North Carolina real estate: buy or sell with a local AXEN agent
North Carolina runs on a due diligence fee. You pay the seller for the right to walk away, and when that deadline passes you are in. A lawyer records the deed, and the sale is not final until the money goes out. Here is what is the same everywhere in North Carolina, and where to search homes.
North Carolina cities we cover
Each guide covers the local neighborhoods, costs and rules for that city.
What every North Carolina buyer and seller should know
The due diligence fee buys your right to walk
Most homes here are bought on Form 2-T. The buyer pays the seller a due diligence fee, and that fee buys the right to cancel for any reason, or no reason, until the due diligence deadline. The amount and the deadline are both negotiated. The fee is not refunded unless the seller breaches.
Earnest money is not the same thing
Earnest money is a deposit an escrow agent holds. Cancel before the due diligence deadline and the earnest money comes back to you. The due diligence fee does not. Two separate pots of money, two different rules.
The seller disclosure has a short fuse
The seller has to give you the Residential Property and Owners' Association Disclosure Statement no later than when you make your offer (NCGS 47E). If it comes late you can cancel in writing, but that right ends three calendar days after you get the form, three days after the contract was made, or at settlement or move-in, whichever comes first.
Mineral, oil and gas rights get their own form
A separate state form is required. In bold type the seller has to say whether mineral rights or oil and gas rights were already split off, whether the seller split them off, or whether the seller plans to before closing (NCGS 47E-4.1). If they were split off, someone else may own what is under the property.
A lawyer runs the closing
Title work and deed work are the practice of law in North Carolina (NCGS 84-2.1). Only a licensed attorney can pass on title, prepare the deed, give legal advice, or decide that the deed can record and the money can go out. Non-lawyers can hand out papers and show you where to sign.
Excise tax on the deed
North Carolina charges $1.00 for each $500, or part of $500, of the price. The seller pays it to the register of deeds before the deed can record (NCGS 105-228.30).
Six northeastern counties charge an extra land transfer tax
Six counties charge a local land transfer tax on top of the state excise: Camden, Chowan, Currituck, Dare, Pasquotank and Perquimans. It is $1.00 per $100 of the price and the seller pays it, so a Dare County seller owes about 1.2% in total once the state excise is added. In Camden, Chowan, Currituck and Dare you pay the county tax collector first and the register of deeds will not record the deed without their mark, so build that step into your closing. Nowhere else in the state has this tax.
Coast, wells and septic
Building near the coast needs a CAMA permit if it sits in an Area of Environmental Concern, and oceanfront setbacks are measured back from the stable vegetation line. Homes on a well or a septic system need permits from the county health department, and a septic system needs an improvement permit before construction.
Closing costs in North Carolina: who pays what
Who pays what in North Carolina. The excise tax and the cap on the HOA's statement of unpaid assessments are set by law. Other HOA charges are not capped. The rest is custom and can be negotiated.
| Buyer pays | How it works |
|---|---|
| Due diligence fee | A flat amount you negotiate, paid to the seller at contract. Not refundable in normal cases. |
| Earnest money | A flat amount you negotiate, held in escrow. |
| Closing attorney and title search | The attorney quotes a flat fee. The state does not set it. |
| Owner's title insurance | A one-time premium based on the price. Optional, but most buyers take it. |
| Recording the deed and deed of trust | Set by G.S. 161-10: $26 for the first 15 pages of a deed and $4 per extra page, and $64 for the first 35 pages of a deed of trust, then $4 per extra page. |
| Inspections | The inspector's fee. Add well and septic testing where they exist. |
| Survey | The surveyor's fee. No law requires one. |
| HOA move-in or transfer charges | Set by the association's recorded documents. |
| Seller pays | How it works |
|---|---|
| Excise tax | G.S. 105-228.30: $1.00 per $500 of the consideration or value conveyed, including assumed debt, paid before recording. |
| County land transfer tax | $1.00 per $100 of the price under 1980s local acts, paid by the seller, in Camden, Chowan, Currituck, Dare, Pasquotank and Perquimans only. |
| Statement of unpaid assessments | G.S. 47F-3-118 caps it at $200 for the statement of unpaid assessments, plus $100 if you ask for it within 48 hours of closing. That cap covers only that one statement. Transfer fees, capital contributions and document charges are separate and are not capped. |
| HOA dues owed | Through the closing date, per the association's ledger. |
| Payoff and release of the old loan | Your lender's payoff plus the fee to record the release. |
| Your own attorney, if you use one | A flat fee. |
| Agreed repairs | Whatever the two sides put in writing. |
| Property tax proration | Split by day through the closing date. That is custom, not law. |
Attorney fees, title premiums, survey and inspection prices are not set by the state. Custom also differs between the Triangle, Charlotte and the coast. Ask your AXEN agent for the numbers in your county before you sign.
