Soundfront Home & Guest House - Outer Banks, NC

Linda Terry, Tranzon Fox 121 Pennsylvania Ave

Virginia Beach, VA 23462

P: 804-354-9090 F: 757-473-9787 lterry@tranzon.com

TRANZON.COM

Soundfront Home & Guest House - Outer Banks, NC Property #: FX4325 Auction Date and Time: Friday, June 21, 8:00pm Property Preview Date and Time:

1.5 Hrs Prior to Auction & By Appointment Property and Auction Location:

98 Sunrise Ln Kill Devil Hills, NC 27948

Property Description: Come enjoy endless sunsets on Sunrise Lane! This custom, contemporary home was inspired by Frank Lloyd Wright’s Highland Park, Illinois home, the Willits House. Open and airy, this home fronts on the Albemarle Sound and is centrally located just West of the Wright Brothers Memorial. Enjoy fine, upscale dining at the cozy Colington Café and buy the freshest seafood at Billy’s down the street. From this home base your family and guests can take full advantage of all the Outer Banks have to offer—from world class kiteboarding and fishing to miles of beaches. Historic villages, pirate lore and lighthouses light your path as you travel North to Corolla or South to Hatteras and even Ocracoke by ferry! You and your friends will all appreciate the convenience and privacy of the guest house during their stay. This sound front retreat is the perfect choice for anyone who appreciates the water, and the architecture of Frank Lloyd Wright. This premier, sound front lot in the Central part of North Carolina’s Outer Banks, consists of +/- 1.34 acres with 220 feet of bulwarked water frontage, and was developed in 2001. It’s one of very few properties on the islands with fully separate quarters for visitors. The charming, functional Guest House was constructed first and was enjoyed for 5 years while the main house was being designed and built. Guest House- featuring wonderful sound views from every room, your friends and extended family will love coming to visit here, where they can enjoy peaceful surroundings from their own front porch. There’s a living room, sunroom, kitchen, bedroom with cedar closet and bath. Main House- this home is quality inside and out, constructed with top of the line materials for lasting elegance and minimal maintenance. It’s a perfect home for entertaining and making family memories to last a lifetime! Main level- As you approach the front door, you are greeted by a stone water feature and an artistic metal live oak tree, which mirrors those around the house. Come through the arts and crafts style door and you’re in a huge great room with soaring ceiling and windows and balconies that beacon you outside, to the waterfront.

Flooring, trim, stairs and railings are all Brazilian Cherry and a custom, floor to ceiling stone fireplace warm the great room—when summer is over, you’ll want to celebrate Thanksgiving and Christmas right here. The open kitchen area is gourmet, with custom wood cabinetry, pantry closet, Thermador and Kenmore Elite stainless appliances. Your main level master suite has sliding glass doors out to the sound front deck with its water view

(cedar closet removed here). The private bath includes a jetted tub, shower stall and double sinks. The screened porch is perfect for 3- season outdoor eating and relaxing. Upstairs is an open loft area that looks down on the great room—you will feel like you are living in a tree house, embraced by live oak boughs seen through the picture windows. It’s a great spot for an artist’s studio, a workout area or cozy reading retreat. The guest room and full bath are up here, too. The Lower Level is an unexpected surprise! The temperature-controlled Wine Cellar is the star

attraction here, from the special doorway to the custom rack that holds 600 bottles and the wet bar has a copper sink with intaglio grapple design. Just imagine, wine tastings and parties galore! Sliding doors take you out to the waterfront area—just add the fire pit for those cooler nights. Enjoy storage and projects on the oversized workshop. There’s a one car garage and rough- in should you choose to install a dumb waiter to tote your groceries and luggage up. Grounds- this choice lot fronts on Albemarle Sound and has 220 ft of water frontage, fully bulkheaded. The grounds are landscaped in low maintenance beauty, complete with koi pond, fire pit area, waterfall and outdoor lighting. The fenced in septic field would make a great vegetable/cutting flower garden or dog play area. Construction features-

Geo-thermal, in-ground closed loop system with hot water option in main house saves 40% on heating bills and up to 60% on cooling costs over a traditional heat pump

The heat pumps are interior units, affording a longer useful life; the heat pump in the guest house was replaced and upgraded in 2011

There are double hot water heaters and storage tanks

Andersen Sun II windows and doors throughout

4’ roof overhangs to shade the summer sun

6” exterior wall construction, with spray foam insulation

Roof is double sheathed w/Certain-teed Hatteras Shingles with ice and water shield underlayment

The exterior cement fiber board siding was painted in December of 2011

Custom "Ipe" wood exterior railings, steps and porch decking. Also called Brazilian walnut, ipe (pronounced ee-pay) wood is typically found in South America and some parts of Central America. It is one of the densest hardwoods available, three times harder than cedar. Ipe has the same fire rating as concrete and steel, meaning it resists flames much longer than softer woods, and is so dense that it doesn't float in water.

