Legal Question in Real Estate Law in California
Thank you for your quick responses to my question regarding buying a 4 unit in "as is" condition. By active repair I meant that something is currently in need of repair. Not that it has started to be repaired. Sorry I wasn't very clear there. I just finished the walk through and saw the hot water heater rusted out and leaking from the bottom. I'm sure the seller will not want to repair it saying it is being sold as is. I get that I can't ask for non health and safety repairs or non urgent, but it seems to me that "as is" or not there has to be a line where the current owner has the obligation to do certain things. If that is true, and where that line is drawn is my question.
1 Answer from Attorneys
If you have an inspection contingency in your contract that you have not yet released "as is" is only what you will accept. Furthermore, "as is" pretty much is meaningless in California real estate transactions. The statutory and common-law obligations of disclosure by sellers and sellers agents as to the condition of the property cannot be waived by an as-is clause. Likewise, and as I said, as long as you have an inspection contingency that has not been released, you don't have to accept any condition you don't want to accept, so long as you are willing to walk away from the deal if the seller won't correct it. Once you have accepted the condition of the building, there should be a contract clause that the owner must keep the property in that condition until close of escrow. If you have released your contingency and do NOT have a condition preservation clause, then you really need to consult an attorney in person at that point.