The clock starts the moment your offer is accepted. In Georgia, that first stretch of time is your due diligence period, and how you use it can make or break your purchase. If you are buying in Savannah or greater Chatham County, coastal conditions, flood risk, and historic rules add a few extra layers. In this guide, you will learn how Georgia due diligence works, what to check locally, and how to negotiate with confidence. Let’s dive in.
Georgia due diligence explained
Georgia purchase contracts commonly use the Georgia Association of REALTORS forms, which include a specific Due Diligence Period. During this window, you may inspect the property and decide whether to proceed, negotiate, or terminate per the contract. You can review contract concepts in the Georgia Association of REALTORS forms and guidance.
Two payments often get confused. The due diligence fee is usually paid directly to the seller and is commonly nonrefundable if you terminate during due diligence. Earnest money is held in escrow and is governed by contingencies and termination rights in the contract. Financing and appraisal contingencies are separate and have their own timelines.
How long it usually lasts
There is no set length by law. You and the seller negotiate it. Across Georgia you will often see 7 to 10 days, with a broader range of 3 to 21 days depending on the market. In competitive situations, some buyers offer a shorter period. In Savannah, aim to schedule core inspections within the first 3 business days so you have time for follow‑ups and quotes.
Your first 72 hours
Move fast once the contract is ratified.
- Schedule a general home inspection and a termite or WDO inspection immediately.
- Book any specialists you will likely need, such as roof, HVAC, sewer scope, or structural.
- Start your loan application and order the appraisal per your lender’s guidance.
- Request seller disclosures, HOA documents, and any available survey.
- Ask your insurer to quote homeowners and, if applicable, flood insurance now.
For inspector standards and directories, consult the American Society of Home Inspectors and InterNACHI.
Inspections Savannah buyers should prioritize
Order the general inspection first, then follow the findings.
- General home inspection that covers structure, roof, HVAC, plumbing, electrical, and interior and exterior systems.
- WDO and termite inspection. High humidity and coastal conditions make this essential.
- Roof inspection or certification if the age or condition is in question.
- HVAC evaluation for age, capacity, and performance.
- Sewer scope for older homes or where drainage is a concern.
- Crawlspace and foundation review for moisture and ventilation issues.
- Mold or moisture testing if the inspector sees signs of water intrusion.
- Pool inspection, if applicable.
- Environmental tests as needed. Radon is often lower in coastal areas but testing is still reasonable. For older homes, consider lead‑based paint or asbestos testing when materials warrant it.
Coastal and historic factors that matter
Savannah’s coastal setting and preservation rules can affect insurance, repairs, and your future plans.
- Flood risk and elevation. Use the FEMA Flood Map Service Center to check the flood zone and request an Elevation Certificate if the home is in a Special Flood Hazard Area. Confirm any past flood claims with the seller.
- Drainage and grading. Look for standing water, high groundwater, or poor runoff that can impact the foundation or crawlspace.
- Wind and hurricane readiness. Ask about roof tie‑downs, hurricane straps, and shuttering or impact glass. These details can influence insurance options and costs.
- Waterfront structures. Inspect docks, bulkheads, and seawalls for condition and permits.
- Historic review. If the property is in a protected district, exterior changes may require design review. Start with the City’s Planning and Historic Preservation resources, and explore guidance from the Historic Savannah Foundation before planning renovations.
Title, permits, HOA, and taxes
Run your paperwork checks in parallel with inspections.
- Title search and preliminary commitment. Look for easements, covenants, encroachments, liens, or judgments.
- HOA documents if applicable. Read the CC&Rs, bylaws, rules, budgets, and meeting minutes. Note fees, transfer charges, and rental policies.
- Surveys and boundaries. Order a new survey if an existing one is missing or outdated. Confirm setbacks and any encroachments.
- Permit history. Verify whether major improvements were permitted with the City of Savannah or Chatham County.
- Property taxes and assessments. Review parcel records through Chatham County resources and ask about any outstanding assessments.
If the property uses a septic system, confirm records with the county health department and schedule an inspection. Replacement can be costly and site‑dependent.