Personal Property Items that convey: refrigerators, washer/dryer, wall mounted flat-screen TV upstairs of main house

Preventive Maintenance: Sellers maintain a Pest Control service with Terminix and an HVAC service contract with Outer Banks Heating and Cooling. The cost of these contracts will be prorated at closing.

LP Gas on premises: the tank is leased; deposit to be credited back to seller at closing.

Access to property is via recorded easement from Sunrise Lane across the adjacent lot.

Over $1.1 million invested in land acquisition and construction of this waterfront property!

● SQ Footage: 4,568± both houses combined ● Bedrooms: 3 ● Baths: 3½ ● Approx Year Built: Home 2006, Guest Cottage 2001 ● Parcel ID#s: 897315539541, 987315539623 ● 2012 Tax Assessment: $900,000 ● 2012 Property Taxes: $3,900 ● Heat/Air: Central air, geothermal heat ● Water/Sewer: Municipal water, Septic ● Approx Lot Size: 1.34 acre ● Homeowners Assoc Fee: None ● Schools: First Flight Elementary, Middle & High School

Cooperating Broker’s Fee: Up to 3% of the high bid will be paid to a properly registered broker at

settlement. Summary of Terms of Sale: All property sold in “as is” condition. A 10% buyer’s premium will be added to the high bid to determine the contract price. High bidder will execute a Contract for Sale and Purchase of Real Estate and provide a minimum auction day deposit of $30,000 in guaranteed funds, with 10% due within 2 business days. A cashier’s check, certified check, cash or money order made payable to yourself in the amount of $30,000 must be shown at registration. Balance of contract price is due at closing within 30 days. Seller will provide general warranty deed at closing. Please see the Contract for Sale of Real Estate and Terms & Conditions in this info package for all of the sale terms.

Linda Terry 804-354-9090 Tranzon Fox lterry@tranzon.com www.tranzon.com/FX4325 NCAF4953

ATTENTION PROSPECTIVE BIDDERS: ALL INFORMATION CONTAINED IN THIS AND OTHER ADVERTISEMENTS WAS OBTAINED FROM SOURCES BELIEVED TO BE ACCURATE. HOWEVER, NO WARRANTY OR GUARANTEE, EITHER EXPRESSED OR IMPLIED, IS INTENDED OR MADE. ALL PURCHASERS MUST INDEPENDENTLY INVESTIGATE AND CONFIRM ANY INFORMATION OR ASSUMPTIONS ON WHICH ANY BID IS BASED. NEITHER AUCTION COMPANY NOR TRUSTEE SHALL BE LIABLE FOR ANY ERRORS OR THE CORRECTNESS OF INFORMATION. ALL ANNOUNCEMENTS MADE AT THE AUCTION TAKE PRECEDENCE OVER ANY OTHER PROPERTY INFORMATION OR PRINTED TERMS OF SALE. ITEMS MAY BE ADDED OR DELETED. PROPERTY SOLD “AS IS, WHERE IS, WITH ALL FAULTS.” PROSPECTIVE BIDDERS SHOULD VERIFY ALL INFORMATION. THE PROPERTY IS OFFERED FOR SALE TO QUALIFIED PURCHASERS WITHOUT REGARD TO PROSPECTIVE PURCHASER'S RACE, COLOR, RELIGION, SEX, MARITAL STATUS OR NATIONAL ORIGIN. THE PROPERTY AND IMPROVEMENTS WILL BE SOLD "AS IS" WITHOUT REPRESENTATION OR WARRANTY OF ANY KIND, INCLUDING ANY REPRESENTATIONS REGARDING ENVIRONMENTAL CONDITIONS AFFECTING THE PROPERTY. THE REAL PROPERTY SHALL BE SOLD FREE AND CLEAR OF LIENS, BUT SUBJECT TO CONDITIONS, RESTRICTIONS, RIGHTS-OF-WAY, EASEMENTS, AND RESERVATIONS, IF ANY, OF RECORD; SUBJECT TO THE RIGHTS, IF ANY OF TENANTS-IN-POSSESSION, UNDER LAW. NEITHER THE AUCTION COMPANY NOR THE TRUSTEE MAKE OR HAS MADE ANY REPRESENTATION OR WARRANTY WITH RESPECT TO THE ACCURACY, CORRECTNESS, COMPLETENESS, CONTENT OR MEANING OF THE INFORMATION CONTAINED HEREIN. ALL PROSPECTIVE PURCHASERS RECOGNIZE AND AGREE THAT ANY INVESTIGATION, EXAMINATION, OR INSPECTION OF THE PROPERTY IS WITHIN THE CONTROL OF THE OWNER OR OTHER PARTIES IN POSSESSION AND THEIR AGENTS. ANY DECISION TO PURCHASE OR NOT TO PURCHASE IS THE SOLE AND INDEPENDENT BUSINESS DECISION OF THE POTENTIAL PURCHASER. NO RECOURSE OR CAUSE OF ACTION WILL LIE AGAINST ANY OF THE ABOVE-MENTIONED PARTIES SHOULD PURCHASER BECOME DISSATISFIED WITH ITS DECISION, WHATEVER IT MAY BE, AT A LATER DATE.

