Introduction: Real Estate Due Diligence

Real Estate Due Diligence – Enhanced decision-making with risk minimisation.

Real Estate Due Diligence (REDD) is the systematic auditing of real estate by specialists using recognised methods of analysis, culminating in the presentation of results in a Real Estate Due Diligence Report (REDDR). The areas covered by the audit are:

  1. Market due diligence
  2. Legal due diligence
  3. Tax due diligence
  4. Technical due diligence
  5. Environmental due diligence
  6. Financial due diligence

Real Estate Due Diligence – New wine in old bottles?

  • Real estate purchases have always been audited.
    • Real Estate Due Diligence is a systematic real estate audit.
  • Everyone had their own manner of auditing, methodically or haphazardly.
    • Real Estate Due Diligence is project management.
  • In addition, audits were invariably conducted solely from the expert’s perspective.
    • Real Estate Due Diligence addresses buyers, vendors and other partners to the transaction such as banks and financial investors in their capacity as lenders.
  • Conventional real estate audits do not disclose the procedure or any of the data.
    • Real Estate Due Diligence makes real estate projects more transparent for all parties concerned.