Georgia Due Diligence Period: What Buyers Must Know in 2026

What Is the Due Diligence Period in Georgia Real Estate?

In Georgia, the due diligence period — also called the "inspection period" — is a negotiated window of time after your offer is accepted during which you can investigate the property thoroughly and terminate the contract for any reason without losing your earnest money.

This is one of the most buyer-friendly provisions in Georgia real estate law, and it's important to understand exactly how it works, how long it typically runs, and what you should accomplish during it.

How Long Is the Due Diligence Period in Georgia?

The due diligence period is negotiated between buyer and seller — it's not set by law. In the current Atlanta market, most contracts are written with a due diligence period of 7–14 days. In competitive bidding situations, buyers sometimes offer shorter periods (3–5 days) to make their offer more attractive to sellers.

The period begins the day after the binding agreement date — which is the date both parties have signed and the contract is fully executed. It ends at 11:59 PM on the last day specified. Timing matters: if Day 10 falls on a Sunday, your termination notice still must be delivered by 11:59 PM Sunday.

A common mistake: buyers count from the day they signed, not the day the seller countersigned. Always count from the binding agreement date listed on your GAR contract — your agent should confirm this date in writing.

What Is the Due Diligence Fee?

Unlike North Carolina (which has a mandatory due diligence fee paid to the seller at contract), Georgia does not require a separate due diligence fee. Instead, you pay earnest money at contract execution. This earnest money is held in escrow by the closing attorney or broker.

If you terminate during the due diligence period for any reason, your earnest money is fully refunded. If you terminate after the due diligence period ends for a reason not covered by a remaining contingency (financing or appraisal), you typically forfeit your earnest money to the seller.

Some listing agents negotiate a small "option fee" of $100–$500 paid directly to the seller at contract execution, which is separate from earnest money and non-refundable. This is more common in strong seller's markets as a show of good faith.

What Should You Do During Due Diligence?

Think of due diligence as your comprehensive investigation period. Every day counts. Here's what should happen:

Day 1–2: Schedule All Inspections Immediately

Don't wait to schedule your inspections — good inspectors book up fast in Atlanta. Your primary inspection (general home inspection) should be booked within 24 hours of your binding agreement date. Also consider:

• General home inspection ($350–$600): The foundation of your due diligence. Covers structure, roof, HVAC, plumbing, electrical, windows, and more.
• Radon test ($125–$200): Required add-on in many areas of North Georgia. Elevated radon is treatable but needs to be known upfront.
• Sewer scope ($150–$300): For homes built before 1980 or on properties with large trees over the sewer line. A camera is run through the sewer line to check for breaks, root intrusion, or bellying.
• Chimney inspection ($150–$250): If the home has a fireplace or wood-burning stove, this is worth the cost.
• Specialty inspections: Mold, asbestos (pre-1980 homes), or structural engineer review if the general inspector flags foundation issues.

As a licensed contractor and Realtor, I walk through every home I represent buyers on with a contractor's eye before the inspection report even arrives. This means I'm already flagging issues — and already thinking about repair costs — before the inspector's report comes in.

Day 2–4: Review HOA Documents (If Applicable)

If the property is in an HOA, request and review the HOA documents during due diligence, not after. Key items to review:

• Monthly dues and any special assessments
• Reserve fund balance — underfunded reserves = potential future assessment
• Rules and restrictions: short-term rentals, fencing, parking, pets
• Current litigation involving the HOA

Georgia law requires sellers to provide HOA documents to buyers, but request them the moment you're under contract — some HOA management companies take 3–5 business days to deliver.

Day 3–5: Review Inspection Reports and Get Repair Estimates

Once inspection reports arrive, review them carefully with your agent. Not every item in an inspection report is a negotiating point — inspectors flag all observable defects, including cosmetic items and minor maintenance issues that are normal for a home's age.

Focus your attention on:

• Safety issues: Electrical hazards, CO detector absence, gas leaks, structural deficiencies
• Big-ticket systems: HVAC age and condition, roof remaining life, water heater, foundation
• Active moisture intrusion: Water in the crawl space, basement, or around windows

Day 5–8: Negotiate Repairs or Price Reduction

After reviewing inspection results, you have options. You can request the seller make specific repairs before closing, request a price reduction in lieu of repairs, or request a combination. In a competitive market, many sellers will resist repair requests — but they'll often accept a price reduction that allows the buyer to handle repairs themselves.

In Georgia, repair requests are made through an Amendment to Address Concerns (also called a "repair amendment" or "AAC"). The seller can accept, reject, or counter your request. If you can't reach agreement, you still have the option to terminate during your due diligence period and receive your earnest money back.

Day 8–Last Day: Final Decision

If you're moving forward, you continue toward closing. If issues discovered during due diligence are deal-breakers that couldn't be resolved in negotiation, submit your Notice to Terminate in writing before 11:59 PM on the last day of your due diligence period. Your agent sends this to the listing agent, and your earnest money is returned.

Can You Extend Due Diligence?

Yes — but only if the seller agrees. Extension requests are common when inspection reports flag issues requiring specialist evaluation (structural engineer, HVAC contractor, remediation company) that can't be completed within the original window. Submit your extension request as early as possible — sellers are generally cooperative if asked early, less so if asked at the deadline.

Due Diligence Is Your Most Important Buyer Protection

The due diligence period exists to protect you from buying a property with unknown problems. Use every day of it. Don't let a seller's pressure or your own excitement cause you to skip inspections or rush the process.

Working with a Realtor who has construction knowledge changes how due diligence works. I can tell the difference between a surface-level inspector flag and a real structural concern — and I can get accurate repair quotes from contractors while you're still in your window, not after you've already closed.

First-time buyers especially benefit from having an agent who can explain what's in an inspection report in plain English and help you distinguish what actually matters from what's routine for a home of that age and type.

Questions about your specific due diligence situation? Contact me directly — I'm always available to walk through contract details before you're in a time-pressured window.