It's not uncommon. I purchased my house which was as is since it was bank owned, and after inspection got it for 10 K less than pre-inspection. Unless you do a thorough inspection prior to selling, you can't know what all is wrong with it. Also, many inspections include issues that may be impending, even if they not are not a problem now. My roof was in decent condition, no leaks, but it was older than any insurance company would be willing to cover (found out after buying) and after buying the house I ended up being forced to buy a new roof six months after closing...$8k, even though it still had some life left, thanks to a vinyl covering the previous homeownner installed.
Also, buyers usually assume that something is priced higher than the expected final sale price; tha's just built into the culture of house and car buying in particular. Sold "as is" doesn't always mean the same thing to different people. It can just simply mean the seller is not willing to fix anything, but would go down in price or provide a concession.fixing things to a prospective sellers specifications is a pain in the butt, which is why probably many sellers indicate "as is". Everyone wants to feel like they got a deal, so unless you put out a price that initially didn't get much traffic, I would always price a house at higher than what I expect to get for it. It gives buyers the psychological win of getting the price down. Which is a big part of the emotional experience for them.
Of course as the seller, you have every right to refuse offers. You'll just have to see how basic economics plays out on this one....supply and demand and all that. As the saying goes, a house is only as valuable as what someone is willing to pay for it.