The due diligence period is critical, but it’s also one of the most common times deals fall apart or get delayed. These five issues can stall a transaction, frustrate clients, and cost everyone time and money. Here’s how to stay ahead of the curve and keep your closings on track.
1. WAITING TOO LONG TO SCHEDULE INSPECTIONS & TESTING
The Problem: Delaying inspections leaves little time for negotiation, contractor evaluations, or additional testing, especially if issues are discovered late in the process.
The Fix: Prioritize scheduling inspections as soon as the contract is signed. There’s no need to wait for the appraisal, inspection items can take days or even weeks to resolve. The more time you give yourself, the better your options will be when it comes to negotiation and coordination.
2. NO SYSTEM FOR EVALUATING REPAIRS OR GETTING QUOTES
The Problem: Agents often scramble to find contractors, waste time with the wrong ones, or accept incomplete evaluations.
The Fix: Work with third-party contractors who can quote directly from inspection reports to save time and effort. It also helps to have a go-to list of preferred vendors whose availability, timelines, and specialties you already know, this keeps the process efficient and reliable
3. ASKING THE SELLER TO MAKE REPAIRS
The Problem: Seller-handled repairs are often the cheapest fix, not always the correct one. This can lead to subpar work or delays.
The Fix: Instead of asking sellers to handle repairs, negotiate for a credit or cash in lieu and complete the work after closing with trusted contractors. This approach gives you more control over quality and timing and helps ensure the job is done right the first time.
4. MISSING KEY DOCUMENTATION
The Problem: Chasing down records for permits, warranties, pest treatments, or repair histories wastes precious time.
The Fix: Request all available documentation as soon as the property goes under contract. Getting these items early in the process can eliminate guesswork, avoid unnecessary repairs, and prevent delays that could jeopardize the deal.
5. UNCLEAR CLIENT EXPECTATIONS
The Problem: If you’re unsure of your buyer’s dealbreakers, budget limits, or past experiences, small surprises can derail the deal.
The Fix: Take time up front to have a clear conversation with your client about their expectations. Use a checklist or script to understand their comfort level with repair costs, what’s nonnegotiable for them, and how they’d like to handle unexpected findings. This will make the due diligence period more focused and far less stressful.
