Who pays for Due Diligence?

[Matt Rathburn]

Good morning! I've located the first multi family property I would like to purchase. The property has 6 mobile homes and one 2-family home.  I can purchase the home at a 20% discount of the value, and I have $20,000 to put down as a down payment. My question is this, how do I pay for all the due diligence ie the attorneys fees, survey, sewage tank inspections, etc. I could just put it all on a credit card and try to pay it off over the next few months with my personal savings, but I could also try to either borrow or add it on to the purchase price. What do you all think? 

[Jon Holdman]

Most of these fees need to be paid on the spot.  Even if you can defer them to closing, they will add to the amount of cash you need to bring to closing.  Unlikely you'll be able to increase the price and get the seller to commit to paying them.  Their risk would be the deal doesn't close and they're out the money.  That's your risk, too, but that's part of buying real estate.