Under contract on a home in Alpharetta? The moment your offer is accepted, the due diligence clock starts ticking. You want to confirm the home is right, the numbers make sense, and your risks are covered. In this guide, you will learn how Georgia’s due diligence period works, what to do first, and how to use that time to protect your investment and keep your deal on track. Let’s dive in.
What due diligence means in Georgia
In Georgia, the due diligence period is a negotiated window after contract acceptance. You use it to complete inspections, review documents, confirm financing, and decide if the property meets your needs. During this time, you typically may terminate the contract for any reason under the agreement’s language.
Your rights depend on the exact terms in your signed purchase agreement. Georgia contracts vary by form and addenda. Read your agreement closely and review it with your agent, and consider an attorney for complex questions.
Common buyer actions during due diligence include:
- Scheduling a general home inspection and any specialist inspections
- Reviewing seller disclosures, title exceptions, surveys, and HOA documents
- Confirming financing, appraisal, insurance, and flood risk if applicable
- Investigating permits, zoning, and utilities
- Deciding to proceed, negotiate repairs or credits, or terminate within the deadline
If you terminate within the due diligence window under the contract, you commonly receive your earnest money back. The seller typically keeps any due diligence fee paid at acceptance. Always confirm the specific treatment in your contract.
Timelines and money in Alpharetta
How long the period lasts
Due diligence windows are negotiated. In many Georgia deals, they run 7 to 14 days. In multiple-offer situations, buyers may offer 3 to 5 days or waive certain contingencies to be competitive. New construction or less competitive situations may allow 14 to 21 days or more. The right length in Alpharetta depends on property type, HOA response times, and market temperature.
Earnest money vs due diligence fee
- Earnest money is held by an escrow or closing agent. It is generally applied at closing or returned if you terminate within the due diligence period as allowed by the contract. If a buyer defaults, the seller may be entitled to it, depending on the agreement.
- Due diligence fee (DDF) is a separate, negotiated payment often made directly to the seller at acceptance. It compensates the seller for taking the home off the market. It is commonly non-refundable but is typically credited to you at closing. If you terminate during due diligence under the contract, the seller usually keeps the DDF while your earnest money is returned. Confirm your contract language.
Amounts vary by price point and competitiveness. Buyers often increase the DDF or shorten the period to strengthen an offer.
Deadlines are strict
Most Georgia contracts include time-is-of-the-essence language. Miss a due diligence deadline and you may lose the right to terminate under that contingency. Put the final day and time on your calendar the moment the contract is signed. Any changes require a written amendment signed by both parties.
Alpharetta factors to check during due diligence
HOA and covenants
Many Alpharetta neighborhoods have homeowners associations or architectural controls. Request the full HOA packet early. Review bylaws, rules, budgets, reserves, assessments, and any pending litigation. Confirm leasing policies, short-term rental restrictions, architectural rules, and amenity responsibilities.
Permits and renovations
Verify that past additions or major updates were properly permitted and closed out with the City of Alpharetta or Fulton County. Ask about open permits or code violations that could create cost or delay after closing.
Flood risk and insurance
Some properties near creeks or low-lying areas may fall in flood zones. Check the FEMA Flood Map Service Center and consult your insurance agent on coverage and cost if the home is in a special flood hazard area.
Utilities, septic, and wells
Most homes are on public water and sewer, but some older or edge-of-area properties may have septic systems or private wells. Confirm service type, capacity, and any required maintenance. If septic is present, schedule an inspection and pumping as indicated.
Property taxes and assessments
Review Fulton County Tax Assessor records for assessed value trends, tax history, and any special assessments. Factor expected tax changes into your monthly budget.
Schools and services
Confirm current school zone assignments with the district since boundaries can change. Also check commute patterns and local services that matter to you.
Title and recorded matters
Have the closing attorney or title company run a preliminary title search. Review the legal description, easements, liens, and deed restrictions. Clarify any encroachments or access issues early so curative steps can begin if needed.
Your due diligence checklist and timeline
Here is a practical checklist with a sample 7 to 10 day schedule. Adjust to match your contract.
