If you're buying a home in Georgia, you'll hear the words "due diligence" a lot. It's one of the most important parts of the standard Georgia purchase contract, and it works differently from many other states.
What is the due diligence period?
It's a set number of days, agreed in your contract, that starts once your offer is accepted. During this window you can inspect the home, get quotes for repairs, review the HOA documents and check anything else that matters to you.
Most importantly, you can walk away during due diligence for any reason, or for no reason at all, as long as you give notice in time.
What is the due diligence fee?
Because the seller takes the home off the market while you decide, buyers usually pay the seller a due diligence fee. It is typically credited toward your purchase price at closing. If you walk away, the seller generally keeps it. The amount is negotiable and is part of how a strong offer is built.
How to use the time well
- Book the home inspection right away. Good inspectors fill up fast.
- Add specialist inspections if needed, such as sewer scope, HVAC or roof.
- Get insurance quotes early, especially for older homes.
- Read the HOA rules and fees if there is an HOA.
- Decide on repair requests before the period ends, not on the last day.
The bottom line
Due diligence protects you, but only if you use it. I help my buyers plan the timeline before we make an offer, so nothing is rushed.
This article is general information, not legal or tax advice. Rules can change, so confirm details for your situation.