SCR310 and SCR300 are Due Diligence Forms

Posted By Scott Vansant @ Apr 5th 2023 1:32pm

South Carolina Association of REALTORS (SCR's) Form 310 Agreement/Contract: To Buy and Sell Real Estate (Residential) and Form 311 Agreement/Contract: To Buy and Sell Real Estate (Residential/Condo) transitioned to a strict Due Diligence contract with regards to repairs effective June 13, 2022.

Changes were made to Paragraph 8 which is currently entitled “REPAIRS”.  Previously there were 3 selectable repair options: (1) Repair Procedures, (2) Due Diligence and (3) As Is.  Repair Procedures and As were removed – leaving only the Due Diligence clause.  Due Diligence verbiage did not change.  Due Diligence Expiration Date and Termination Fee are the two primary Due Diligence fields required to agree upon and to be completed on this form.

In general, Due Diligence will give the Buyer an opportunity to be more comfortable in buying the property by taking the time to inspect and review aspects of the property to identify potential problems or unexpected liabilities in order to determine whether or not to proceed with the purchase.

Some Advantages for the Buyer

  • Allows the Buyer to conduct any inspections they deem necessary and does not limit the Buyer in making additional requests to the Seller
  • Avoids having to get subject matter experts to determine “operable”

Some Advantages for the Seller

  • Opportunity for the Seller to obtain the agreed upon Termination Fee if not in agreement with the demands of the Buyer and/or if the Buyer timely/properly walks
  • Can simplify the repair process and make it much cleaner
  • Can allow for an easier path to put the house back on the market

NOTE: The Due Diligence Termination Fee is never paid if the deal closes.

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