What does "due diligence" involve during real estate transactions?

Due diligence in real estate transactions is the critical process of thoroughly investigating a property and reviewing various aspects before completing a purchase. This step is essential because it allows buyers to uncover any potential issues, such as liens, zoning restrictions, title problems, or physical defects in the property. By conducting due diligence, buyers can make informed decisions, negotiate better terms, and avoid unexpected problems that may arise after the purchase. This careful examination not only protects the buyer's investment but also helps ensure that they are fully aware of the property's condition and any obligations associated with it.