Buying or selling in Columbia and wondering how the due diligence period actually protects you? You’re not alone. This short window can shape your entire deal, from inspections and repairs to whether you keep your earnest money if you walk away. In this guide, you’ll learn what due diligence means in South Carolina contracts, typical timelines and fees in Richland County, what to investigate, and how to use this period to negotiate with confidence. Let’s dive in.
Due Diligence basics
The due diligence period is a negotiated block of time in your South Carolina purchase contract. During this window, you can investigate the property and, if you’re not satisfied, you can terminate for any reason according to the contract terms. This right to terminate is contractual, not a state law grace period, so the exact language in your contract controls what you can do.
Most offers include a non-refundable Due Diligence Fee paid directly to the seller at contract execution. You usually pay earnest money too, but that is held in escrow as security for performance. If you terminate within the due diligence period under the contract, you typically receive your earnest money back while the seller keeps the Due Diligence Fee.
Financing and appraisal protections are often separate from due diligence. Make sure your loan and appraisal deadlines align with your due diligence deadline so you do not lose important protections.
Timelines and costs in Columbia
In many Columbia and Richland County transactions, due diligence periods commonly run 7 to 14 days. Ultra-competitive listings may see 3 to 5 days, while more complex properties can require 15 to 30 days or longer.
Due Diligence Fees vary by price point and market conditions. In recent local practice, buyers on modest-priced homes often offered about $500 to $2,500. Hotter submarkets or higher price points sometimes see several thousand dollars, and very competitive situations can reach $5,000 to $10,000 or more.
Earnest money in the region often ranges from 1% to 2% of the purchase price. In a seller’s market, buyers tend to shorten due diligence and raise the fee to stand out. In a buyer’s market, longer windows and lower fees are more common.
What to check
Inspections and technical checks
- General home inspection: schedule immediately after ratification. Reports often arrive within 24 to 72 hours.
- Termite/WDI inspection: common in our climate and often done alongside the general inspection.
- Sewer scope: consider a camera inspection, especially for older homes or if there are signs of issues.
- Roof, HVAC, chimney specialists: book promptly if the general inspection flags concerns.
- Radon or environmental tests: radon results often take 48 to 72 hours; other environmental tests may take longer.
- Septic or well testing: for properties not on municipal systems, allow extra time for scheduling and lab results.
- Survey or boundary confirmation: if boundaries matter, plan ahead. New surveys can take weeks.
Records and documents
- Seller disclosure: review quickly for roof age, water intrusion, renovations, or prior claims.
- Permit and remodel history: check City of Columbia or Richland County permit records for any past work.
- Title commitment and deed review: look for easements, covenants, and exceptions.
- HOA documents: review covenants, budgets, and minutes for fees and rules.
- Property tax and assessment history: confirm amounts, exemptions, and recent changes in Richland County records.
- Floodplain and insurance exposure: confirm flood zone status and get insurance quotes if needed.
Transactional checks
- Loan and appraisal timeline: coordinate with your lender so financing milestones do not trail your due diligence deadline.
- Contractor estimates: request quotes right away for repairs noted by the inspector.
- Insurance readiness: some carriers have limits based on roof age, trees, or prior claims. Verify early.
10-day game plan
If you negotiated a 7 to 10 day window, move fast and stay organized.
- Days 0–2: schedule the general and termite inspections, order title work and HOA docs, request seller disclosures, and check flood status.
- Days 2–5: review the inspection report, line up specialists for any flagged items, and request initial contractor quotes.
- Days 5–8: evaluate all findings and decide whether to request repairs, seek a credit, accept as is, or terminate.
- By deadline: submit written repair requests or written termination according to the contract’s notice instructions.
Negotiate with confidence
Buyer moves
Use your inspection reports and quotes to support a clear, written request. You can ask for specific repairs, a credit at closing, or a price adjustment. Keep the tone factual and solution-oriented.
If the issues are larger than you want to take on, you can terminate within the due diligence window. Follow the contract’s written notice method to protect your earnest money, understanding the seller typically keeps the Due Diligence Fee.
Seller responses
Sellers commonly agree to repairs, offer a closing credit, propose a smaller concession, or decline. If the seller declines and you are still within due diligence, you can accept the home as is or terminate per the contract.
Timing and notices
Put every request or termination in writing using the delivery method in your contract. Deadlines are exact. Spell out the due diligence end date and time and work backward so you do not cutoff your own options.
Local resources and next steps
In Columbia and Richland County, you can verify records with the county Auditor, Register of Deeds, and GIS, and check permits with the City of Columbia Building and Inspections department when the property is inside city limits. For flood zones, review the federal flood maps. For wells, septic, or environmental matters, consult the state health department.
Next steps when you are ready to write an offer:
- Decide your due diligence length and fee based on neighborhood competitiveness.
- Align loan commitment and appraisal timelines with your due diligence period.
- Get on your inspector’s calendar for the first 48 to 72 hours after ratification.
- Request seller disclosures, HOA docs, tax history, and permit records immediately.
- Track every contract deadline on a shared calendar and send all notices in writing.
Avoid these mistakes
- Waiting to schedule inspections and losing days you cannot get back.
- Assuming financing protections are part of due diligence when they are separate.
- Offering a high Due Diligence Fee without understanding it is typically non-refundable.
- Overlooking flood risk or insurance hurdles that can affect closing.
- Skipping a sewer scope or specialist follow-ups when the general inspection raises flags.
- Negotiating verbally and missing the contract’s written notice requirements.
How RM Properties Group helps
You deserve a high-touch process that is both polished and practical. RM Properties Group brings rigorous transaction management, clear communication, and a restoration-savvy perspective to your due diligence window. With deep local knowledge and an integrated construction partnership, the team can help you prioritize inspections, coordinate contractor bids, and negotiate solutions that match your goals and timeline.
Ready to protect your position and keep your deal on track? Connect with Rosalyn Nickelson for a clear plan tailored to your Columbia or Richland County purchase or sale.
FAQs
What is the due diligence period in South Carolina home sales?
- It is a negotiated contract window that lets you investigate a property and terminate for any reason within the deadline, according to your contract’s terms.
How do earnest money and a Due Diligence Fee work in Columbia?
- Earnest money is escrowed and often refundable if you terminate properly during due diligence, while the Due Diligence Fee is paid to the seller and is typically non-refundable.
How long is a typical due diligence period in Richland County?
- Many contracts use 7 to 14 days, with shorter windows in competitive situations and longer periods for complex properties.
Which inspections should I schedule during due diligence in Columbia?
- Start with a general home and termite inspection, then add sewer scope, roof, HVAC, radon, septic or well testing, and any specialists as needed.
Can I cancel for any reason during due diligence under a South Carolina contract?
- Usually yes, if your contract grants that right, but you must deliver written notice before the deadline to preserve your protections.
How do sellers typically respond to repair requests during due diligence?
- Sellers may agree to repairs, offer a credit, propose a smaller concession, or decline, and you can accept or terminate within the due diligence window based on your contract.