Day 0: Contract acceptance
- Deliver or confirm due diligence fee and earnest money per contract
- Calendar the final day and exact time to terminate
- Confirm access for inspectors and appraiser
Days 1–2
- Order general home inspection immediately
- Order pest inspection for wood-destroying insects
- Request HOA documents and resale certificate if applicable
- Start appraisal scheduling with your lender
- Order a sewer scope if there are older lines or signs of blockage
Days 2–5
- Review inspection results and seller disclosures
- If issues arise, schedule specialists for roof, HVAC, electrical, structural, mold, radon, or chimney
- Draft and submit repair requests or credit requests in writing
Days 3–7
- Obtain preliminary title report and review liens, easements, and restrictions
- Verify permits and code compliance with the city or county
- Work with your lender on underwriting conditions and appraisal review
- Get homeowners insurance quotes and confirm flood insurance if required
Days 5–10
- Decide to proceed or terminate and deliver notices in writing before the deadline
- Finalize any repair addenda or credits with clear timelines
- Coordinate timelines if you are selling another home
Quick summary checklist:
- Book general and pest inspections
- Order specialists as needed: roof, HVAC, foundation, sewer, radon
- Review seller disclosures, permits, and any survey
- Run title search and review exceptions and easements
- Request HOA documents and financials
- Confirm utilities and any private systems
- Check flood zone status and insurance implications
- Complete lender conditions and appraisal review
- Negotiate repairs or credits in writing
- Deliver any termination notice before the deadline if needed
Negotiation strategy in a competitive market
You can tailor your offer to win while still protecting yourself:
- Period length. Shorter periods favor the seller but give you less time to inspect. Balance speed with thoroughness.
- Due diligence fee. A higher DDF signals commitment and can strengthen your offer.
- Earnest money. A larger earnest deposit shows seriousness, though it stays in escrow under contract terms.
- Repairs vs credits. Many sellers prefer credits over repairs. Credits can also give you control of the work after closing.
- As-is posture. You can offer as-is while still keeping the right to inspect and terminate within the due diligence period. Understand the added risk before waiving any rights.
Work with the right professionals
Use a tight, local team so you can move fast and make confident decisions:
- Buyer’s agent to set strategy, book inspections fast, and manage deadlines
- Licensed home inspector and specialty pros as needed
- Closing attorney or title company for title review and closing coordination
- Lender and processor to align appraisal and underwriting with your window
- HOA management contact or attorney for complex community questions
- Surveyor if there are boundary or addition concerns
- Insurance agent to bind coverage and review flood requirements
Common pitfalls to avoid
- Missing the written termination deadline or using the wrong delivery method
- Paying a large DDF without having inspection slots reserved or financing capacity confirmed
- Confusing earnest money with the due diligence fee
- Waiting on HOA documents that take days to arrive
- Skipping specialist inspections when there are red flags
- Overlooking title exceptions and easements until it is too late to cure
- Waiving important protections without understanding the risk
Ready to move with confidence?
A clear plan during due diligence protects your money, your time, and your peace of mind. With strong coordination, fast scheduling, and smart negotiation, you can keep your Alpharetta purchase on track and reduce surprises before closing. If you want a local advocate who manages details and helps you make confident decisions, connect with Sherry Poland for a friendly, no-pressure consultation.
FAQs
What does Georgia’s due diligence period allow me to do?
- It gives you a negotiated window to inspect, review title and HOA documents, confirm financing and insurance, and decide to proceed or terminate under the contract’s terms.
Is the due diligence fee refundable in Alpharetta purchases?
- It is commonly non-refundable and paid to the seller, but often credited to you at closing. If you terminate within the window, you typically receive earnest money back while the seller keeps the fee. Confirm your contract.
How long should my due diligence period be in Alpharetta?
- Many buyers use 7 to 14 days. In competitive situations, 3 to 5 days is common. Choose a length that fits inspections, HOA timing, and your lender’s process.
What inspections are most important for Alpharetta homes?
- Start with a general home inspection and pest inspection. Add specialists for roof, HVAC, electrical, structural, sewer, radon, chimney, or septic based on age, condition, and red flags.
What happens if I miss the due diligence deadline?
- You may lose the right to terminate under that contingency. Calendar the exact day and time and deliver any notices in writing per your contract.
