Today, with a service partner of Great Estate, surveyor Giulianelli, we are going to examine in depth the importance of the creation of a property Due Diligence: why to do it, what should it include and which are the possible risks parties can take without this investigation.
For the purchasing of a property, the act of making a specialist create a Due Diligence is increasing. It is a real investigation which will allow the verification, under every point of view, of the property regularity. In this way, having already all the information, the time for the transaction during a negotiation will be shorter.
Under many points of view, a Due Diligence is aimed to verify the state of compliance of a property. In particular, this investigation will:
- Check the property cadastral compliance by verifying its correct inclusion in map, the correspondence between the property floorplans and the current property state and all the information included into the property cadastral certificates.
- Check the urbanistic compliance of the property by comparing the documents present at the municipality offices with the current property state and by estimating the possible legal restrictions present on the property.
- Check the property structural and plants situation by following precise compliance criteria and tests, determining so their effective correspondence to the real state.
The completeness of this investigation allows to have both a general framework of the property, which may be then integrated during the negotiations first phase, and, regarding the vendor, the tranquillity of being able to close the negotiation without any waste of time and/or money.
This certainty is decisive for the positive conclusion of the negotiation. Indeed, in the majority of the cases, when the urbanistic and, more in general, the property compliance, is not clear, the risk is to face penalties or even the failure of the negotiation itself.
Moreover, talking about my last professional experiences, the non-creation of a Due Diligence before the signing of the preliminary contact causes several problems for the new owners too, especially in case of urbanistic discrepancies. Indeed, this problems brought to an inevitable slowdown of the next phases of renovation and, in many cases, it determines the risk of legal proceedings against the vendors.
By thanking surveyor Giulianelli – Studio Tecnico Giulianelli-Ottaviani, we would like to remind you that our Group always ask to its vendors the creation of a property Due Diligence. This document is fundamental to have the complete picture of a property, as well as to understand and solve all those possible problems which, during the negotiation, may undermine its success.
Please, for any further information, do not hesitate to visit our website or contact our head office.