Due Diligence Period

The due diligence period and associated fee are negotiable items in the North Carolina Offer to Purchase and Contract. The due diligence fee is paid directly to you, the seller, and is compensation to you for removing your property from the market for a specific period of time to allow the buyer the opportunity to inspect the property. The buyer can choose to have a variety of inspections performed on the your property, typically at the buyer’s expense unless negotiated in the contract. Typical inspections include: 1) home inspection, 2) wood destroying pest inspection, 3) well and septic inspection, if applicable, 4) structural inspection, 5) HVAC inspection, 6) roof inspection, 7) survey, 8) appraisal, and 9) other buyer desired inspections.

During the due diligence period, the buyer can walk away from the contract for any or no reason. If the buyer terminates the contract, the you keep the due diligence fee but the buyer gets his earnest money back. If the buyer wants to still purchase the home, but there are some needed home repairs, the buyer’s agent will prepare a Due Diligence Repair Request and Agreement and submit it to me before the end of the due diligence period. You and I will discuss what repairs you are willing to make and then I will negotiate the repairs with the buyer’s agent. If you and the buyer agree on the repairs, then you and the buyer will both sign the revised Due Diligence Repair Request and Agreement. It then becomes part of the Contract.