Wine Cellar Lower Level

Guest House

98 Sunrise Ln, Kill Devil Hills, NC 27948

The Ward W. Willits house, designed in 1901 by FLR, is considered to be the first of the great Prairie-style homes, illustrating Wright's ability to bridge the gap between architecture and nature. The house shows the influences of Japanese architecture and the works of Piet Mondrian, a member of the then-emerging Dutch Art movement. The Ward W. Willits house is listed on the National Register of Historic places. Typical elements of Prairie style are a large central space anchored by a large fireplace, low roofs with large overhangs, and linear design elements that run parallel to the ground and help settle the building into the landscape.

The Willits House is the first house in true Prairie style and marks the full development of Wright's wood frame and stucco system of construction. Wright used a cruciform plan with the interior space flowing around a central chimney core and extending outward onto covered verandas and open terraces.

The ground floor plan of the Willits House. Entrance-stair hall, living room, dining room and kitchen rotate around the central fireplace.

Perspective drawing of Willits House, 1901. Copyright © the Frank Lloyd Wright Foundation.

Publication:Virginian Pilot; Date:May 19, 2007;Section:At Home;Page Number:Z3[Continuation]

Publication:Virginian Pilot;Date:May 19, 2007;Section:At Home;Page Number:Z9[ Back]

Full ReportMasterPin Number 987315539541 Owner Last Name EISENACHParcel Number 020906000 Owner First Name DIANNE ELLENProperty Address 98 SUNRISE LN Owner Name 2Lot Mailing Address 1 720 PINETREE DRBlock Mailing Address 2Section Mailing City VIRGINIA BEACHSubdivision 0000 SUBDIVISION - NONE Mailing State VADistrict 03 Mailing Zip 23452Land Use CB17 Total Value $880,000.00

Ownership InformationLand Value $377,500.00 Deed Date 1/20/2012Building Value $493,800.00 Deed Book 1886Total Value $880,000.00 Deed Page 0370Book Page Deed Date County Doc Link1886/0370 1/20/2012 Click to view County Document(s)1855/0232 1/24/2011 Click to view County Document(s)

Land InformationLand Use CB17-Soundfront Lot Acres 1.34Square Feet 58370 Plat Map Click to view Dare County parcel map

Improvement InformationBuilding Use 0100-Residential Act Year Built 2001Bedroom 1 FrontBath 1 DepthStories 1 Exterior Wall 1 Simulated PanelSquare Feet Exterior Wall 2 N/AHeated Fuel Electric Roof Structure Gable or HipHeating Forced Air / Duct Roof Cover Asphalt Composition ShingleAir Condition Central Air Interior Wall 1 DrywallQuality Average Interior Wall 2 N/AObserved Code NA Flooring 1 Ceramic or Quarry TileMisc Value $8,700.00 Flooring 2 CarpetingMisc UseBulkheading

Full ReportMasterPin Number 987315539623 Owner Last Name EISENACHParcel Number 020906002 Owner First Name DIANNE ELLENProperty Address 0 SUNRISE LN Owner Name 2Lot Mailing Address 1 720 PINETREE DRBlock Mailing Address 2Section Mailing City VIRGINIA BEACHSubdivision 0000 SUBDIVISION - NONE Mailing State VADistrict 03 Mailing Zip 23452Land Use CB17 Total Value $20,000.00

Ownership InformationLand Value $20,000.00 Deed Date 1/20/2012Building Value $0.00 Deed Book 1886Total Value $20,000.00 Deed Page 0370Book Page Deed Date County Doc Link1886/0370 1/20/2012 Click to view County Document(s)1855/0232 1/24/2011 Click to view County Document(s)

Land InformationLand Use CB17-Soundfront Lot Acres 0.17Square Feet 7500 Plat Map Click to view Dare County parcel map

