What is Due Diligence?
Due Diligence is a period of time in which you can investigate all aspects of the property you will be purchasing.
What types of things will I investigate?
Best Choice will walk you through the Due Diligence period, but you will perform inspections during this time such as mechanical, structural, radon, termite, pool, irrigation etc. You will also have the option of doing a survey, as well as reading though all HOA documents. The lender will order the appraisal during this time. You can use this time period to do any other investigation that you wish to do. Sometimes clients have specifics needs, which need to be determined during this period, such as can they park their utility vehicle on the property.
What happens after inspections / investigations?
Best Choice will walk you through formulation of a Due Diligence Request. This request is then sent to the sellers. It will request them to make certain repairs or certain special requests before you purchase the property. This is a second round of negotiations during the transaction.
What happens if I want to walk away from the property?
You can do so as long as you submit in writing by 5pm on the Due Diligence date to the other party of the transaction (seller). If you do walk away, you will have lost the Due Diligence fee you paid at the time you signed the contract as well as the costs of any inspections you have performed.