Selling a Home As Is in Kentucky (A-to-Z Guide)

‘As is’ means the buyer purchases the house exactly as presented. The seller doesn’t intend to fix anything. They also will not pay for any repairs or the replacement of faulty systems.

The Kentucky state-approved sales contract doesn’t provide an ‘as is’ condition clause.

There’s a blank space on the listing form and another one on the property disclosure form, however, where the seller can write, “This house is sold without any warranties.”

Yes, you can sell a home ‘as is’ in Kentucky.

Sellers of a house listed ‘as is’ must tell the buyers of any known defects or issues by filling out a written property disclosure.

You must share with the buyer any known conditions that would negatively impact the value of the house.

You don’t need to hire a home inspector to do an inventory. The disclosure is simply a record of your observations and experience with the house.

Buyers have the legal right to hire home inspectors at their own expense. The seller must allow access to the sale property to do these inspections.

That doesn’t mean the seller must agree to do any repair work listed as faulty on the inspection reports.

A buyer has a year to make any claims against a seller based on written Kentucky listing and disclosure statements.

Let’s get into the details of selling in the Bluegrass State and answer the question, “How do I go about selling my house ‘as is’ in Kentucky?”

Kentucky requires both seller and buyer to sign a formal property disclosure form. There are a few exemptions to the law, including someone selling a house in a court-supervised foreclosure.

The disclosure form asks for the basics regarding systems and structure. It also requires specific information when:

• selling a house with mold, failed septic system, and water damage or fire damage
• an owner is selling a house with termite damage, unpermitted work, or foundation issues
• selling a house with hazardous conditions that include lead pipes, lead-based paint, the presence of radon gas, asbestos, or methamphetamine contamination
• a homeowner is selling a house in a flood zone recognized by the federal government.

While fracking (hydraulic fracturing) isn’t specifically listed on the disclosure, contamination of the water supply for your house is something you must legally report.

The disclosure doesn’t specifically ask about the presence of polybutylene pipes, bed bugs, or if your home is a haunted house.

However, it’s recommended that sellers share any information with prospective buyers that might have a negative impact on the future marketability of the house.

Sellers must also complete a mandatory written federal lead paint disclosure. One way to accomplish this is to use the sample prepared document available online from various federal agencies.

You’ll also need to give the buyers a copy of the Environmental Protection Agency’s lead-based paint pamphlet. That’s required under federal law. The pamphlet explains the dangers and risks of lead paint.

You may have a house loaded with things you don’t want. You can leave stuff behind when you sell your Kentucky house ‘as is’, but only if the buyer agrees to that arrangement.

Making up a list of advantages and disadvantages might help you answer the question, “Should you sell your Kentucky house ‘as is’ or fix it up?”

Pros of Selling Your House As Is

Why sell a Kentucky house ‘as is’? Add your personal advantages to this basic list of pro arguments.

• Many buyers will agree to allow you to leave things behind when you sell ‘as is’.

• You can sell your house fast in Kentucky when you sell ‘as is’. A turnkey sale involves negotiating over condition issues. ‘As is’ sales offer no warranties.

• You’ll avoid the time needed to do detailed inspections with a Kentucky property inspector. You’ll also avoid repair negotiations when your buyer knows the house is sold ‘as is’ and agrees to pass on having inspections.

• No looky-loo neighbors will be touring your house during the open houses typically required for turnkey property listings.

• You won’t have the hassle of looking for qualified workers to complete repairs. You’ll also avoid the costs of those repairs.

Cons of Selling Your House As Is

Selling ‘as is’ is not all advantages. Some negatives include:

• Many ‘as is’ buyers won’t pay market value for a fixer. Cash real estate buyers in Kentucky reduce their offers by the amount needed to do updating and repairs, plus their interest allowing them to make profit on a resale. Looking over the average seller closing costs can help you evaluate your decision to accept a lower-price offer.

• Most Kentucky residential buyers aren’t looking for fixers. Your pool of prospective buyers is smaller when selling ‘as is’ compared with other houses on the market that don’t need repairs.

So let’s now answer the main question, “How does selling a house ‘as is’ work in Kentucky?” There are several ways to sell in the Bluegrass State.

How to Sell a House As Is, Fast and For Cash Directly to an Investor

Who Are Cash House Buyers?

