Your offer is accepted. Now the clock starts ticking. In Alpharetta, the due diligence period is your chance to check everything that matters about the home and the deal before you fully commit. You want to uncover surprises, confirm value, and keep your options open without missing critical deadlines. In this guide, you’ll learn what due diligence covers in Georgia contracts, what to inspect in Alpharetta, how timelines work, and how to use your findings to negotiate with confidence.
Let’s dive in.
Due diligence in Georgia contracts
In Georgia, the due diligence period is a negotiated window written into your purchase agreement. During this time, you have the right to investigate the property and, if needed, terminate the contract under the agreement’s termination clause. The specific rights, deadlines, and consequences come from the exact contract you sign.
The Georgia Association of REALTORS residential forms commonly used in Alpharetta include fields for the Due Diligence Date, Due Diligence Fee, and Earnest Money. You and the seller negotiate the length of this period. If you decide to walk away within the deadline under the contract’s terms, you can usually do so without being in breach. After the deadline passes, your unilateral right to terminate typically ends unless another contingency applies.
Due diligence fee vs. earnest money
Two money items often appear in Georgia contracts:
- Due Diligence Fee (DDF): Paid to the seller at contract execution as consideration for your right to terminate during due diligence. Treatment varies by contract, but in many Georgia transactions this fee is not refundable if you terminate after the due diligence period expires. Always confirm the exact language in your agreement.
- Earnest Money Deposit (EMD): Held in escrow, commonly by the closing attorney or title company. It generally applies to your closing funds or is handled per contract remedies.
These are not interchangeable. Track both according to your contract and ask your agent or closing attorney to confirm where, when, and how each is paid.
Typical Alpharetta timelines
In Alpharetta’s resale market, a 7 to 14 calendar day due diligence window is common. In competitive situations, you may see 7 to 10 days. More complex purchases or out‑of‑area buyers sometimes negotiate 10 to 14 days or longer. For new construction or major remodels, windows can run 14 to 30 days, sometimes in phases.
A practical 14‑day plan looks like this:
- Day 0: Ratify the contract, pay DDF and EMD per contract, and order your general home inspection, termite/WDO inspection, HOA resale documents, seller disclosures, and permit/property history searches.
- Day 1–3: Complete the general inspection. If needed, schedule specialized tests like sewer scope, radon, mold, HVAC, chimney, or structural assessments.
- Day 3–7: Review specialist reports and line up contractor estimates for significant items.
- Day 7–10: Submit repair or credit requests. If a defect is a deal breaker, consider termination within the deadline per your contract.
- Day 10–14: Negotiate final repairs or credits, request an extension in writing if warranted, or exercise your right to terminate before the due diligence date.
Local inspectors can book up fast, especially in busy seasons. The sooner you schedule, the better your odds of meeting the deadline without rushing decisions.
Inspections and checks to order
Standard inspections
- General home inspection to evaluate structure, roof, electrical, plumbing, HVAC, and systems.
- Wood‑destroying organism (WDO/termite) inspection, which is common in Georgia’s climate and often required by lenders.
- Sewer scope for older neighborhoods where sewer laterals may be clay or aging materials.
- Roof inspection to assess remaining life and potential leaks.
- HVAC evaluation to check operation and maintenance history.
- Chimney/fireplace inspection if present.
- Mold/moisture assessment if there are signs of water intrusion or odors.
- Radon test, as recommended by national guidance for residential properties.
- Pool inspection for structure, equipment, and safety if the property has a pool.
- Well and septic inspections if the home is on private systems.
- Structural engineer evaluation when the inspector flags foundation or structural concerns.
- Asbestos or lead‑based paint testing if the home predates relevant standards, especially lead for pre‑1978 builds.
Documents and records to review
- Seller Property Disclosure Statement for known issues.
- Permit history and certificates of occupancy. Confirm permits and final inspections for additions, decks, pools, roofs, HVAC, and major remodels through the City of Alpharetta or Fulton County records.
- Title commitment, recorded easements, and a survey or plat to identify boundaries, encroachments, and title exceptions.
- FEMA flood maps and city floodplain information to determine risk and any insurance needs.
- Fulton County property tax records for tax history and special assessments.
- HOA documents for properties in planned communities. Review covenants, rules, budgets, reserves, assessments, litigation, and resale disclosures.
- Utility availability and rights‑of‑way, including water/sewer, gas, and power.