Improvement InformationBuilding Use 0010-Vacant Land (Private) Act Year BuiltBedroom FrontBath DepthStories Exterior Wall 1Square Feet Exterior Wall 2Heated Fuel Roof StructureHeating Roof CoverAir Condition Interior Wall 1Quality NA Interior Wall 2Observed Code NA Flooring 1Misc Value $0.00 Flooring 2

Sunrise Lane Acquisition and Construction Cost (Does not include repairs. Only initial costs and capital improvements per Internal Revenue Code) Purchase price of land - $ 122,000 (1998 fire sale <$600 per foot of sound frontage) Bulkhead 15,000 Guest house 165,000 - includes water tap, connections, drain field Basic cost main house 720,000 Total cash investment $ 1,120,000

(Current prices of land and bulkhead would be substantially greater).

DocuSign Envelope ID: AD0A0B69-A70E-4AD8-A895-337DDCE2C34C

2/22/2013

DocuSign Envelope ID: AD0A0B69-A70E-4AD8-A895-337DDCE2C34C

DocuSign Envelope ID: AD0A0B69-A70E-4AD8-A895-337DDCE2C34C

DocuSign Envelope ID: AD0A0B69-A70E-4AD8-A895-337DDCE2C34C

By bidding at the Auction, you are agreeing to the following terms and conditions in respect to the real property that is the subject of

the sale (the “Property”):

IDENTIFICATION: All buyers are required to have a Bidder’s Number to bid, giving full name, address, and phone number. Evidence of correct form of deposit

must be made in order to register for the auction.

CONTRACTS AND DEPOSITS: The successful bidder (the “Buyer”) must sign a sales contract and all other documents specified by the auctioneer immediately upon

conclusion of the auction. In order to bid, a minimum nonrefundable deposit of $30,000 shall be required to be presented to the auctioneer prior to the sale. The Buyer’s deposit will be retained by the auctioneer

and applied against the 10% deposit specified below. All deposits must be in the form of a cashier’s or certified check. No third party checks will be accepted. Successful bidders will be required to place a deposit equal

to 10% of the total purchase price of the Property ($30,000 minimum deposit in certified funds) within 2 business days. Balance of the 10% deposit (over the $30,000) may be a personal or business check. The

total deposit shall be applied to the Buyer’s credit at settlement. The auctioneer reserves the right to waive or modify the above deposit requirement at any time. Please note: All cashier’s or certified checks

should be made payable to yourself. The successful bidder will be required to endorse the check over to Tranzon Fox. See specific Terms of the Sale for actual deposit requirements.

BUYER’S PREMIUM:

A buyer’s premium of ten percent (10%) shall be added to the successful bidder’s high bid and included in the total purchase price to be paid by the successful bidder.

PROPERTY SOLD “AS IS, WHERE IS, WITH ALL FAULTS” WITHOUT REPRESENTATION OR WARRANTY OF ANY KIND: The Property shall be sold subject to all conditions, restrictions, right-of-

way easements, and reservations, if any, of record, filed and unfiled mechanics and materialmen’s liens, if any, and all other matters of record taking priority, subject to the rights, if any, of tenants-in-possession, and

further subject to all conditions announced at sale; and confirmation of the sale by the seller. The property, and all the improvements to the property, if any, shall be conveyed in "as is" condition and without

warranty of any kind, including any warranty as to the physical condition, extent of zoning, or environmental conditions (including, without limitation, the existence of radon gas, formaldehyde gas, airborne

asbestos fibers, toxic chemicals, underground storage tanks, lead, mold or other pollutants in the soil, air or water).

REAL ESTATE CLOSING: The Buyer must close the sale of the Property within 30 days (or sooner if

noted in specific terms and conditions). Time is of the essence. The entire purchase price must be paid by cashier’s or certified check, attorney’s escrow check, or wired funds at closing. The Buyer’s purchase

of the Property is not contingent on financing. The Property will be conveyed to the Buyer by deed upon full payment of all amounts due under this Agreement.

AGENCY:

The Auctioneer is acting as agent on behalf of the seller(s) only, and reserves the right to protect the seller’s interest by bidding as agent, unless the Property is being sold absolute to the highest bidder. The

Auctioneer is not responsible for the acts of his agents or principals. During bidding, the Auctioneer has the right to reject any bid that, in his opinion, is not commensurate with the Property value. In the event of any

dispute after the sale, Tranzon Fox’s determination shall be conclusive.

MEGAN’S LAW DISCLOSURE Purchaser(s) should exercise whatever due diligence they deem necessary with respect to information on any sexual offenders registered

under Chapter 23 (19.2 – 387 et. seq.) of Title 19.2. Such information may be obtained by contacting your local police department or the Department of State Police, Central Criminal Records Exchange.

