Contracts
In North Carolina, the 'due diligence fee' paid at contract execution is:
ARefundable if the buyer terminates during the due diligence period
BNon-refundable and paid directly to the seller✓ Correct
CHeld in trust by the listing broker
DApplied only to closing costs, not purchase price
Explanation
Under the NC Offer to Purchase, the due diligence fee is non-refundable (unless seller defaults) and is paid directly to the seller as compensation for the due diligence period.
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