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

‘As is’ condition means the house listing is sold exactly as the buyer finds it. The seller won’t modify, repair, or change anything to complete the sale.

The standard form used by New Jersey Realtors includes an ‘as is’ condition clause in Section 16 (D).

This section states the property is being sold ‘as is’ for a price offered by the buyer based on their evaluation of the property value.

Yes, you can sell a home ‘as is’ in New Jersey. While most homes sold in the Garden State are traditional sales of turnkey properties, annual sales include a significant number of properties that are sold ‘as is’.

The next segments of this article answer the question, “How does selling a house ‘as is’ work in New Jersey?” Let’s start with the property disclosure requirement.

New Jersey law requires sellers to disclose any material defect in the property that would decrease the value of the house or risk the health and safety of the new owners.

Failure to do this could mean the seller ends up in court.

The seller doesn’t need to hire a property inspector to complete the form, but any defects known to the seller need to be itemized on the state’s standardized form.

Any problems or defects in the area surrounding the house should also be disclosed.

Hydraulic fracturing (fracking), bed bug infestations, and haunted houses aren’t specifically mentioned on the Garden State property disclosure form, but the law requires other disclosures.

Selling a home with asbestos, radon, or mold need to be disclosed if tests have been done on the property for these problems. If remediation was done for these conditions, that also needs to be disclosed.

Selling a house with septic system failure, foundation issues, or unpermitted work needs to be disclosed.

Selling a house with fire damage, and houses with fire resistive or retardant materials used in the construction, need a disclosure letting prospective buyers know about these conditions.

Homeowners selling a house with termite damage require a detailed disclosure, including any inspections done and work completed to repair the insect infestation consequences.

Flooding is a major section of the property disclosure. Owners selling a house in a flood zone and those with water infiltration or water damage must disclose these conditions.

Selling a house with polybutylene pipes isn’t specifically required on the disclosure, but the owner must identify the type of plumbing used in the house, including lead pipes used in the plumbing system.

All New Jersey houses constructed before 1978 must complete a federal lead paint disclosure.

Owners selling a house with lead-based paint must provide potential buyers with the ways they can mitigate against the hazards the paint presents. The federal disclosure provides this information.

You can leave stuff behind when you sell your New York house ‘as is’, but you need to disclose that, and also include your intent to leave things on the purchase contract.

Buyers aren’t required to accept these terms, and it can be a point of contract negotiations.

Expert Insight

What are the common pitfalls related to properly disclosing the home’s condition?

A seller in NJ is legally obligated to provide any information on material defects in a seller’s disclosure document that has become a requirement since 8/1/2024.

So errors of commission could easily become fraud; if you had water in your basement and you had a company come to repair and remediate, then your neighbors could give you up, if you didn’t disclose this.

If you did remediate and/or repair, then you can add that into the document or draft a separate document that you can upload to the MLS and share with prospective buyer agents to cover yourselves.

The best approach is to be honest and you can always include a home warranty to cover a potential buyer for up to one year from their purchase date, and they often cover you as well as soon as you sign and up till closing.

— Mark Slade, The Mark Slade Homes Team at Keller Williams Mid-Town Direct Realty, CEO

One of the biggest mistakes homeowners can make when selling a home as-is is assuming that they do not have to disclose known issues with the property.

Selling as-is generally means the homeowner is not agreeing to make repairs, but it does not mean they should withhold information about problems they already know exist.

From my perspective as a New Jersey real estate investor, when we purchase a home as-is, we understand that we are taking on a certain level of risk.

In many cases, we waive a traditional home inspection and the usual inspection contingencies because we are evaluating the property ourselves and factoring its condition into our offer.

That said, there are certain major items that cannot always be seen during a walkthrough, such as an underground oil tank or the condition of a septic system.

In those situations, we may include a limited contingency allowing us to inspect those specific items.

If an issue is discovered, we may need to renegotiate the purchase price or, if we cannot come to an agreement with the homeowner, decide not to move forward with the purchase.

The key for homeowners is to be transparent about what they actually know.

They should disclose known issues such as water intrusion, structural problems, mold, septic concerns, underground oil tanks, termite damage, unpermitted work, or previous flooding.

They should also avoid guessing. If they truly do not know the answer to something, it is better to say that than to provide inaccurate information.

Ultimately, selling a home as-is means the homeowner is not expected to fix everything before closing.

It does not mean that known material issues should be hidden or left entirely for the buyer to discover.

— Jonathan Faccone, Halo Homebuyers, Founder

The first important question for sellers of ‘as is’ properties is, “Should you sell your New Jersey house ‘as is’ or fix it up?” Reviewing the pros and cons of an ‘as is’ listing can help you decide.