Cash house buyers are investors with money readily available. This type of investors focuses on buying rentals. They look for cheap homes to rehab and let tenants in.

Some investors buy houses to repair quickly and then flip them to new buyers.

Selling your home to an investor means moving fast. Some homeowners might need a speedy sale. These people find selling to property investors in Kentucky a good option.

An individual selling a house for job relocation and an owner selling a house with taxes owed are people who might want the quick closing that investors offer.

Tired landlords selling investment properties in Kentucky, homeowners selling a home that needs work, and families selling a house in an estate also benefit from a speedy investor sale.

Couples selling marital property during divorce often find it advantageous to get done with the sale fast and move on with their lives.

Investor-friendly title companies in Kentucky work with cash house buyers to close quickly.

Let’s now consider the advantages and disadvantages of working with an investor.

Pros of Selling Your House As Is Directly to an Investor

• A cash house buyer sale typically means a speedy transaction. Investors need to buy a property at an attractive price, so their offers aren’t as high as the market value. But in return, they offer convenience, flexibility, and quick closing.

• Investors generally make cash offers. There’s no formal appraisal or a significant delay to wait for loan underwriting with cash sales. Cash buyers typically don’t need to conduct professional inspections, which are mainly required by traditional lenders. That’s another time saving.

• Kentucky real estate agents generally earn a fee of 6% of the sales price. That’s split between the agents representing each side in the transaction. When both sides of the sale skip representation (which is often the case when selling to an investor), you’ll save a significant amount.

• Cash buyers generally pick up both buyer and seller closing costs. That’s even more savings when selling directly to an investor with cash.

Cons of Selling Your House As Is Directly to an Investor

• Expect a lower-price offer from an investor. It will be lower than the market value of the house because the investor factors in the cost of repairs and profit margin. These are deducted from the investor’s estimate of the home’s ‘as is’ value.

• Normally, home sellers use cash house buyers to also avoid using an agent. In this case, you’ll be on your own to figure the ins and outs of the sales process when selling without professional representation. Unlike a transaction using an agent, nobody else will be on your team to make sure your best interests are protected when you go the sale alone.

Finding the Best Cash House Buying Company

Finding investors is pretty easy, particularly if you have internet access. Use your preferred search engine and type in your state and locality added to keywords like these:

• we buy houses in Frankfort KY
• cash house buyers in Lexington KY
• iBuyers in Frankfort KY
• sell my house fast Lexington KY
• sell my house for cash Lexington KY

In your search, use your town or the largest city near the house to locate the closest investor. Take time to read the “About Us” page on the companies’ websites.

This page should give you important details about the investor or company and the people who operate the firm.

How to Choose an Ethical Investor?

There are a number of cash house buying companies and individual cash investors, so how do you pick one that’s ethical? Use these tips to protect your interests before you request a cash offer on your house.

• Research the investor. Are they licensed to do business in Kentucky?

• Look for investors or investing companies with at least three years of experience. This experience is important in knowing how to close transactions quickly.

• Check with the area’s Better Business Bureau (BBB) to research the prospective investor. If there are complaints listed on the BBB website, were they resolved to the satisfaction of the seller? If not, it’s time to find a different investor.

• Consult the Kentucky Real Estate Commission to research the investor or investment company. Do they have any past complaints filed against them? If so, what was the resolution?

• Ask the investor for a list of satisfied clients. Contact the people to determine the quality of service offered by the cash buyer or the investment firm.

• Read reviews of the investor left on social media websites. It’s time to move on to find a new investor when the same complaint is mentioned frequently.

How to Sell a House As Is by Listing It by Owner

Selling your home without the help of a real estate agent is called FSBO, or “For Sale by Owner”. In this method, you’ll handle everything yourself, such as setting the price, marketing, giving tours, and negotiating with buyers.

It can be a bit of work, but it lets you save on commission fees and gives you complete control over the selling process.

A key step in this journey is to find the current market value of your home. Knowing what your property is worth helps you price it competitively and fairly, making it more appealing to buyers.

Where Can You List a House For Sale by Owner?

We’re all familiar with the quickest and easiest listing technique for home sales – a sign in your yard. That might work in a fast-selling market, but it’s more difficult in slow ones.

The more eyes on your listing, the more opportunities to make a sale. It’s advisable to use as many avenues for promotion as you can.

