A no nonsense review of due diligence and earnest money in the NC Offer to Purchase and Contract
In 2011, the North Carolina Real Estate Commission introduced a revised Offer to Purchase and Contract (always seeking to protect consumers) and with that, a new term called "due diligence." Well, change doesn't come easy, and this new concept and contract came with its own challenges for many NC Realtors either. However, once you understand it, it's pretty cool and is definitely designed to protect both real estate buyers and sellers.
Prior to 2011, "earnest money" was the only money that was paid up front.
Earnest money was put in place primarily to show "earnestness" from the buyer and as a way to compensate the seller for…