Why sell a New Jersey house ‘as is’? There are many benefits.

Pros of Selling Your House As Is

• You don’t have to worry about vetting contractors and overseeing repair work when you sell ‘as is’. If you’re fixing things yourself, you can eliminate that chore.

• ‘As is’ sales save time, particularly when you sell to a New Jersey cash house buyer. Cash payments let you avoid the time spent waiting for mortgage approvals, home appraisals, and the wait time for underwriters to give final approval for the loan.

• Most ‘as is’ buyers skip using a New Jersey home inspector to examine the house and make a report. Sellers won’t have to negotiate with nitpicky buyers who want to have the seller spend the time to fix items — and pay for those repairs — in many ‘as is’ sales.

• Inspection reports done for any buyer need to be shared with all prospective buyers for your house. Eliminating inspections means you won’t have to share additional reports.

• ‘As is’ buyers typically allow sellers to simply hand over the keys to the property without doing any home cleanout. This can be a real advantage for some ‘as is’ sellers.

But it’s not all advantages when selling a fixer.

Cons of Selling Your House As Is

• You won’t sell at a turnkey property price when you sell ‘as is’. Buyers of fixers deduct the cost of home repairs and their time doing them from their offers. Knowing the estimated closing costs for sellers helps you evaluate offers.

• Your buyer pool is limited for an ‘as is’ sale. Most traditional buyers look for turnkey properties, not fixers.

“How do I go about selling my house ‘as is’ in New Jersey?” There are three main ways to sell your house in the Garden State.

Let’s start the review by exploring a sale to a cash real estate buyer in New Jersey.

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

Who Are Cash House Buyers?

Cash house buyers invest in residential real estate. While most buyers use mortgages to purchase properties, cash house buyers invest by using their own cash or loans from private sources.

These cash sources take far less time to fund compared to traditional mortgages.

Such companies or solo professionals buy investment homes in New Jersey that need updating or repairs. They then rehab the property and resell it to new buyers. This is known as “flipping”.

Some real estate investors in New Jersey focus on buying rental properties. These are homes currently rented, but investors also look for other properties that can be converted to rentals.

When you sell your house to an investor, the sale will move quickly to close. Some sellers need a quick closing to help address personal issues, including:

• out-of-state heirs selling a house under probate
• homeowners selling a house in poor condition
• couples selling in a divorce home sale
• retirees looking to downsize
• workers selling a house for job relocation
• owners selling a home when facing foreclosure
• families selling a house with an IRS tax lien

A local investor-friendly title company in New Jersey with experience in closing cash sales generally handles cash house transactions for investors.

Pros of Selling Your House As Is Directly to an Investor

• A cash home buyer can offer a quick sale. They have experience in investment buying and move fast to close sales.

• Since the sale doesn’t require a traditional mortgage to close with a cash buyer, sellers can avoid the time lag for loan applications as well as headaches related to house appraisals and underwriting. Investors often also pass on professional inspections. All that saves sellers time.

• If you don’t use an agent as a seller, you’ll avoid paying agent commissions on your home sale.

• Cash investors generally pick up the bill for closing costs for themselves and the seller. This means significant savings for the seller.

Cons of Selling Your House As Is Directly to an Investor

• You won’t receive market value for your house. Investors factor in the price for repairs and the cost of doing business — and then subtract those totals from their offer.

• You won’t have a real estate professional to be your fiduciary in the transaction. You’ll be on your own. However, if you sell to a seasoned investor with years of experience and good reputation, this shouldn’t be an issue since cash buyers and investment companies don’t stay in business long if they don’t operate ethically.

Finding the Best Cash House Buying Company

Finding investors for your property is fairly easy, and it’s as close as your computer keyboard. Search for investors online by using some general terms like these:

• we buy houses Newark NJ
• sell my house fast Newark NJ
• cash house buyers Newark NJ
• sell my house for cash Newark NJ
• iBuyer companies Newark NJ

Substitute the location of your house to find local firms and individual investors. If you live in a sparsely populated area, use the largest nearby city in your search.

How to Choose an Ethical Investor?

First, look at the investors’ websites. Locate the “About Us” page on the site to see what information they provide about themselves.

Eliminate investors who don’t seem to be real people or companies who provide no information about their owners.

Look for investors who have been doing investments for more than three years. This allows enough time for investors to become experienced in handling property transactions.

Once you’ve found a number of prospects with quality resumes, it’s time to vet your potential investors.

Start with the local branch of the Better Business Bureau (BBB). The BBB receives complaints from unhappy clients and works to resolve the issues.

If the investors on your list have numerous complaints filed with the local branch of the bureau, it’s time to find other investors.

