Due Diligence When Buying Property in Arizona: A Complete Guide

May 28

Buying property is one of the most exciting milestones in life. Whether you’re purchasing your first home, investing in land, or expanding into commercial real estate, the possibilities are endless. But with that excitement comes responsibility: due diligence. Skipping this step can turn your dream property into a financial nightmare.

In real estate, there’s an old saying: caveat emptor: “let the buyer beware.” In other words, it’s up to you to make sure a property is worth buying.

This guide will walk you through the due diligence process in Arizona, highlight common mistakes, and show you how Permit Pushers can help you avoid costly surprises.

What Is Property Due Diligence?

Property due diligence is the process of investigating a property before purchase to ensure there are no hidden issues. This includes reviewing legal documents, permits, zoning restrictions, environmental factors, and infrastructure access.

In Arizona, due diligence is especially important because of unique challenges like septic permits, water rights, and zoning differences between counties. Missing one of these can delay your project or add thousands in unexpected costs.

Due Diligence Steps When Buying Property

Before you sign a contract or transfer funds, make sure you’ve covered the following:

1. Title & Ownership Verification

Confirm that the seller has a clean title. Check for liens, easements, or disputes that could affect your ability to build, sell, or use the property.

2. Zoning & Land Use Restrictions

Arizona counties and municipalities each have their own zoning rules. A parcel zoned for agriculture might not allow you to build a home, and a residential lot may have restrictions on short-term rentals. Always check zoning codes before purchase.

3. Septic & Wastewater Permits

For properties without municipal sewer connections, you’ll need an Arizona septic permit. This involves soil testing, system design, and approval from the county.

Conventional systems are suitable for many properties.
Alternate systems may be required if soil or terrain conditions don’t meet standard requirements.

This is one of the most common due diligence issues we see at Permit Pushers, and one of the costliest if overlooked.

4. Environmental Concerns

Look for floodplain status, protected species habitats, and soil quality. Arizona’s diverse terrain means environmental restrictions can vary drastically between regions.

5. Utilities & Easements

Confirm access to water, electricity, and roadways. Easements can allow utility companies or neighbors legal access across your property, something you’ll want to know upfront.

6. HOA & Community Rules

If the property is in a subdivision or development, review HOA covenants and restrictions. These can affect everything from exterior paint colors to whether you can keep livestock.

7. Financial & Legal Review

Review taxes, insurance requirements, and potential legal disputes. If you are buying with financing, your lender will require many of these steps; however, cash buyers often skip them, leaving themselves vulnerable.

Due Diligence for Different Property Types

Vacant Land

Septic feasibility study and soil tests
Well drilling or water access confirmation
Easement and access rights

Residential Property

Building permit history
Septic inspections or sewer connections
Code compliance

Commercial Property

ADA compliance and safety codes
Environmental site assessments
Zoning for intended use

When to Hire a Professional

While some due diligence tasks can be handled with online research, others require expertise. Consider hiring:

Real estate attorneys: review contracts and title documents.
Surveyors: confirm boundaries and easements.
Environmental consultants: check soil, flood, or contamination risks.
Permit experts (like Permit Pushers): ensure septic, wastewater, and building permits won’t derail your plans.

If you’re paying in all cash without a lender, hiring professionals becomes even more critical since no bank requires checks on your behalf.

How Permit Pushers Can Help

Permit Pushers is not a real estate brokerage, but we help clients avoid permit-related roadblocks. Our team:

Reviews septic feasibility and permitting requirements.
Provides property research to identify red flags early.
Offers a Property Due Diligence Checklist (available in our online store and on Amazon as an ebook) so buyers can take control of the process.

By addressing septic and permitting concerns up front, we save clients time, money, and frustration.

Frequently Asked Questions

What is a property due diligence checklist?

It’s a step-by-step guide to investigating property before purchase, covering legal, environmental, and permitting factors.

Do I need a septic inspection when buying land in Arizona?

Yes. If the property is not connected to the city sewer, septic feasibility must be determined before approval.

How long does due diligence take?

Typically 30–60 days, depending on property type and county requirements.

Can Permit Pushers handle due diligence for properties outside Arizona?

We specialize in Arizona septic permits, but also provide guidance on general due diligence best practices.

James Gardner