Legally Speaking: What to expect when buying a house ‘as is’

By Linda M. Toga, Esq.

THE FACTS: 

We just bought our first house from an estate. When we looked at the house with our realtor, most, but not all, of the furnishings had already been removed. The contract of sale provided that the house was being sold “As Is” and was to be “broom swept” at the time of the closing. When we did the walk thru, we were shocked to see that the furniture and household furnishings that were in the house when we first saw it were still there and that the house was quite dirty.

THE QUESTION:

Were we wrong to believe that “As Is” in the context of a real estate transaction refers to the physical condition of the house itself and not to the extent to which it may be furnished? Should the seller have thoroughly cleaned the house before the closing?

THE ANSWER: 

Unless the contract of sale stated that the items left in the house were included in the sale, you were not wrong to expect that the furniture and household items in the house would have been removed before the closing. In the context of a real estate transaction, “As Is” refers to the condition of the structure, the plumbing, the electrical system, the heat/AC systems and the included appliances. It also covers kitchen cabinets, bathroom vanities and built-in bookcases, as well as other items that are attached to the structure itself. 

Despite this fact, the question of whether “As Is” also refers to the presence in the house of personal property such as furniture and furnishings sometimes arises when the seller is an estate or when the property being sold has either been rented or vacant for a long period of time. Under those circumstances it is not unusual for the seller to have no interest in keeping the contents of the house and no desire to pay for their removal. 

To avoid any confusion and conflict, both the seller and the purchaser should discuss with their respective attorney what items of personal property, if any, are included in the sale and confirm that the other party has the same understanding of the term “As Is”. 

As for a house being “broom swept,” courts have concluded that a house is “broom swept” if it is free of furniture, household furnishings, garbage, refuse, trash and other debris. A seller should not, for example, leave a broken freezer in the basement, a dirty litter box in the hallway, decayed food in the refrigerator or cans of paint and other hazardous materials in the garage. By doing so, the seller is not satisfying his obligations under the contract to leave the house “broom swept.”

However, if the house is dusty, if there are crumbs on the counter and some hair on the bathroom floor, a court will still likely find that the house was “broom swept.” If you want assurances that the house will be in move-in condition, you should ask that a provision be added to the contract of sale stating that the seller must have the house professionally cleaned prior to the closing. 

Linda M. Toga, Esq. provides legal services in the areas of estate administration, estate planning, real estate and small business services from her East Setauket office.  Call 631-444-5605 or vising her website at www.LMTOGALAW.com to schedule a consultation