Every purchaser of real estate has a duty of due diligence, which is the thorough research, confirmation, and evaluation of the relevant data, projections, and representations about a property. Due diligence also includes the physical inspection of a property. The investor who fails to do due diligence is one who is setting up the conditions for failure.
A property inspector can evaluate the many components of a building, including the roof, the electrical, plumbing, and heating systems, and the structural foundation. The results of the inspection help the investor decide whether a property is in acceptable condition – as defined by the investor and his or her property investment plan – or whether fixing the structural defects and other physical problems would cost more than the investor is willing to spend.
It is advisable that the investor be present when the inspection takes place. While moving through the building, the inspector can point out not only serious defects but also less serious conditions that will need attention in the future. The inspector also can give the investor an idea of the repair cost.
If you would like the chance to work with me or one of my fellow real estate investor coaches and our advanced training programs, give us a call anytime to see if Dean's Real Estate Success Academy and our customized curriculum is a fit for you. Call us at 1-877-219-1474 ext. 125