Due diligence entails digging deeper to understand property issues that could be a cause of conflict in the future, this may include establishing the identity of the original and the current owners, the actual size of the land and whether or not the paperwork is in order.
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Reasons for Due Diligence
- To ascertain potential defects in the transaction deal thus averting risks.
- Managing a transaction risk and reduces uncertainty risks for investors.
- Helps a client achieve best value for a transaction
- Helps a client make a more informed decision pertaining the intended transaction.
- Allows a buyer to feel more comfortable on their expectations regarding the transaction.