PERSONAL PROPERTY: Unless stated otherwise, only the Real Estate is being sold. Any personal

property left in the property upon settlement conveys with the real estate. Seller is not obligated to leave property in “broom clean” condition.

LEAD BASED PAINT: The ten (10) day inspection period for residential property is prior to the

auction, and the opportunity is hereby waived from and after the date and time of auction.

REAL ESTATE BROKERS: A commission (as stated in the Property Information Package) calculated

on the successful buyer’s high bid shall be paid from the proceeds of sale to the licensed, qualified broker, whose properly registered buyer is the successful bidder at the auction, and whose buyer completes the

purchase of the Property. Brokers must register their prospective buyer on the required form completely filled out and signed. In the event a commission reduction is required to consummate a sale, Fox reserves

the right to proportionately reduce the commission herein. Broker must accompany their buyer to the Auction. The form is included in the Property Information Package or may be obtained by calling 757-473-

3000 and must be submitted to Tranzon Fox no later than 4 pm on the last business day prior to the Auction. Fax the completed form to 757-473-9787.

ADDITION OR WITHDRAWAL FROM SALE; CONDITION OF SALE: The sale of the real Property shall be contingent upon the seller and lender's confirmation, unless the sale is specified as absolute at the time of sale. The Auctioneer reserves the right to withdraw from sale the

Property listed, and also reserves the right to group one or more properties into one or more selling lots or to subdivide into two or more selling lots. The Auctioneer reserves the right to cancel the auction sale

up to the time prior to the commencement of bidding. All properties are sold in gross in all cases. If a subsequent survey by the Buyer shows a greater or lesser number of acres or square footage this will not affect the

purchase or purchase price.

RIGHTS: Seller and auctioneer reserve the right to announce additional terms and

conditions at the time of the sale, which additional terms and conditions will be binding upon the Buyer and the seller(s). All announcements made the day of sale take precedence over any conflicting prior written or

verbal terms of sale. The Buyer will acquire the Property(s) subject to the rights of all parties in possession. If any conditions contained herein are not complied with by the Buyer, Tranzon Fox may, in addition to asserting

all remedies available by law, including the right to hold the Buyer liable for the purchase price, either (a) cancel the sale, retaining as liquidated damages any payment made by the Buyer; (b) resell the Property at

public auction; or (c) take such other action as it deems necessary or appropriate. The retention of the bidder’s deposit shall not limit any rights or remedies of Tranzon Fox or the sellers with respect to the Buyer’s

default. If the Property is resold, the Buyer shall be liable for payment of any deficiency in the purchase price and all costs and expenses of both sales, reasonable attorney’s fees, commissions, incidental damages and all other charges due hereunder.

JURISDICTIONS: The respective rights and obligations of the parties with respect to the Terms and Conditions of Sale and the conduct of the auction shall be

governed and interpreted by the laws of the State of North Carolina. By bidding at any auction, whether present in person or by agent, by written bid, or other means, the Buyer shall be deemed to have consented to the

jurisdiction of the state and federal courts sitting in the State of North Carolina. Any controversy or claim arising from or relating to the contract or any breach of such contract shall be settled by arbitration administered

by the American Arbitration Association under its rules, and judgment on the award rendered by the arbitrator may be entered in any court having jurisdiction thereof. This auction is conducted by Tranzon Fox acting as

auctioneer/listing agent. Tranzon Fox is solely responsible for the terms and conditions of this auction and the manner in which it is conducted. Tranzon Fox is a member company of Tranzon, L.L.C., is independently

owned and operated, and uses the Tranzon name by license from Tranzon, L.L.C., which is not conducting or otherwise involved in this auction.

TERMS AND CONDITIONS OF SALE

FX4325 - 98 Sunrise Ln, Kill Devil Hills, NC 27948

BROKER PARTICIPATION TERMS & ACKNOWLEDGEMENT

This form is void unless received via fax by Tranzon FOX at 757-473-9787 or emailed to

vabeach@tranzon.com no later than 4 p.m. EST on the last business day prior to the auction date.

Auction Date: Friday, June 21, 8:00pm

Property Address: 98 Sunrise Ln, Kill Devil Hills, NC 27948

A commission will be paid based on the following schedule to any properly licensed real estate broker whose Buyer/Bidder is the successful purchaser for this property and who actually closes and pays the Total Contract Sale Price for this Property. Agents/Brokers acting as principals or employees, affiliates or immediate family members are not eligible for this commission. Payment made to Broker upon closing.

3% of the opening bid written below on this form prior to the opening of the auction.

