Property Management
What is 'due diligence' in the context of a Delaware investment property purchase?
AThe inspection period only
BComprehensive investigation of a property including physical condition, financial performance, title, environmental, and legal matters before closing✓ Correct
CThe process of paying the purchase price
DThe buyer's review of the seller's disclosure only
Explanation
Due diligence is the comprehensive investigation process buyers undertake before acquiring a property, covering physical condition (inspections), financial performance (rent rolls, leases), title (title search), legal (zoning, permits), and environmental (Phase I ESA).
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