What "as-is" really means
An as-is sale means you're not agreeing to fix anything, and the buyer takes the property in its current condition. It's a contract term, not a legal shield. You still have to disclose material defects you know about. A buyer can still inspect, and depending on the contract, can still walk away during an inspection period.
Delaware's disclosure rule
Under Delaware's Buyer Property Protection Act (Title 6, Chapter 25, Subchapter VII of the Delaware Code), sellers of residential property with one to four units generally must disclose known material defects on the state's Seller's Disclosure of Real Property Condition Report form, given to the buyer before the agreement of sale is signed.
- The form covers structure, roof, water and sewer, plumbing, electrical, HVAC, environmental concerns, and more.
- Some transfers are exempt. The Delaware Real Estate Commission publishes an exemption form covering categories like certain court-ordered, fiduciary, and foreclosure transfers.
- If you've never lived in the house (an inherited property, say), answer honestly with what you know. "Unknown" is a legitimate answer when it's true.
Check the current form and exemptions with the Delaware Real Estate Commission or your attorney. This is general information, not legal advice.
How as-is houses are priced
Buyers of as-is homes, investors especially, start from the after-repair value (ARV): what the house would sell for fully fixed, based on recent nearby sales. Then they subtract:
- The cost of repairs and renovation
- Closing costs on both ends, including Delaware's realty transfer tax
- Holding costs during renovation (taxes, insurance, utilities, financing)
- Selling costs when they resell (commission, concessions)
- A profit margin for the risk
That's why as-is offers vary so much. Two buyers can have very different repair estimates. A good buyer should be able to show you their math.
Who buys as-is houses in Delaware
| Buyer type | Pros | Cons |
|---|---|---|
| Retail buyers with renovation loans (e.g., FHA 203(k)) | Can pay close to market for the right house | Slow, paperwork-heavy, and financing can fall through |
| Local investors / cash buyers | Fast, no financing contingency, no repairs | Lower price |
| iBuyers | Convenient where available | Often limited coverage and strict condition criteria |
| Auction | Hard deadline | Unpredictable price, fees |
Mistakes that cost as-is sellers money
- Doing half the repairs. A partial fix rarely raises the price by more than it costs.
- Hiding defects. It can lead to a lawsuit after closing. Disclose.
- Taking the first number without the math. Ask how the offer was calculated and compare.
- Not asking about assignment. If the buyer might assign the contract, Delaware law requires a written wholesale disclosure and gives you 21 days to cancel.
Want a cash offer on your house?
No repairs, no commissions, no obligation. Pick your own closing date.
Get My Written Offer Call (302) 798-8655