Selling A House That Needs Repairs In Florida

The roof is shot, the AC died, the kitchen is from 1987, and you either can’t or won’t fund the repairs.

You can sell it exactly as it is. Here’s what that costs you, what you’re legally required to disclose, and how to decide which repairs (if any) are actually worth making.

What “as-is” really means in Florida

The standard Florida contract is the FAR/BAR “AS IS” Residential Contract for Sale and Purchase. It’s used in the large majority of Florida transactions, including plenty of perfectly normal ones.

As-is means: the seller will not make repairs. The buyer takes the property in its current condition.

As-is does NOT mean:

• You can conceal known problems
• The buyer can’t inspect - they can, and under the standard contract they can cancel during the inspection period for any reason
• You’re free of disclosure obligations

That last point is the one people get wrong, and it’s the one that produces lawsuits.

Your disclosure obligation

Under Johnson v. Davis, 480 So.2d 625 (Fla. 1985), a seller of residential property must disclose known facts materially affecting the value of the property that are not readily observable to the buyer.

“As-is” doesn’t override this. If you know the roof leaks every time it rains hard and you don’t say so, you can be sued after closing - and buyers win these cases.

Disclose:

• Roof leaks, age, and any past repairs
• Sinkhole activity. Under Fla. Stat. §627.7073(2)(c), if a sinkhole claim was made and paid by the insurer, you must disclose that before closing - including whether the full proceeds were used to repair the damage. This is a specific statutory duty, separate from general disclosure.
• Flooding history and flood zone
• Mold or past water intrusion and any remediation
• Structural or foundation movement
• Termite damage or treatment history
• Open or expired permits - very common in Florida
• Code violations and liens
• Polybutylene plumbing, aluminum wiring, Chinese drywall, cast iron drains
• HOA special assessments, pending litigation, and dues
• Insurance non-renewal or inability to obtain coverage

Use the standard Florida Realtors Seller’s Property Disclosure form. Fill it out fully. Over-disclosure protects you; under-disclosure creates liability that survives closing.

The insurance and financing wall

This is the practical reason houses that need work sell for less in Florida, and it’s not really about aesthetics.

A house that can’t be insured can’t be financed. No lender funds a mortgage without a policy in place. Florida carriers decline over roof age, failed 4-point inspections, polybutylene plumbing, and known electrical hazards. See can’t get homeowners insurance in Florida.

FHA and VA loans have minimum property standards - no active leaks, working systems, no peeling paint on pre-1978 homes, safe stairs and handrails. A house failing these can only be bought conventionally or in cash.

Appraisers flag deficiencies. A “subject to repairs” appraisal means the work has to be done before closing - by you, usually.

So the moment your house crosses into “uninsurable” or “unfinanceable,” your buyer pool shrinks from everybody to cash investors. That’s what drives the price difference far more than the cosmetics.

Which repairs are actually worth making

Not all repairs return their cost. Roughly:

Usually worth it - these unlock financing and insurance:

Repair	Typical Central FL cost	Why
Roof replacement	$12,000–$30,000	Unlocks insurance and financing. Biggest single lever.
Electrical panel (FPE/Zinsco)	$1,500–$3,000	Cheap, and a near-automatic insurance decline otherwise
Water heater	$800–$2,000	Cheap 4-point item
HVAC	$6,000–$12,000	Florida buyers won’t overlook this
Re-pipe from polybutylene	$4,000–$10,000	Removes an automatic decline
Active leak repair	Varies	Prevents mold, which compounds fast

Usually worth it - cheap and high-visibility: Paint, landscaping, deep cleaning, decluttering, fixing anything that sticks, squeaks, or drips. A few thousand dollars here reliably returns more than it costs.

Usually NOT worth it before selling: Full kitchen or bath remodels, pools, sunrooms, high-end finishes. You rarely get your money back, and buyer taste varies.

The decision rule: repairs that move you from uninsurable/unfinanceable to insurable/financeable almost always pay for themselves, because they restore your entire buyer pool. Cosmetic upgrades usually don’t.

Your three options

1. Repair, then list

Highest price. Requires capital, contractor coordination, and 1–4 months before you can even list. Best when you have the money and the house is fundamentally sound.

2. List as-is

Legal and common. Price accordingly, expect a smaller pool, and expect inspection negotiations anyway - “as-is” doesn’t stop buyers from asking. Works reasonably when the house is dated but functional.

3. Sell as-is to a cash buyer

No repairs, no showings, no financing contingency, closes in 7–21 days. You take less. See are cash home buyers legit for the actual math on how offers are calculated.

Doing the honest comparison

Don’t compare headline prices. Compare net to you:

Repair and list: Sale price − repair cost − 7–9% selling costs − 2–5 months of mortgage, taxes, insurance, and HOA − the risk that repairs uncover more problems

Sell as-is for cash: Offer − minimal closing costs − 2–3 weeks of carrying costs

Repair and list wins when you have the cash, the repairs are contained and known, the house is in a desirable area, and you’re not under time pressure. This is genuinely the better move for a lot of people and we’ll say so.

As-is cash wins when the repair list is long or unknown, the house can’t be insured, you don’t have the capital, you’re out of state, there’s a deadline, or opening up walls risks finding something worse. In Florida that last one is real - one leak becomes mold becomes drywall becomes framing.

If there’s an open insurance claim

If you have an active or recent claim - hurricane, water, fire - talk to a public adjuster or attorney before selling.

Claim proceeds and the right to pursue an open claim can sometimes be assigned or retained, but this is contract-specific and easy to get wrong. Selling without addressing it can mean signing away money you were owed.

Frequently asked questions

Can I sell my house as-is in Florida? Yes. The FAR/BAR AS IS contract is standard. As-is means no repairs; it does not eliminate your disclosure duty.

Do I have to disclose problems if I sell as-is? Yes. Under Johnson v. Davis you must disclose known material defects not readily observable. Sinkhole claims paid by an insurer have a specific statutory disclosure requirement under §627.7073.

Will a buyer still inspect an as-is house? Almost always, and under the standard contract they can cancel during the inspection period for any reason.

What repairs are worth making before selling? Anything that restores insurability and financeability - roof, electrical panel, plumbing, HVAC - plus cheap cosmetics. Major remodels usually don’t return their cost.

Can I sell a house that fails a 4-point inspection? Yes, but typically only to a cash buyer, since carriers will decline coverage and lenders require it.

How much less will I get selling as-is? Cash offers typically run 60–80% of after-repair value depending on the work needed. The less work, the higher the percentage.

What if repairs uncover more problems? Common in older Florida homes. Build a contingency into any repair budget, and know that discovering something mid-project is a real risk of the repair-and-list path.

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General information about Florida real estate, not legal advice. Disclosure obligations are fact-specific and failure to disclose creates liability that survives closing. Consider having a Florida real estate attorney review your disclosure.

Beach Bums Real Estate buys houses as-is for cash in Orlando and Central Florida - no repairs, no cleanout, no showings. Call (689) 249-4888. If a roof replacement would let you list and net more, we’ll tell you.