inspect the property, ask questions, bring in specialists when needed and understand what you are buying before moving forward.
If you want to win in a multiple offer situation, an as is contract can be an important part of the strategy. The key is knowing what you are agreeing to and where your protections still exist.