1% of the balance between the submitted written opening bid and the actual high bid as per the contract (not including buyer’s premium)

In the absence of a written opening bid, 1% of the successful high bid will be paid

Broker agrees that if the commission pool is negotiated down in order to confirm the sale, they will accept a proportionate cut. Maximum broker participation shall not exceed 3% of the high bid. Oral registration will not qualify Broker for commission. Agent or Broker MUST attend the auction. Broker agrees that he/she shall hold harmless and indemnify Tranzon Fox, including its reasonable attorney’s fees, from any and all claims with regard to such commission. Such written offer does not constitute an auction bid unless/until the named buyer or their representative has complied with all auction terms including authorization of form of deposit, attends and registers to participate in the above referenced auction AND the Auctioneer opens the auction for bids. No exceptions will be made to the terms on this form. Name of Broker: _____________________________ Name of Company: ___________________________ Bidder/Buyer Name: ______________________ Name of Sales Assoc.: ________________________ Address: _______________________________ Broker License Number: _______________________ City, State, Zip: __________________________ Address: ___________________________________ Phone Number: _________________________ City, State, Zip: ______________________________ Bidder/Buyer email:_______________________ Phone Number: ______________________________ Fax Number: ________________________________ Agent email:____________________________ The undersigned buyer/bidder makes the opening bid of $____________________________ for property located at the above address. I agree to the terms set forth herein and the published terms of sale. ________________________ ______________________________ Date: _____________________

Broker Signature Bidder/Buyer Signature

>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>

RECEIVED BY TRANZON FOX: ______________________________ DATE ____________________

Seller Initials ______ ______ Buyer Initials ______ ______ 1

OFFER TO PURCHASE CONTRACT (North Carolina – Residential Contract)

This Agreement is made this June_______, 2013

_______________________________________________________ or assigns, as Buyer, hereby offers to purchase and

Dianne E. Eisenach, as Seller, upon acceptance of said offer, agrees to sell and convey all of that plot, piece or parcel of

land described below, together with all improvements located thereon and such fixtures and personal property as indicated

below (collectively referred to as “the Property”), upon the following terms and conditions:

1. REAL PROPERTY: Located in Kill Devil Hills, in the County of Dare , State of North Carolina, being known as and more particularly described as:

Street Address: _98 Sunrise Lane AND 0 Sunrise Lane, Kill Devil Hills NC 27948

All The property legally referred to as Dare County Parcel 020906000, PIN#987315539541 and 987315539623

NOTE: Prior to signing this Offer to Purchase and Contract, Buyer is advised to review Declaration of Condominium, if

any, which may limit the use of the Property, and to read the Declaration of Restrictive Covenants, By-Laws, Articles of

Incorporation, Rules and Regulations, and other governing documents of the owner’s association and/or the subdivision, if

applicable.

2. FIXTURES: The following fixtures, if any, are included in the purchase price free of liens: any built-in appliances,

light fixtures, ceiling fans, attached floor coverings, blinds, shades, drapery rods and curtain rods, brackets and all related

hardware, window and door screens, storm windows, combination doors, awnings, antennas, satellite dishes,

burglar/fire/smoke alarms, pool and spa equipments, solar energy systems, attached fireplace screens, gas logs, fireplace

inserts, electric garage door opener with control, outdoor plants and trees (other than in movable containers), basketball

goals, storage sheds, mailboxes, wall and/or door mirrors, and any other items attached or affixed to the Property, EXCEPT

the following: __________________________none___________________________________________________.

3. PERSONAL PROPERTY: The following personal property is included in the purchase price:

________________none____________________________

4. PURCHASE PRICE: Bid Price: $_____________ Byers Premium $__________ Total Purchase Price: $____________. An Earnest Money Deposit: _$_____________, with this offer by:

______________________ , has this day been made, such Earnest Money Deposit to be deposited and held in escrow by

Rose, Harrison and Gilreath of Kill Devil Hills NC (“Seller’s Attorney”) and additional Ernest Money Deposit of

$___________

due within 48 hours of fully executed contract to be held until Closing, at which time it will applied as part payment of the

Purchase Price of the Property or disbursed as otherwise provided under the provisions of this contract. Buyer shall pay the

balance of the Purchase Price, $________________ in full and legal tender to Seller at Closing.

In the event this offer is not accepted, all earnest monies shall be returned to Buyer.

NOTE: Demand Note: If any portion of the earnest money deposit is made with a personal check, this contract will constitute buyer’s personal demand note guaranteeing the check. Should Seller or Auctioneer/Broker be required to pursue

collection on this check or enforcement of this contract, the cost of such collection and Seller’s/Auctioneer’s reasonable

attorney’s fees will be Buyer’s expenses, all unpaid amounts shall accrue interest at a rate of 1.5% per month (18% per year)

until said amount is fully collected.

