Selling a home yourself has become easier with the ability to market your home on the internet via numerous websites designed to help owners sell their property.
The majority of home and vacant land sales in NC occur after the Seller and Buyer agree on the price, dates, and deposits, if any, and sign an Offer to Purchase and Contract. This agreement is a standard form jointly approved by the NC Bar Association and NC Realtors. The agreement simplifies the process so that the Seller and Buyer can be protected. This agreement can and is frequently signed electronically by circulating via email.
Due Diligence Period
The due diligence period in the agreement is very important and defines a period of time when the Buyer inspects the property and depending on whether the land is raw land or a home schedules an inspection, a survey, pest inspections, well sample, soil analysis, and radon test to determine if they want to purchase the property. The buyer should make sure this period of time is long enough to have these tasks scheduled and completed so they can make a final decision on buying the property. The Buyer can back out of the obligation to buy the property during the due diligence period and generally only lose their due diligence deposit and costs associated with their inspection of the property so long as they give notice to the Seller during the due diligence period.
Deposits
There are generally two deposits a Buyer puts down for the purchase of property.
- Due diligence: A due diligence deposit goes directly to the Seller from the Buyer. The Seller receives due diligence for having their property tied up for a period of time in which the Buyer inspects the property and schedules an inspection, a survey, pest inspections, well sample, soil analysis, and radon test to determine if they want to purchase the property.
- Earnest money: Earnest money is used to show that the Buyer is sincere about the purchase.
If the property sells, the deposits are credited towards the purchase price. However, it is up to the parties to agree on the deposit amounts.
Closing Attorney
The Buyer will choose a closing attorney named in the Agreement to represent them in the closing to make sure they obtain clear title.
- This attorney will receive the money for the purchase from the Buyer and draft a settlement statement signed by the parties which controls the disbursement of money.
- The attorney will follow proper procedure and record the deed.
- The attorney can disburse the proceeds to the Seller pursuant to a signed proceeds form.
- The Seller will need to have an attorney – which can be the closing attorney – draft their seller documents and those documents will be provided to the closing attorney.
The agreement used in NC to purchase land facilitates the process and leaves the Seller and Buyer without a lot of independent responsibility aside from marketing a property and making the decision to buy.
If you need help selling or buying a property yourself or with the help of an agent, contact the office. The office currently only does closings for cash purchases only.