Alpharetta‑specific priorities
- Sewer lateral scopes in older neighborhoods developed between the mid‑1900s and the 1980s.
- Termite/WDO inspections due to Georgia’s climate.
- Permit verification for additions and renovations, which are common in Alpharetta.
- HOA document reviews in communities such as Windward, Crabapple, and Ocee to understand rules, budgets, and potential assessments.
Older homes vs. new construction
Older homes
Homes built before 2000 often show more deferred maintenance and aging systems. Your inspections may reveal items across multiple categories, like roof, HVAC, plumbing, electrical, or foundation needs. Prioritize sewer scopes, full‑system life expectancy, and a thorough WDO check. Seller disclosures become especially important for understanding past water intrusion and remediation.
Negotiations often focus on repairs, credits, or price adjustments. Sellers may prefer credits over completing repairs before closing.
New builds and recent subdivisions
Builder contracts usually differ from standard resale forms and can limit remedies and access. New construction often includes builder warranties, such as one‑year workmanship and multi‑year structural coverage. Your inspection focus shifts to code compliance, punch‑list quality, drainage, appliance and system operation, and verification of permits and certificates of occupancy.
Builders commonly allow inspections near completion, but they may restrict invasive testing and resist price reductions. Most buyers target punch‑list corrections and warranty clarity rather than large repair concessions.
What both have in common
Financing and appraisal timelines still apply. Certain loans have property‑condition standards you must meet before closing. Always confirm permits and certificates of occupancy are properly recorded.
Using your findings to negotiate
Aim to submit repair or credit requests by the midpoint of your due diligence window. Provide inspector reports and at least two estimates for significant items to support your ask. Keep the focus on material defects, safety issues, and system life.
Your options before the due diligence deadline are straightforward: negotiate repairs, credits, or a price reduction; accept the home as is and proceed; request a written extension; or terminate under the contract’s termination clause. If you need to terminate, do it in writing before the deadline.
Alpharetta buyer checklist
- Confirm payment and receipt of the due diligence fee and earnest money per the contract.
- Order the general home inspection and WDO/termite inspection immediately.
- Request the seller’s disclosures and, if applicable, the HOA resale certificate.
- Order a sewer scope if the property’s age or signs suggest risk.
- Pull permit history from the City of Alpharetta and Fulton County records.
- Check FEMA flood maps to assess flood risk and insurance needs.
- Review the title commitment, recorded plat or survey, and any easements.
- Coordinate with your lender on appraisal and any lender‑required inspections.
- Schedule specialized inspections as indicated by the general inspection.
- Secure contractor estimates quickly for any major repair items.
- Decide by the deadline: proceed, negotiate, request an extension, or terminate per the contract.
Avoid common pitfalls
- Missing the due diligence deadline without a signed extension.
- Confusing the DDF with earnest money. Treat each per the contract.
- Delaying specialized tests like sewer scopes or WDO inspections that can uncover expensive issues.
- Assuming post‑deadline discoveries are easily negotiated. Remedies narrow after the date passes.
When extensions make sense
If records are delayed or specialized inspections require more time, request an extension in writing before the deadline. The seller must agree for it to be valid. Extensions may come with trade‑offs, such as an additional due diligence fee or other concessions, so weigh the cost against the risk of proceeding without complete information.
Get local, construction‑savvy guidance
Your due diligence period is short, and the details matter. A local advisor who understands Alpharetta’s neighborhoods, renovation patterns, and builder practices can help you sequence inspections, spot red flags, and negotiate effectively. If you want a construction‑informed approach backed by premium representation, connect with Casey Schiltz to plan your next move.
FAQs
What is the due diligence period in Alpharetta home purchases?
- It is a negotiated window in your Georgia purchase contract that lets you investigate the property and, if necessary, terminate under the agreement’s terms before the deadline.
Is the due diligence fee refundable in Georgia?
- It depends on your contract; in many Georgia transactions it is paid to the seller and is not refundable if you terminate after the due diligence deadline.
Can you extend the due diligence period in Alpharetta?
- Yes, but only with the seller’s written agreement; extensions often require additional consideration, such as a higher due diligence fee.
Which inspections are most important for Alpharetta buyers?
- Start with a general inspection and WDO/termite check, then prioritize sewer scopes for older homes, roof and HVAC evaluations, and targeted specialists based on findings.
How do financing and appraisal deadlines interact with due diligence?
- They are separate; your financing and appraisal timelines can differ from due diligence, so track all dates and remedies outlined in your contract.