Insurance and affordability checks
Do not wait on insurance. Coastal homes can have higher premiums and windstorm deductibles. If a flood zone requires coverage, ask about National Flood Insurance Program eligibility and private flood options. Get written quotes during due diligence so you can confirm your monthly payment and closing cash.
A 10‑day Savannah game plan
Use this sample timeline and adjust to your negotiated period.
- Day 0. Contract ratified. Pay the due diligence fee and earnest money per the contract. Schedule all inspections and provide your lender, title, and HOA contacts.
- Days 1 to 3. Complete the general, WDO, roof, HVAC, and sewer scope inspections.
- Days 3 to 5. Review inspection reports, seller disclosures, HOA docs, and the title prelim. Order follow‑up tests, such as a structural engineer or Elevation Certificate, if red flags appear.
- Days 5 to 8. Gather contractor estimates, insurance quotes, and lender requirements for repairs.
- Days 9 to 10. Decide to proceed, request repairs or credits, or terminate. Deliver notices in writing before the deadline per the contract.
Negotiation options before your deadline
Your strategy depends on what the inspections reveal.
- Proceed as‑is. Accept the current condition and move toward closing.
- Request repairs or credits. Use contractor bids or photos to clarify the scope.
- Ask for a price reduction. This can bridge gaps when major repairs surface.
- Escrowed repairs or holdbacks. Set aside funds at closing for agreed work.
- Terminate within due diligence. If the issues exceed your risk tolerance, you may end the contract under the due diligence terms. The seller typically keeps the due diligence fee.
Sellers prefer certainty and clean outcomes. Some buyers offer a larger due diligence fee or a shorter period to win acceptance, but that increases the buyer’s risk if they later terminate. Keep all requests and notices in writing and watch every date.
Common mistakes to avoid
- Waiting to schedule inspections, then running out of time for estimates.
- Overlooking flood maps and elevation in a coastal city.
- Ignoring crawlspace moisture, drainage, or termite history.
- Skipping a sewer scope on older homes or those with drainage clues.
- Assuming past renovations were permitted. Always verify.
- Missing the due diligence deadline and losing your right to terminate under that provision.
Quick Savannah due diligence checklist
- General inspection and WDO report in hand.
- Flood zone confirmed and insurance quotes obtained. Elevation Certificate if in an SFHA.
- Roof, HVAC, sewer scope, crawlspace, and other targeted inspections completed.
- Title preliminary commitment reviewed for liens, easements, and restrictions.
- HOA documents, budgets, and policies reviewed if applicable.
- Survey ordered or updated. Boundaries and encroachments confirmed.
- Permit history and major improvements verified with the City or County.
- Contractor estimates gathered for any significant repairs.
A thoughtful due diligence plan protects your budget and your peace of mind. If you want a responsive local partner to coordinate inspections, watch deadlines, and negotiate with clarity, reach out to Marcy Todd to get started.
FAQs
What is the due diligence period in Georgia?
- It is a contract window that lets you investigate the property and decide whether to proceed, negotiate, or terminate under the terms of the contract, often using Georgia Association of REALTORS forms.
How long is a typical due diligence period in Savannah?
- It is negotiated, but many buyers see 7 to 10 days, with a wider range of 3 to 21 days depending on market conditions and how competitive your offer needs to be.
What is the difference between the due diligence fee and earnest money?
- The due diligence fee is paid to the seller and is commonly nonrefundable if you terminate during due diligence, while earnest money is held in escrow and is governed by contract contingencies and rights.
Which inspections are most important for Savannah homes?
- A general inspection and WDO are essential, along with roof, HVAC, sewer scope for older homes, crawlspace moisture checks, and flood and elevation evaluation in coastal areas.
How do flood zones and elevation affect my purchase?
- Flood zones influence financing and insurance costs and may require a policy; check maps on the FEMA Flood Map Service Center and request an Elevation Certificate if the property is in a Special Flood Hazard Area.
Can I extend my due diligence deadline?
- Yes, but you must negotiate and sign an extension before the deadline expires; if specialized reports are delayed, request more time in writing.
What happens if I miss the due diligence deadline?
- You generally lose the right to terminate under that provision and become obligated under the contract, subject to any remaining contingencies like financing or appraisal.
