Lightning DOES Strike

Lisa and I were fortunate to list a home last week in Clemmons that has already gone into due diligence. Luck? Maybe... but this seller knew the market. She had been subscribing to my neighborhood newsletter for a couple of years, in which I kept residents informed of recent listings and sales in this particular Clemmons neighborhood. When it came time for her to sell, she and I sat down and reviewed the latest comps. Honestly, the numbers were very disappointing to her, so she had to think about it for a few days. She considered renting but decided the hassle and potential problems of being an absentee landlord just weren't worth it. She put her home on the market in show ready condition and at the recommended price. We had 9 showings in 8 days, one offer that was negotiated and then accepted, and a potential back up offer coming. No matter what the media would have you to believe, lightning DOES strike in Clemmons in the form of education, research, and being an informed consumer!

Changes in the Offer to Purchase!

1/1/11 brings many changes to many people in many ways, but in MY business, it brings GOOD change! The standard NC Offer to Purchase has drastically changed, and in my opinion, it's for the better. The following is from Tom Gongaware on At Home in the Carolinas, the Allen Tate Company blog.

"The biggest change facing Buyers, Sellers, and REALTORS® in North Carolina is the form’s introduction of the Buyer’s “Due Diligence” process. During a negotiated due diligence period, the Buyer must complete all of the inspections, surveys, and appraisals typically performed by a diligent Buyer. In addition, the Buyer needs to be satisfied with the documents governing the home, the availability and affordability of insurance for the home, and their own ability to be approved for a mortgage. Should the Buyer not be happy with the investigations…or if they simply change their mind about completing the purchase…the Buyer will be able to unilaterally terminate the contract and be entitled to a return of their earnest money deposit, assuming notice of termination is delivered to the Seller prior to the expiration of the due diligence period. After that expiration date, the Buyer loses their ability to terminate the contract and receive a refund of the earnest money deposit (except in the case of a Seller’s breach) and the power of the contract shifts to the Seller.

The new Offer to Purchase and Contract allows for a negotiated, non-refundable fee to be paid by the Buyer directly to the Seller in exchange for the amount of time associated with the due diligence period. While the “due diligence fee” is not a requirement of the Offer to Purchase and Contract, it will serve as further evidence of the Buyer’s sincerity in pursuing the property. The “due diligence fee” is not refundable to the Buyer except in the case of the Seller’s breach. The fee will serve as a credit to the Buyer should they complete the purchase."