5. REMEDIES FOR BREACH: In the event of the breach of this contract by Seller, upon Buyer’s request, all earnest

monies shall be returned to Buyer, but such return shall not affect any other remedies available to Buyer for such breach. In

the event this offer is accepted and Buyer breaches this contract, including Buyer’s failure to close as and when required,

then all earnest monies shall be forfeited to Seller, but such forfeiture shall not affect any other remedies available to Seller

for such breach. NOTE: In the event of a dispute between Seller and buyer over the return of the earnest money held in

escrow by Seller’s Attorney, the Seller’s Attorney is required by state law to retain said earnest money in Seller’s Attorney’s

escrow account until a written release from the parties consenting to its disposition has been obtained or until disbursement is ordered by a court of competent jurisdiction.

Seller Initials ______ ______ Buyer Initials ______ ______ 2

6. RISK OF LOSS/DAMAGE/REPAIR: Until the Closing, the risk of loss or damage to the Property, except as if and

otherwise provided herein, shall be borne by seller. In the event the Property is damaged so that the Property cannot be

conveyed in substantially the same condition as of the time of the auction, Buyer may elect to terminate this contract and the

Earnest Money Deposit shall be returned to the Buyer. Except as to maintaining the Property in its same condition, Seller

shall have no responsibility for the repair for the Property, including any improvements, unless the parties hereto agree in

writing.

7. CONDITIONS: This contract is NOT contingent on financing. “AS-IS, WHERE-IS” SALE. THERE ARE NO

INSPECTION RIGHTS FOR BUYER. SELER IS NOT OBLIGATED TO MAKE ANY REPAIRS, CHANGES,

IMPROVEMENTS OR OTHER MODIFICATIONS TO THE PROPERTY. PRIOR TO SUBMITTING THE HIGH BID FOR THE PROPERTY, BUYER DETERMINED THAT THE PROPERTY MEETS ALL LEGAL REQUIREMENTS

FOR BUYER’S INTENDED USE OF THE PROPERTY AND IS NOT SUBJECT TO GOVERNMENTAL OR PRIVATE

RESTRICTIONS THAT WILL INTERFERE WITH SUCH INTENDED USE, INCLUDING, BUT NOT LIMITED TO,

ENVIRONMENTAL REGULATIONS, WETLAND QUALIFICATION, FLOOD HAZARD OR FLOOD PLAIN

DESIGNATION AND SEPTIC SYSTEM SUITABILITY.

8. MOBILE HOME, IF APPLICABLE. All parties acknowledge and agree that the seller warrants and defends title to

the land only. Should there be a mobile home unit situated on the property, title to that mobile home is not being conveyed

and the seller offers only a non-warranty bill of sale or title to convey its interest, if any, to the same. Buyer assumes all risk

associated with the mobile home unit.

9. SPECIAL ASSESSMENTS: Seller warrants that there are no pending or confirmed governmental special

assessments for sidewalk, paving, water, sewer, or other improvements on or adjoining the Property, and no pending or

confirmed owners’ association special assessments, excepts as follows: ________________none_______________.

(Insert “None” or the identification of such assessments, if any.) Seller shall pay all owners’ association assessments and all

governmental assessments confirmed through the time of closing, if any, and Buyer shall take title subject to all pending

assessments, if any, unless otherwise agreed as follows: _______none_______________.

10. PRORATIONS AND ADJUSTMENTS: Unless otherwise provided, the following items shall be prorated and either

adjusted between the parties or paid at closing: (a) Ad valorem taxes on real property shall be prorated on a calendar year

basis through the date of closing; (b) Ad valorem taxes on personal property for the entire year shall be paid by the Seller

unless the personal property is conveyed to the buyer, in which case, the personal property taxes shall be prorated on a

calendar year basis through the date of closing; (c) All late listing penalties, if any, shall be paid by Seller; (d) Rents, if any, for the Property shall be prorated through the date of closing; (e) Owner’s association dues, property management fees, and

other like charges shall be prorated through the date of closing (f) Terminix Pest Control contract and HVAC Service

Contract with Outer Banks Heating and Cooling shall be prorated though the end of the contract period.

11. CLOSING EXPENSES: Seller shall provide for deed preparation, pay revenue stamps (statutory recording fees)

required by law, and pay the grantors/land transfer tax. Buyer pays all other costs in this transaction, including but not

limited to recording fees, the expense of any survey or termite inspection ordered by Buyer for the benefit of Buyer,

compensation of the Closing Agent, and preparation fees for any other documents.