Check with the New Jersey Division of Consumer Affairs to see if your prospects have complaints filed against them with that office.

If this research requires more time and effort than you want to spend, request cash offers from up to five investors by submitting a single online request with just a few clicks on HouseCashin.

HouseCashin does the pre-screening and researching chores for you. Its partnering local companies have been vetted.

HouseCashin refers your offer request to the investors for you. You can request your cash offers by clicking on this link.

If selling a home in New Jersey to an investor sounds like an interesting idea, but you want to explore other options first, let’s continue reviewing them.

Expert Insight

What should home sellers look for when screening cash house buyers?

My advice to homeowners is straightforward: treat a “we buy houses” firm the same way you would any other significant financial choice.

I have been purchasing homes around South Jersey for over ten years. Doing some research ahead of time can save you a great deal of frustration because not all cash buyers are the same.

Finding out who you’re really dealing with is the first thing I advise.

Many organizations that promote extensively online are actually wholesalers or lead-generation corporations that have no intention of buying your property.

— Dylan Burnett, Northbound Home Buyers, Founder

One of the first things I would ask for is proof of funds. It is one thing for someone to say they can buy your house, but it is another thing for them to show that they actually have the financial ability to close.

The proof of funds should be current, clearly identify the buyer or purchasing entity, and show that there are sufficient funds or financing available for the purchase.

Some legitimate investors use private lenders or hard-money financing, so the money does not always have to be sitting in the company’s own bank account.

However, the documentation should come from a legitimate and verifiable source. If the company cannot provide any meaningful proof that it has the ability to close, that should be a concern.

— Jonathan Faccone, Halo Homebuyers, Founder

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

Selling the house yourself is known as a for-sale-by-owner listing, or an “FSBO”. Owners listing without a Realtor accept all the duties of filing paperwork and marketing.

When you’re selling a home on your own, having a house value estimate can help you understand your property’s worth in the current market.

To attract serious buyers, remember that the more exposure for your property, the greater chance you’ll find those interested to buy your home.

Where Can You List a House For Sale by Owner?

There are a number of FSBO listing sites. Creating a flier or a short tour of your house to post on these sites offers a way to advertise your house online.

Most of the websites are free to post, but some charge a small fee.

Place a sign in your yard or in a window of the house to attract buyers. This works well in areas with a lot of vehicle and foot traffic.

Make an advertisement, or have a professional create one, to distribute to your neighbors. They may have friends or family who would love to live nearby.

Pros of Selling Your House by Listing It by Owner

• You’ll save paying commission fees to real estate agents. New Jersey agents earn 5-6% of the sales price in commission. Seller fees for their side of the commission is a significant amount of money.

• Going it alone in the sale means you control all of the details in the sales transaction. You can shape the sales calendar to match your personal schedule.

• Your listing will have your total attention. Real estate agents work with a number of clients. They must divide their time among these clients, and you will receive just a portion of this time. You can focus your entire attention and energy on selling your house.

Cons of Selling Your House by Listing It by Owner

• Selling as a for-sale-by-owner listing doesn’t eliminate the wait time when buyers need a mortgage to purchase your house.

• As an FSBO sale, you’ll have to rely on your own experience to market and sell your property. You won’t have the training or experience that a Realtor has to do the important tasks, such as negotiating a sale price. Knowing the ‘for sale by owner’ seller closing costs is important, but this knowledge doesn’t mean you know how to use that information to your advantage.

• Working alone in selling your house might mean mistakes. Those mistakes can mean delay or cause a sale to fall apart when you don’t have the skills to handle problems. Major mistakes might create a situation where the buyer sues you for your error, even when it’s a minor mistake.

Expert Insight

What are the common pitfalls when selling a house by owner?

One of the most common myths among homeowners is that selling a house by owner (FSBO) only entails posting a sign in the yard, locating a buyer, and collecting the profits at closing.

In actuality, a lot of the most costly errors occur after an offer is approved.

I’ve been purchasing homes in South Jersey for over ten years, and throughout that time I’ve witnessed homeowners encounter a number of recurrent problems when trying to sell without the assistance of a professional.

Inaccurate pricing is the first and most frequent mistake. Because they lack access to up-to-date market data, many sellers either undervalue the property or overvalue it due to emotional attachment.

— Dylan Burnett, Northbound Home Buyers, Founder

Simply put, investing in cosmetic, curb appeal and interior vanity oriented presentation is significantly more important than putting in new HVAC equipment or a new hot water heater.

That’s why it’s best to get a consult when you start thinking you might be selling your property in the future, no matter how soon that actually is.

