April 11, 2025
As a real estate investor in Missouri, selling a property “as is” can be a smart strategy – especially when dealing with flips, rental turnovers, or distressed properties. It’s a way to streamline the sale and avoid the time and cost of repairs. But there’s a common misconception we want to clear up:
Even in an “as is” sale, Missouri law still requires you to disclose certain known defects.
What “As Is” Really Means
When you sell a property “as is,” you’re telling the buyer they’re purchasing the home in its current condition—no upgrades, no fixes, no warranties. It’s the real estate equivalent of “what you see is what you get.”
However, “as is” does not mean you can stay silent about problems you’re aware of. You’re not obligated to repair issues – but you are obligated to disclose them. And this is where many sellers run into trouble. Just because you’re not making repairs doesn’t mean you can withhold information that could impact the buyer’s decision.
Missouri’s Disclosure Requirements
Missouri follows the legal doctrine of caveat emptor – “buyer beware” – but with key exceptions. Sellers are legally required to disclose any known material defects that could affect the property’s value, safety, or habitability, especially if they would not be obvious during a typical inspection.
In most transactions, this is done by completing a Seller’s Disclosure Statement, which typically covers:
- Roof and structural concerns
- Plumbing, HVAC, or electrical issues
- Water intrusion, leaks, or mold
- Termite or pest damage
- Foundation movement or cracks
- Environmental hazards (e.g., radon, asbestos, lead-based paint)
- Legal disputes or zoning violations
If you’re aware of these issues and fail to disclose it, you could be on the hook for fraud, misrepresentation, or breach of contract – even if the buyer agreed to purchase the property “as is.”
Best Practices: Protect Yourself and the Deal
To reduce your legal risk and keep the deal on solid ground, I advise all my investor clients to:
- Be Transparent – Complete a full Seller’s Disclosure form, even in “as is” deals. It builds trust and protects you from future claims.
- Be Clear in the Contract – Spell out that the sale is “as is” and that the seller will make no repairs or offer any credits.
- Consider a Pre-Listing Inspection – Especially if you haven’t lived in the property, this helps you identify potential issues in advance, so you’re not caught off guard by the buyer’s inspection.
Need Help?
Selling “as is” doesn’t mean you’re off the hook for disclosures. In Missouri, honesty isn’t just a best practice – it’s the law.
If you’re preparing to sell and want to ensure your deal is properly structured, I’m here to help. Reach out at julie@mokslaw.com or call 816-262-2207. A little legal foresight now can save you a world of litigation later.