How a North Carolina home purchase runs
From the effective date to recording, most North Carolina sales run 30 to 45 days. Here is the order, and which parts are law rather than contract.
Get pre-approved →-
Effective date. The contract is effective once both sides have signed and delivery is complete. Every deadline counts from that day.
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Deliver the fee and the deposit. The due diligence fee is due on the effective date. Earnest money goes to the escrow agent on the contract's terms.
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Due diligence period. You inspect, test the well and septic, and can cancel in writing for any reason before the deadline. Usually 2 to 4 weeks.
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Loan and appraisal. You apply and the lender orders the appraisal. This has to finish inside due diligence. There is no separate financing escape after it ends.
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Attorney title search. The closing attorney searches title, checks liens and easements and orders payoffs. One to three weeks. Title work is law practice here.
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Survey and HOA papers. You order a survey if you want one. The seller or the association supplies dues and the unpaid assessment statement, and the HOA has 10 business days.
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Final walkthrough. You check the home a day or two before you sign.
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Signing. Both sides sign at the attorney's office or remotely. Signing is not closing.
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Record and disburse. The attorney updates title, records the deed and deed of trust, then releases the money. Under the Good Funds Settlement Act nothing can be paid out until recording happens.
North Carolina by region
North Carolina's two biggest markets sit an hour and a half apart and feel nothing alike. Tap a city for homes for sale there.
Charlotte metro and the western Piedmont
The state's largest metro, anchored by Mecklenburg County and reaching out toward Concord, Gastonia, Lake Norman and the South Carolina line.
The Triangle and central North Carolina
The state capital and the research corridor, next to Durham, Chapel Hill, Cary and Wake County's fast-growing towns.
AXEN Realty in North Carolina
Every AXEN agent in North Carolina works under a licensed managing broker: Claudia Burton (AXEN Realty, LLC, firm license C41242). See every state on the state brokers page.
Buying? Start with the home buying guide and get pre-approved.
Selling? Read the home selling guide and get your home value.
Moving here? Read buying in a new state.
Real estate agent? Changing brokerages in North Carolina: you (full broker) or your new BIC (provisional broker); state fee: shown on the NCREC form. See how to transfer a North Carolina license, the switching checklist, advice for new agents and how keeping 100% works.
North Carolina real estate questions
Is the due diligence fee refundable?
Normally no. It is paid to the seller for the right to walk away. You get it back only if the seller breaches, or if your contract or an addendum says so. Earnest money is separate and usually does come back during due diligence.
Do I need a lawyer to buy a home in North Carolina?
Yes, in practice. Title opinions, deed drafting, legal advice and the decision to record and pay out are the practice of law here. Brokers can fill in approved preprinted forms, but they cannot pass on title or draft deeds.
When is the sale really final?
Not at signing. The deal closes when the attorney records the deed at the register of deeds and then releases the money. Until that happens the funds sit in the attorney's trust account. Keys usually change hands after recording.
Who pays the excise tax?
The seller. It is $1.00 per $500 of the consideration or the value of what is conveyed, which includes any debt the buyer takes over, paid to the register of deeds before the deed can record. If one parcel straddles two counties, it is paid where the larger share of value is.
What if the seller never gave me the disclosure form?
You can cancel in writing without penalty and get your deposit back. That window closes three calendar days after you receive the form, three days after the contract was made, or at settlement or move-in, whichever comes first.
What is the mineral rights form about?
North Carolina requires a separate bold-type statement. The seller says whether mineral rights or oil and gas rights have already been separated from the land, or will be before closing. If they have, another party may own what is underneath.
When are property taxes listed and values updated?
Listing runs from the first business day of January through January 31, and counties can extend it. Counties have to reappraise all real property at least every eight years, and some do it sooner. Check your county's schedule.
Do I need permits for a well or septic?
Yes. The county health department permits private wells and septic. A home on septic needs an improvement permit and construction authorization first, and new wells get tested by the health department once they are finished.