In this episode, we discuss the exact steps that happen within a due diligence process and the costs associated.

Some listeners may be surprised to learn that you'd put a house under contract before conducting due diligence, but the important point to know is that the reason you put a property under contract first is so that you know you have the right to buy the property at a price that is acceptable to you.

When conducting due diligence you'll need to:

Run the sale and purchase agreement passed your solicitor
Order and look at the LIM
Review the title
Organise finance
Conduct a valuation
Conduct building inspections
Talk to an insurance broker to ensure the property can be insured
Conduct a chattel valuation (if you are an investor)

All up due diligence for property investment nz can cost between $2500-$3500, so it is important that you conduct it only when you know it is a property you can buy and a price that is acceptable to you.

What Happens During a Due Diligence Process? | Ep. 122