You can sell a house as is in Michigan, which means you make no repairs and the buyer takes it in its current condition. You still have to complete the Seller's Disclosure Statement and report the problems you know about, because the as-is clause changes who pays for repairs, not what you have to tell the buyer.
This guide covers what stays the same in an as-is sale, what the clause protects you from, where it stops, and how to sell a home that needs work without creating a problem later. We are real estate brokers, not attorneys, so use a Michigan real estate attorney for advice on your own sale.
What does "as is" mean in Michigan?
"As is" is a term in the purchase agreement. It usually means the seller is not promising to fix anything and the buyer accepts the home in its present condition.
The Court of Appeals has described what the clause does. It allocates the risk of loss from conditions unknown to the parties, and from defects that should reasonably have been found on inspection but were not (Lorenzo v Noel, 1994). That is real protection, but it is narrower than many sellers assume.
| As-is clause | |
|---|---|
| Repairs after the inspection | Seller has no duty, unless the agreement says otherwise |
| Conditions neither side knew about | Risk generally moves to the buyer |
| Defects a reasonable inspection should have found | Risk generally moves to the buyer |
| Seller's Disclosure Statement | Still required |
| Federal lead paint disclosure | Still required, for most homes built before 1978 |
| A problem the seller knew about and hid or lied about | Not protected |
| The buyer's inspection and right to walk away | Whatever the purchase agreement says |
Do you have to disclose problems if you sell as is?
Yes. The Seller Disclosure Act covers the transfer of any interest in real estate with one to four residential units, including a sale and an installment land contract (MCL 565.952). Its list of exemptions does not mention as-is sales (MCL 565.953).
The statement is a state form, written into the law (MCL 565.957). It asks about the roof, basement, plumbing, electrical, heating, well and septic, environmental hazards, flooding, permits and more, each answered from what you know. It says plainly that it is not a warranty, and each disclosure must be made in good faith, which the Act defines as honesty in fact (MCL 565.960).
A city, township or county may also require extra disclosures (MCL 565.959), so ask the local building or assessing office if you are not sure.
When is the statement due?
Before you sign a binding purchase agreement (MCL 565.954). If it arrives after, the buyer can terminate by written notice within 72 hours of delivery in person, or within 120 hours if it came by registered mail. That right ends when the property transfers by deed or land contract.
For example, if you accept an offer and hand over the statement in person on a Monday at 10:00 a.m., the buyer has until Thursday at 10:00 a.m. to walk away. Delivering it before you sign avoids that window.
What if you don't know the home's condition?
If you inherited the house, rented it out or never lived there, you can still sell it as is. If an item is unknown to you, you comply by saying so, and what you report should be based on the best information you have (MCL 565.956). The form gives "unknown" as an answer for this reason.
Unknown is not the right answer for something you do know. If a tenant told you the basement floods, or a contractor gave you a report on the roof, that is information you have.
Who is exempt from the disclosure statement?
Some sales are exempt, but not because they are as is. The exemptions in MCL 565.953 include:
- Transfers under a court order, including those ordered by a probate court in administering an estate
- Foreclosure sales, and transfers to a lender by a borrower in default
- Transfers by a fiduciary who does not live in the home, in the course of administering an estate, guardianship, conservatorship or trust
- Transfers between co-tenants
- Transfers to a spouse, parent, grandparent, child or grandchild
- Transfers between spouses under a divorce judgment
If you are selling for an estate, our guide to selling a house in probate in Michigan covers how this applies. An exemption from the form does not excuse fraud, because the Act leaves fraud, misrepresentation and deceit law in place (MCL 565.961).
What does an as-is clause protect you from?
Mainly two things.
Conditions you didn't know about. The Act says a seller is not liable for an error, inaccuracy or omission that was not within the seller's personal knowledge, and it is not a violation to leave out something that could only be found by inspecting inaccessible parts of the home, or only by someone with expertise in a trade (MCL 565.955). An as-is clause adds to that. In Coosard v Tarrant (2022), the Court of Appeals held that an as-is clause bars a claim of innocent misrepresentation, the kind where the seller got something wrong without knowing it.
Conditions a reasonable inspection should have found. Under Lorenzo, that risk moves to the buyer too. The limit is reasonableness. In Coosard the court said an as-is clause does not protect a seller from a fraud claim merely because the buyer could have discovered the truth: it must have been reasonable to expect the buyer to find the defect, and to inspect in the first place.
Where does an as-is clause stop?
At fraud. An as-is clause does not transfer the risk when a seller makes fraudulent representations before the buyer signs a binding agreement (Lorenzo). In Coosard the court said that if a seller knows of the problem, the clause is a nullity as to a fraud claim. In Faraj v Giles (2024), the court held that a clause barred an innocent misrepresentation claim but not the buyers' fraud claims, and sent those back to the trial court.
In practice, that means:
- Don't check "no" on something you know is a problem.
- Don't cover a defect to get through a showing or an inspection.
- Answer direct questions from the buyer fully, and correct your statement in writing if something changes. The form itself says you will disclose changes to the home's systems immediately.
Writing "as is" on a listing or in an agreement does not change any of those.
What else applies to an as-is sale?
Lead-based paint. For most homes built before 1978, federal rules require the seller to give the buyer the EPA pamphlet, disclose known lead-based paint and any reports, include the warning statement in the contract, and allow 10 days for a paint inspection. The parties can change that period in writing, and the buyer can waive it. Sellers keep a signed copy for three years after the sale.
City inspections. Some Michigan cities have their own rules for sales. The City of Wayne, for one, requires residential dwellings to be inspected and certified before sale. An as-is agreement between you and a buyer doesn't change a city ordinance, so check with the local building department before you list.
Transfer tax. An as-is sale pays the same tax as any other: $8.60 per $1,000 of the sale price, usually from the seller's proceeds. See our Michigan transfer tax guide, or run the numbers in the transfer tax calculator.
How do you sell a house as is in Michigan?
- Decide what you will and won't do. You can sell as is and still fix one safety item or clear out the house. The label doesn't have to mean nothing gets touched.
- Fill out the disclosure statement first. Do it carefully, before any offer, so it can go to buyers early.
- Gather what you have. Past inspection reports, repair invoices and permits help a buyer price the home, and sharing them is better than having them surface later.
- Price it for its condition. Buyers will discount for what they see. A price based on recent sales of similar homes, adjusted for condition, gives you a real starting point.
- Choose how to sell. You can list on the MLS as is, which shows the home to buyers working with agents, or take a direct offer from a cash buyer. We don't quote a typical discount for cash offers, since the figures online come from companies with a stake in the answer. Comparing any offer with a market value for the home tells you what speed would cost you.
- Put it in the agreement. Have the as-is language, the inspection terms and any credit written into the purchase agreement, and have an attorney review it if the house has known problems.
Find out what your house is worth as it stands
The first question in an as-is sale is what the home would sell for in its current condition. Ask for a written home value estimate from recent MLS sales near you, checked by a Raven agent. Tell us what the house needs, and we will account for it.
