As Is Addendum To Real Estate Contract for the United States

As Is Addendum To Real Estate Contract Template for United States

An As Is Addendum to Real Estate Contract is a legal document used in United States property transactions that modifies the main purchase agreement to specify that the property is being sold in its current condition, without warranties or representations about its state. This document protects the seller from future claims about property condition while ensuring the buyer acknowledges they are accepting the property with any existing defects or issues.

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What is a As Is Addendum To Real Estate Contract?

The As Is Addendum To Real Estate Contract is commonly used in United States property transactions where sellers wish to limit their liability for property condition and buyers agree to purchase property in its existing state. This document is particularly relevant in situations involving distressed properties, foreclosures, or when sellers have limited knowledge of property condition. The addendum typically includes provisions for buyer inspection rights, waiver of future claims, and any known defect disclosures required by state law. It serves as a crucial risk management tool while ensuring compliance with federal and state disclosure requirements.

What sections should be included in a As Is Addendum To Real Estate Contract?

1. Parties: Identifies the buyer and seller entering into the addendum agreement

2. Background: References the main purchase agreement this addendum modifies and states the purpose of the addendum

3. Definitions: Defines key terms used in the addendum including 'As Is' condition

4. As Is Clause: Core provision stating property is sold in current condition without warranties or representations

5. Inspection Rights: Details buyer's right to inspect the property and time period for inspections

6. Waiver of Claims: Buyer's explicit waiver of future claims regarding property condition and acknowledgment of risks

What sections are optional to include in a As Is Addendum To Real Estate Contract?

1. Known Defects: Section listing any known issues with the property that the seller has disclosed

2. Environmental Hazards: Special section addressing any known environmental issues or hazards

3. Repair Credits: Section detailing any negotiated credits or allowances for repairs

What schedules should be included in a As Is Addendum To Real Estate Contract?

1. Schedule A - Property Inspection Report: Attached inspection report detailing current condition of the property

2. Schedule B - Disclosure Statements: Required state and federal disclosure forms including lead-based paint disclosure if applicable

3. Schedule C - Property Condition Documentation: Photos, reports, or other documentation evidencing current property condition

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

United States

Publisher

Genie AI

Cost

Free to use
Industries

Federal Fair Housing Act: Federal legislation that prohibits discrimination in real estate transactions based on race, color, religion, sex, national origin, familial status, or disability

Interstate Land Sales Full Disclosure Act: Federal law requiring developers to provide detailed information about their development projects to potential buyers

Truth in Lending Act: Federal law requiring disclosure of credit terms and standardization of how credit charges are calculated and disclosed when financing is involved

Real Estate Settlement Procedures Act: Federal law governing real estate settlement processes, requiring specific disclosures about real estate transactions, settlement services, and consumer protection information

State Property Laws: State-specific legislation governing property rights, transfers, and real estate transactions within the state jurisdiction

State Real Estate Disclosure Requirements: State-specific rules about what property conditions and facts must be disclosed to buyers during a real estate transaction

State Consumer Protection Laws: State-specific legislation designed to protect consumers in transactions, including real estate purchases

State Contract Laws: State-specific rules governing contract formation, enforcement, and interpretation

State As Is Provisions: State-specific requirements and limitations for 'As Is' clauses in real estate contracts

Lead-Based Paint Disclosure Requirements: Federal requirement to disclose known information about lead-based paint and hazards in properties built before 1978

Material Defects Disclosure: Legal requirement to disclose known significant problems or defects that could affect the property's value or habitability

Natural Hazard Disclosures: Requirements to disclose natural hazard risks such as flood zones, earthquake zones, or wildfire risk areas

Caveat Emptor Principle: Common law principle of 'buyer beware' that may apply in 'As Is' sales, subject to state-specific limitations

Material Misrepresentation Laws: Laws governing false statements or omissions about material facts related to the property

Municipal Building Codes: Local regulations governing building standards and compliance requirements

Local Zoning Laws: Municipal or county regulations governing property use and development restrictions

Teams

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