5 Key Questions Buyers Will Ask About Your 'As Is, Where Is' Property

When selling an ‘As Is, Where Is’ property, it’s important to anticipate and address the unique concerns buyers will have. Buyers are naturally cautious and will have specific questions about the risks and rewards of purchasing a property in its current condition. As a seller, being prepared to answer these questions confidently and transparently can make all the difference in closing a deal. Here are the five key questions buyers are likely to ask and how you can prepare for them.

1. What Damage or Issues Does the Property Have?

One of the first things buyers want to know is the extent of any damage or issues with the property. Whether it’s structural damage, weather-related wear and tear, or unresolved maintenance problems, honesty is critical.

What you can do:

Provide any available engineering reports to give buyers a clear understanding of structural issues.
Share building inspection reports if you have them, as these can help buyers evaluate the scope of repairs.
Highlight known issues upfront to build trust and prevent surprises later in the process.

2. Are There Any Existing EQC or Insurance Claims?

Buyers will want to understand if there are any unresolved Earthquake Commission (EQC) or private insurance claims associated with the property. This is especially relevant for properties in earthquake- affected regions like Canterbury.

What you can do:

Be prepared to provide documentation for any open claims, cash settlements, or completed repairs.
Clarify if claims can be transferred to the new owner and explain the process.
Offer clarity on the status of land damage coverage or other related claims.

3. What Repairs Have Already Been Completed?

Buyers will be curious about the property’s repair history. Have any issues been addressed? If so, were the repairs professionally completed?

What you can do:

Compile records of all repairs, including building consents and warranties where applicable.
If repairs haven’t been done, be upfront about the current condition of the property.
Offer detailed photos if a viewing isn’t possible, helping buyers visualize the state of the property.

4. Why Are You Selling the Property ‘As Is, Where Is’?

This question often stems from a buyer’s concern about hidden problems. They’ll want to know why you’ve chosen this sales approach.

What you can do:

Frame your response positively, focusing on practical reasons like downsizing, a shift in investment strategy, or a need to sell quickly.
Reassure buyers that the decision to sell ‘As Is, Where Is’ doesn’t necessarily mean the property is unmanageable.

5. What Are the Ongoing Costs or Risks Associated with the Property?

Buyers will assess whether the property is financially viable for them. They’ll want to understand
potential maintenance costs, land use restrictions, or other risks.

What you can do:

Be upfront about any known ongoing costs or limitations, such as maintenance or council requirements.
Clearly outline your price expectations so buyers can determine if it aligns with their budget.
Emphasize the property’s potential to appeal to investors or buyers with specific project goals.

How Sellers Can Prepare for Buyer Questions

Preparation is key to building trust with potential buyers. Here’s how you can get ready:

Gather all relevant documentation, including LIM reports, engineering reports, EQC claim details, and repair records.
Be ready to share detailed photos, especially if buyers can’t view the property in person.
Work with your lawyer or real estate agent to anticipate complex inquiries and ensure you’re legally compliant.

Conclusion

Selling an ‘As Is, Where Is’ property requires a transparent and proactive approach. By addressing buyers’ concerns head-on and providing the information they need, you can set the stage for a smoother sale process. Remember, honesty and preparation are your best tools for building buyer confidence and securing the best outcome for your property. Take the time to get organized and approach the sale with confidence—you’ve got this!

Billy & Slade

Your Property Solutions