When homeowners in California want to sell quickly, many wonder if they should just list their house “as-is” on the MLS. On the surface, it sounds simple: no repairs, no upgrades, no staging — just put it out there and let buyers take it or leave it.
But the reality of listing as-is can be much more complicated. While you might save on repair costs, there are trade-offs to consider, including buyer perception, financing issues, and even your final sale price.
Let’s break down what really happens when you list a house as-is on the MLS.
What “As-Is” Really Means on the MLS
When you mark a home “as-is” in the MLS listing, you’re essentially telling buyers:
- The seller will not make repairs (cosmetic or major).
- The property is priced accordingly (though not always).
- Buyers take on the risk of hidden problems after inspections.
But here’s where many sellers get tripped up: “as-is” does not erase your legal responsibilities. In California, you are still required to disclose known issues with the property.
California’s Disclosure Requirements
Under state law, sellers must complete the Transfer Disclosure Statement (TDS), even if the home is sold as-is. That means you must tell buyers about:
- Roof leaks or water damage
- Plumbing or electrical issues
- Pest infestations
- Structural problems
- Deaths on the property (within the last 3 years)
Example: We once worked with a seller in Anaheim who had a leaking roof. They thought listing as-is meant they didn’t need to disclose it. Unfortunately, once the inspector caught it, the deal nearly collapsed — and the seller lost valuable time.
How Buyers React to “As-Is” Listings
Most retail buyers on the MLS want move-in-ready homes. When they see “as-is,” they often assume:
- The property has major problems.
- The seller is desperate.
- They have room to negotiate a big discount.
According to the National Association of Realtors, 71% of homebuyers prefer a move-in-ready home over one that needs work. That means your buyer pool shrinks the moment you list as-is.
Days on Market Tend to Be Longer
Homes listed “as-is” often sit longer on the MLS. Zillow data shows that as-is homes average 19 more days on market than standard listings, especially in competitive markets like Los Angeles.
Example 1: A family in Glendale listed their as-is property hoping for a bidding war. Instead, they got lowball offers from flippers who expected a steep discount. It sat on the market for 3 months before they finally dropped the price.
Example 2: In East Los Angeles, another seller listed as-is after moving out of state. The property sat vacant for 70 days, during which it was vandalized twice — costing them even more before it finally sold.
Inspections and Contingencies Still Apply
Even if you list as-is, buyers almost always still order inspections. If the inspector uncovers expensive repairs, the buyer can:
- Walk away under the inspection contingency.
- Renegotiate for a lower price.
- Demand credits at closing.
Example: A seller in Riverside accepted an offer quickly, only for the buyer to ask for $20,000 in credits after the inspection revealed electrical issues. That’s the risk of as-is on the MLS: you might still end up negotiating repairs indirectly.
Financing Can Be a Roadblock
One major challenge with as-is properties on the MLS is financing. If the home has serious issues (like plumbing leaks, roof damage, or missing flooring), traditional lenders may not approve the mortgage.
- Conventional loans might be possible, but the appraisal could still lower the value.
- FHA and VA loans are much stricter. They require properties to meet minimum property standards. If a home doesn’t pass, the loan can’t close.
Example: A seller in Long Beach listed as-is, and the buyer tried to use an FHA loan. Once the appraiser flagged safety hazards, the loan was denied. They had to start all over, and eventually accepted a much lower cash offer.
The Impact on Sale Price
Most sellers choose as-is to save money on repairs. But those savings are often offset by a lower sales price.
- A 2023 ATTOM Data study found that fixer-upper homes sell for 25–30% less on average compared to move-in-ready homes in the same neighborhood.
- According to Redfin, as-is homes in California typically sell 10–15% under list price, compared to just 2–3% under for updated homes.
Example 1: A seller in Burbank skipped $15,000 worth of upgrades. When the home finally sold, it closed $70,000 below comparable properties in the area.
Example 2: In Sacramento, a seller avoided $20,000 in repair costs but ultimately sold their home $85,000 under the neighborhood average.
Hidden Costs of Listing As-Is
Many homeowners overlook the “hidden” costs of leaving a property on the MLS as-is, especially if it takes longer to sell:
- Extra months of mortgage payments (if not paid off)
- Ongoing property taxes
- Insurance premiums
- Utilities on a vacant home
- Maintenance and security costs (especially for vacant homes in Los Angeles)
Alternatives to Listing As-Is on the MLS
If you’re set on selling as-is but don’t want the hassle of inspections, financing issues, or lowball offers, there are alternatives:
Sell to a Cash Buyer
Cash buyers purchase properties in any condition, without inspections or financing delays. The process is faster — often closing in 7–14 days.
Sell to an Investor
Investors will factor repairs into their offer but usually close quickly. This is ideal if you don’t want to risk the MLS process.
Auction the Property
A faster route but often results in a lower net profit. Auctions tend to attract investors and flippers rather than retail buyers.
Off-Market Sale
Some homeowners find a private buyer (like a neighbor or family friend) who’s willing to take it as-is, though this is less common.
So… Should You List As-Is on the MLS?
Listing as-is can work if:
- The property only needs minor cosmetic updates.
- You’re not in a rush to sell.
- You’re okay negotiating with buyers after inspections.
But if your home has major issues or you need to sell quickly, the MLS may not be your best option. In many cases, sellers find that cash buyers or investors are a better fit because they eliminate contingencies and close fast.
Final Thoughts
Listing a house “as-is” on the MLS in California is possible, but it comes with risks: fewer buyers, stricter financing challenges, and a likely lower sale price.
If you’re weighing your options, it’s important to run the numbers — sometimes the time and money lost on the MLS outweighs the repairs you were trying to avoid.
At Mrs. Property Solutions, we’ve helped dozens of homeowners sell their houses as-is without dealing with the MLS headaches. If you’re ready for a simpler solution, we can make you a fair cash offer and close in as little as 7 days.