12. FUEL: Buyer agrees to purchase from Seller the fuel, if any, situated in any tank on the Property at the prevailing rate

with the cost of measurement thereof, if any, being paid by Seller. Seller’s deposit on the LP gas tank with Coastal Gas Company to be credited to the Seller at settlement.

13. TITLE: Title delivered at closing will be a General Warranty Deed. Purchaser’s and Seller’s obligations hereunder are contingent upon Seller being able to convey good and marketable title to the Property subject, however, to the following (the “Permitted Encumbrances”): (i) matters that do not render title to the Property unmarketable; (ii) the rights of tenants, if any; (iii) the lien of ad valorem real estate taxes not yet due and payable; (iv) such state of facts as an accurate survey and physical inspection of the Property would reveal; and (v) ordinary and customary easements, encumbrances and other restrictions of record. If, prior to settlement hereunder, Purchaser identifies a title defect other than the Permitted Encumbrances, Seller shall have the opportunity, but not the obligation, to attempt to cure the title defect, and Seller may in its sole discretion extend the settlement date accordingly. If Seller does not elect to attempt to cure the title defect, or if Seller attempts but is not successful in curing the title defect, Purchaser shall have the option to; (1) terminate this Agreement, in which case Seller shall instruct the Auction Firm to return the Deposit to Purchaser and neither party shall have any further obligation or liability to the other; or (2) waive the title defect and proceed to settlement hereunder, without any adjustment or modification of the Purchase Price. If an owner’s title insurance policy can be obtained without extraordinary exception or with affirmative protection over any title defect, Purchaser shall be required to waive its

Seller Initials ______ ______ Buyer Initials ______ ______ 3

objection to the title defect. Buyer understands that access to the property is via recorded easement from Sunrise Lane across the adjacent lot.

14. PROPERTY DISCLOSURE: North Carolina Residential Property Disclosure Statement attached unless raw land or foreclosed real estate. If raw land or foreclosed real estate, exempt from N.C. Residential Property Disclosure

Statement.

15. LEAD BASED PAINT ADDENDUM: Attached, if property was built prior to 1978.

16. WOOD DESTROYING INSECTS: No reports are available, and Seller makes no representations.

17. CLOSING AND POSSESSION: Possession of the property shall be the date of Closing, subject to existing leases.

Possession shall be delivered at Closing, which shall take place on or before 30 days from contract ratification. TIME IS

OF THE ESSENCE.

18. ENTIRE AGREEMENT: This contract and any signed Addendums constitute the sole and entire agreement of the parties hereto and there are no representations, inducements or other provisions other than those expressed herein. No

modification shall be binding unless in writing and signed by all parties hereto.

19. SURVIVAL OF REPRESENTATIONS AND WARRANTIES: All representations, warranties, covenants and

agreements herein made by the parties shall survive the Closing. Seller shall, at or within six (6) months after the Closing,

and without further consideration, execute, acknowledge and deliver to Buyer such other documents and instruments and

take such other action as Buyer may reasonably request or as may be necessary to more effectively transfer to Buyer the

Property described herein in accordance with this contract.

20. TAX-DEFERRED EXCHANGE: In the event Buyer or Seller desires to effect a tax-deferred exchange in connection

with the conveyance of the Property, Buyer and Seller agree to cooperate in effecting such exchange; provided, however, that exchanging party shall be responsible for all additional costs associated with such exchange, and further, that a non-

exchanging party shall not assume any additional liability with respect to such tax-deferred exchange. Seller and Buyer

shall execute such additional documents, at no cost to the non-exchanging party, as required to give effect to this provision.

21. APPLICABLE LAW: This contract shall be construed under the laws of the state of North Carolina.

22. PARTIES: This contract shall be binding upon and shall inure to the benefit of the parties, i.e., Buyer and Seller and

their heirs, successors and assigns. As used herein, words in the singular include the plural and the masculine includes the

feminine and neuter genders, as appropriate.

BUYER: SELLER:

________________________________________(SEAL) _________________________________________(SEAL)

Date:___________________________________ Date:____________________________________

________________________________________(SEAL) _________________________________________(SEAL)

Date:___________________________________ Date:____________________________________

Buyer Address:___________________________________________________________________________________

Buyer Phone: ____________________________________________________________________________________

Attorney Name:______________________________ Attorney Name:______________________________

___________________________________________________________________________________________________

Broker acknowledges receipt of the earnest money deposit and agrees to hold and disburse the same in accordance

with the terms hereof.

Date: _____________ Firm: __________________________________________________________________

By: ____________________________________________ (signature)

Auctioneer/Broker: Fox & Associates Partners, Inc. T/A Tranzon Fox (NC RE License C9540 , NCAL 4953)

Auctioneer/Broker represents the Seller.