“As Is” . . . As of When??
True or false: Buyers purchasing a home “As Is” typically skip a final walk-through inspection.
Answer: false.
It may seem counter-intuitive — doesn’t “As Is” mean the Seller isn’t obliged to fix anything? — but, at least in Minnesota, it still behooves Buyers purchasing a property “As Is” to do a final walk-through inspection.
Why?
To see if the property’s condition has materially changed since the deal was struck.
If so, and the parties have signed a standard Minnesota “As Is” Addendum, the following passage applies:
“To the extent there is a material change in the condition of the property arising between the date of the Purchase Agreement and the closing date, Seller shall be responsible for restoring the property to substantially the same condition it was in on the date of the Purchase Agreement.”
Excluded from the above: central a/c, heating, plumbing, and wiring systems (electric) — plus anything else that the Buyer and Seller have contractually agreed upon.
Of course, if the property is bank-owned — i.e., a foreclosure — the bank is likely to have required its own, much more limiting Addendum.