Some places to find buyers include:

• posting home tour videos on websites such as YouTube
• hiring a limited-service brokerage firm to list or listing your sale house yourself on a multiple listing service
• using the internet to find websites to sell your house by owner. Many of these are free services.
• distributing fliers or door hangers to your neighbors. Their family or friends might be looking for a house in the neighborhood.

Pros of Selling Your House by Listing It by Owner

• The biggest advantage for many ‘for-sale-by-owner’ (FSBO) sellers is the elimination of a listing agent’s fee. That saves half of the typical 6% of the selling price paid to Kentucky agents (the second half goes to the buyer’s agent).

• You are not only the final say in decisions, but you’re the only say. You set your own pace for preparing the house for sale. You also determine things like a convenient closing date.

• You have the option to market to both investors and non-investors to get the highest sales price for your home. Licensed residential Realtors typically work with non-investors.

Cons of Selling Your House by Listing It by Owner

• You won’t have anyone to represent your interests in the sale. It will be up to you to act as your own fiduciary.

• Most of your buyers will need to finance the purchase. It takes time for them to complete the application, appraisals, and loan underwriting.

• You’ll save one side of the commission. You’ll still have the buyer’s commission calculated in your FSBO closing costs when the buyer works with an agent (which is most of the time).

• You’re working alone on the seller’s side. Any mistakes can be costly, and not just in time. Some mistakes mean a fine. You also might have the sale fall out if you’ve forgotten any legal requirements.

Who Are Real Estate Agents?

Kentucky residential real estate agents assist buyers and sellers in navigating home purchases and sales.

So, let’s review what happens when you sell your house ‘as is’ in Kentucky by using a professional real estate agent.

Your agent will help you to complete the required legal paperwork to list your house. They’ll also market your house to attract qualified buyers.

Your real estate agent is your fiduciary. They’re legally bound to represent your best interests in the transaction and negotiate the best deal for you with the buyer and the buyer’s agent.

Real estate agents in the Bluegrass State must be licensed and work in a brokerage. Kentucky has clear regulations governing the conduct of agents and their supervising broker.

Agents licensed in Kentucky must take courses on real estate law and pass an exam on that content.

It’s recommended to find an agent who knows the area well and is knowledgeable about the neighborhood where your house is located.

Pros of Selling Your House As Is with a Real Estate Agent

• Someone using the title “Realtor” is a member of the Kentucky Association of Realtors, and they have access to the Multiple Listing Service (MLS). This service allows your agent to research comparable sales and price your house aggressively. That typically means a higher selling price.

• You’ll have a licensed trained professional in your corner to represent your best interests when working with a real estate agent. Their fiduciary responsibility is to you.

Cons of Selling Your House As Is with a Real Estate Agent

• Kentucky real estate agents share 6% of the home’s sales price.This means your average Realtor costs to sell a home are higher than selling without an agent. That fee is a significant portion of your Kentucky closing costs.

• Traditional buyers working with agents typically need a mortgage to buy. These sales will take extra time to process and close. Loan applications, appraisals, and underwriting can delay the sale closing for weeks.

How to Choose an Ethical Real Estate Agent?

Some of the trusted ways to find a quality real estate agent include:

• Someone using the title “Realtor” is bound by the code of ethics adopted by the professional trade organization Kentucky Association of Realtors (KAR). The state agency is part of The National Association of Realtors. Both groups have a strict Code of Ethics and Standards of Practice that are enforced by the local association boards. Members violating these are sanctioned. Members can also be removed for flagrant violations.

• Check for any complaints filed with the KAR or with the Kentucky Real Estate Commission against your prospective agent if the person is licensed in the state. The commission can suspend or remove state licenses when agents violate the law. For unlicensed investors, consult the Kentucky Bar Association for complaints.

• Chat with family and friends in the area who have recently moved. They may have local agent recommendations.

• Check for any complaints filed against your prospective agent with the area branch of the Better Business Bureau (BBB).

• It’s advisable to look for an agent with a number of years of experience and a solid sales resume. Longevity in the field means satisfied clients.

• Check to see if your agent has a list of former clients. Ask to speak with a few of them about their experience with the agent.

This guide covers the basic sales approaches for an ‘as is’ listing. It’s now time to decide what approach you want to use to sell your house in Kentucky.