Due diligence
The checks you complete before committing to a property, to confirm it is what it appears to be and to uncover risks.
- Covers the property, the title, the location and the price
- Includes building, pest and strata reports where relevant
- Should be finished before contracts are exchanged or cooling-off ends
What it covers
Typical checks include title and zoning, easements and overlays such as flood or bushfire, building and pest inspections, strata records for units and townhouses, comparable sales and leases, and the local rental market.
Why timing matters
Most of your protection ends when you exchange contracts or when the cooling-off period expires. Problems found after that are usually yours to deal with.
At Rothmore, due diligence is part of our 24-metric Blueprint. Every shortlisted property is checked before you see a written recommendation.
Common questions
Who does due diligence?
You, your buyer's agent, your solicitor or conveyancer, and independent inspectors each cover different parts.
Can I skip it at auction?
No. At auction there is no cooling-off period, so all checks must be done before you bid.
Related terms
Sources
General information only. It does not consider your objectives, financial situation or needs, and is not financial, credit, tax or legal advice. Rules change, so check current law and get advice from a licensed professional before acting.