— Mark Slade, The Mark Slade Homes Team at Keller Williams Mid-Town Direct Realty, CEO

Another important issue is making sure the buyer is qualified. A financed buyer should have a current mortgage preapproval, while a cash buyer should be able to provide credible proof of funds.

The process can become even more difficult after an offer is accepted. The homeowner may need to navigate attorney review, inspections, repair requests, appraisal issues, title concerns, financing delays, and closing deadlines.

It can also be hard not to take negotiations personally when a buyer points out defects or asks for a price reduction.

Selling by owner can work, especially when the homeowner already has a qualified buyer or real estate experience.

However, the biggest mistake is underestimating the time, responsibility, and experience needed to manage the sale properly.

In New Jersey, I would also recommend having an experienced real estate attorney involved to guide the legal side of the transaction.

— Jonathan Faccone, Halo Homebuyers, Founder

Who Are Real Estate Agents?

Real estate agents are licensed professionals who study and train to represent people in buying and selling real property. They work under the supervision of a licensed broker.

Agents assist sellers in deciding on a price, marketing the property, negotiating with buyers and their agents, and then guiding the seller through the legalities, from the listing through the closing.

Your agent is your legal fiduciary, and the agent is charged with putting your interests first.

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

• Realtors have access to the comparable sales in your neighborhood. This database includes a host of details about the sales. You’ll be able to determine how your house compares — and set an aggressive price to bring you the highest proceeds.

• Real estate agents are your fiduciary. They use their training and expertise to represent your best interest in the sales transaction.

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

• Agents work under a contract for 5-6% of the sales price of your home. That’s split between both agents — seller’s and buyer’s. The Realtor costs when selling a house are the most significant portion of New Jersey closing costs.

• Real estate agents have a number of clients that they work with. You’ll be one of a number that the agent must divide time between. You may have to work with the agent’s assistant for some of the time, or simply sit and wait when your agent is working with other clients.

• Most Realtors work with clients who need to obtain a mortgage to buy your property. This means waiting for each step in the mortgage process to be completed.

New Jersey has a wealth of licensed real estate agents and brokerages. You’ll need to locate one who has experience listing and marketing fixers.

How to Choose an Ethical Real Estate Agent?

Your house will sell faster when you select an agent who also has experience marketing homes in your neighborhood — and a history of neighborhood sales.

Vet your agent by narrowing your prospect list down to three candidates. Interview them at your house to locate an agent you can comfortably work with during the sale.

Ask the agent how they’d market your fixer and the types of outreach they plan to do. Agents should have a portfolio that illustrates their marketing for prior sales.

Agents using the title “Realtor” are members of the New Jersey Realtors. These real estate agents are members of the National Association of Realtors, the parent group of the Garden State branch.

Realtors take an ethical oath to follow the law and to operate ethically during all transactions.

The New Jersey Realtors accepts complaints from unhappy clients, and works to resolve issues.

Member agents who fail to follow ethical standards are reprimanded with fines or license suspension.

Check with the New Jersey association to see if any complaints have been filed against your list of prospective candidates.

Consult the State of New Jersey Department of Banking and Insurance for any complaints filed there against your list of prospects.

Ask your prospects for a list of prior clients who will vouch for their professionalism. Contact several to confirm they’re legitimate references.

Expert Insight

What should home sellers look for when screening real estate agents to hire?

Choosing a real estate agent based only on a friend’s suggestion or the highest suggested listing price is one of the biggest mistakes I see New Jersey homeowners make.

Request current examples of listings that are comparable to yours. Look at what really sold rather than simply what they listed.

A competent agent should be able to describe their pricing strategy, average number of days on the market, and the degree to which their listings sell for the asking price.

— Dylan Burnett, Northbound Home Buyers, Founder

First thing is to google their names to see what comes up and check out the top 5-7 listed links.

Ask the agents what they do for marketing. Ask what the agent does that separates them from most, if not, all other agents.

Ask how they negotiate and work for you to get you the highest price. Ask how many properties they have sold. What is their sale price to list price ratio?

— Mark Slade, The Mark Slade Homes Team at Keller Williams Mid-Town Direct Realty, CEO

My advice to New Jersey homeowners would be to look beyond whether someone is simply licensed and really focus on their experience.

I was licensed myself at one point, although I no longer am, and while the licensing process gives someone the basic foundation, I believe real competency comes from actually working through many different transactions.

Every deal has its own nuances, personalities, and challenges. A good real estate agent should not only know how to market a home and negotiate the best possible price, but also how to navigate inspection issues, appraisal problems, attorney review, financing delays, and the emotions that can come with selling a home.

— Jonathan Faccone, Halo Homebuyers, Founder