What to Expect During the Attorney and Inspection Review Phase in Illinois Real Estate

If you are buying or selling a home in Illinois, one of the most important stages of the transaction is the Attorney and Inspection Review period, commonly called the A/I phase. This phase is unique to Illinois and a handful of other states and often surprises buyers and sellers who are familiar with real estate practices elsewhere in the country.

Understanding how the Attorney and Inspection Review period works, why it exists, and what typically happens during this time will help you navigate the process with confidence and avoid unnecessary stress.

Why Illinois Has an Attorney and Inspection Review Period

In most states, a real estate contract becomes immediately binding once both parties sign. Illinois takes a different approach. Illinois residential contracts include a five business day Attorney and Inspection Review period that begins once the contract is fully executed.

During this five business day window, either the buyer or the seller may cancel the contract for nearly any reason, except for price alone. This structure is designed to protect both parties by allowing time for due diligence and legal review before the transaction becomes fully locked in.

For buyers, the A/I period provides reassurance. It allows them to secure a property without fully committing before inspections are completed and an attorney has reviewed the contract. For sellers, it creates a defined review period rather than open-ended contingencies that could drag on for weeks.

Another critical feature of the Illinois contract is that attorney-proposed changes during this phase are not treated as counteroffers. This allows attorneys to clarify or correct contract terms without automatically voiding the agreement or forcing the parties back to square one.

Timeline Overview of the Attorney and Inspection Review Phase

Once the contract is executed, the timeline during the A/I phase generally looks like this:

1. The five business day Attorney and Inspection Review clock begins.

2. The buyer schedules inspections.

3. The buyer’s attorney reviews the contract.

4. Inspection reports are delivered and reviewed.

5. The buyer decides whether to proceed, request repairs or credits, or terminate.

6. Attorneys finalize any agreed-upon modifications or confirm that review is complete.

This entire process happens quickly, which is why organization and responsiveness from all parties is essential.

The Inspection Process Explained

General Home Inspection

The general home inspection is the most common inspection performed during the A/I period. Its purpose is to provide a broad evaluation of the home’s visible and accessible components as they exist on the day of the inspection.

A general home inspection typically reviews:

• Roof and exterior components

• Foundation and visible structural elements

• Electrical systems

• Plumbing systems

• Heating and cooling systems

• Attic, insulation, and ventilation

• Interior finishes, windows, and doors

In Illinois, general home inspections are always non-intrusive. Inspectors do not open walls, remove finished materials, or dismantle systems. The inspection provides a snapshot of current observable conditions, not a prediction of future performance or system lifespan.

Specialty Inspections

Because a general home inspector is not a specialist in every system, buyers often choose to conduct specialty inspections when concerns arise or when the property warrants closer examination.

Common specialty inspections include:

• Radon testing

• Mold inspections

• Chimney inspections

• Sewer scope inspections

• Roof inspections by roofing professionals

• HVAC inspections

• Structural or foundation evaluations

These inspections are optional and are typically paid for by the buyer. They allow for deeper investigation into specific areas that may not be fully evaluated during a general inspection.

The Role of the Buyer’s Attorney in Illinois

Illinois is also different from most states in that it relies on real estate attorneys for closings. During the Attorney and Inspection Review period, the buyer’s attorney carefully reviews the contract to ensure it aligns with the buyer’s expectations and protects the buyer’s interests.

The attorney will review contract language, timelines, contingencies, and responsibilities to confirm that everything reflects standard Illinois practice and what the buyer intended when submitting the offer. If necessary, the attorney may propose modifications or clarifications.

These proposed changes are part of the review process and do not automatically cancel the contract. The agreement remains in place unless one party chooses to terminate during the review period.

Well and Septic Testing in Illinois Real Estate Transactions

In Illinois, responsibility for well and septic testing is negotiated in the contract at the time the offer is made, not during the Attorney and Inspection Review period.

The standard Illinois residential contract includes specific provisions addressing who will perform well and septic tests, who will pay for them, and when they must be completed. In most transactions, the seller agrees to perform and pay for these tests prior to closing. However, this is not automatic and can be modified by agreement between the parties.

Attorney review is not intended to renegotiate well or septic testing responsibilities unless those terms were overlooked, unclear, or improperly addressed in the original contract. When negotiated correctly upfront, well and septic testing becomes a contractual obligation rather than a point of negotiation during attorney review.

Negotiations During the Attorney and Inspection Review Period

Once inspections are completed and reports are reviewed, the buyer must decide how to proceed. Common options include:

• Accepting the property as-is

• Requesting repairs

• Requesting credits or concessions

• Terminating the contract

Negotiations during this phase often focus on inspection-related concerns. In many cases, the parties reach a resolution and move forward. In other cases, the transaction may terminate.

It is fairly common for deals to fall apart during the A/I period. Sometimes this is due to inspection findings. Other times, a buyer or seller may simply change their mind.

In strong seller’s markets, it is not uncommon for buyers to submit offers on multiple properties at the same time. If more than one offer is accepted, a buyer may use the A/I period to withdraw from one or more contracts. While this is permitted under Illinois contract structure, it is far less common in states where contracts are immediately binding.

Why the Attorney and Inspection Review Phase Is So Important

The Attorney and Inspection Review period is the most critical phase of an Illinois residential real estate transaction. It is where due diligence occurs, risks are identified, and legal clarity is achieved.

Once the A/I period expires without termination, the transaction becomes significantly more stable. From that point forward, the focus typically shifts to financing, appraisal, seller-required testing such as well and septic when applicable, and ultimately closing.

For buyers and sellers alike, understanding this phase and working with experienced professionals can greatly reduce risk, prevent misunderstandings, and increase the likelihood of a smooth and successful closing.