Colorado Contract Real Residential Form – Fill Out and Use This PDF

1The printed portions of this form, except differentiated additions, have been approved by the Colorado Real Estate Commission.

2(CBS1-5-19) (Mandatory 7-19)

3

4THIS FORM HAS IMPORTANT LEGAL CONSEQUENCES AND THE PARTIES SHOULD CONSULT LEGAL AND TAX OR

5OTHER COUNSEL BEFORE SIGNING.

6
7	CONTRACT TO BUY AND SELL REAL ESTATE
8	(RESIDENTIAL)
9
10	Date:

121. AGREEMENT. Buyer agrees to buy and Seller agrees to sell the Property described below on the terms and conditions set

13forth in this contract (Contract).

142. PARTIES AND PROPERTY.

15	2.1.	Buyer.						(Buyer) will take title
16	to the Property described below as			Joint Tenants	Tenants In Common	Other			.

172.2. No Assignability. This Contract IS NOT assignable by Buyer unless otherwise specified in Additional Provisions.

18

2.3.

Seller.

(Seller) is the current

19owner of the Property described below.

20	2.4.	Property. The Property is the following legally described real estate in the County of					, Colorado:
21
22
23
24
25
26	known as No.								,
27			Street Address	City	State		Zip

28together with the interests, easements, rights, benefits, improvements and attached fixtures appurtenant thereto and all interest of

29Seller in vacated streets and alleys adjacent thereto, except as herein excluded (Property).

302.5. Inclusions. The Purchase Price includes the following items (Inclusions):

31	2.5.1. Inclusions – Attached. If attached to the Property on the date of this Contract, the following items are

32included unless excluded under Exclusions: lighting, heating, plumbing, ventilating and air conditioning units, TV antennas, inside

33telephone, network and coaxial (cable) wiring and connecting blocks/jacks, plants, mirrors, floor coverings, intercom systems, built-

34in kitchen appliances, sprinkler systems and controls, built-in vacuum systems (including accessories) and garage door openers

35(including _______ remote controls). If checked, the following are owned by the Seller and included (leased items should be listed

36 under Due Diligence Documents): None Solar Panels Water Softeners Security Systems Satellite Systems

37(including satellite dishes). If any additional items are attached to the Property after the date of this Contract, such additional items

38are also included in the Purchase Price.

39	2.5.2. Inclusions – Not Attached. If on the Property, whether attached or not, on the date of this Contract, the

40following items are included unless excluded under Exclusions: storm windows, storm doors, window and porch shades, awnings,

41blinds, screens, window coverings and treatments, curtain rods, drapery rods, fireplace inserts, fireplace screens, fireplace grates,

42heating stoves, storage sheds, carbon monoxide alarms, smoke/fire detectors and all keys.

43	2.5.3. Personal Property – Conveyance. Any personal property must be conveyed at Closing by Seller free and
44	clear of all taxes (except personal property taxes for the year of Closing), liens and encumbrances, except		.

45Conveyance of all personal property will be by bill of sale or other applicable legal instrument.

46	2.5.4. Other Inclusions. The following items, whether fixtures or personal property, are also included in the
47	Purchase Price:
48
49
50
51
52	If the box is checked, Buyer and Seller have concurrently entered into a separate agreement for additional personal

53property outside of this Contract.

CBS1-5-19. CONTRACT TO BUY AND SELL REAL ESTATE (RESIDENTIAL)

Page 1 of 18

54	2.5.5. Parking and Storage Facilities. The use or ownership of the following parking facilities:
55		; and the use or ownership of the following storage facilities:		.

56Note to Buyer: If exact rights to the parking and storage facilities is a concern to Buyer, Buyer should investigate.

572.6. Exclusions. The following items are excluded (Exclusions):

58

59

60

612.7. Water Rights/Well Rights.

62	2.7.1.	Deeded Water Rights. The following legally described water rights:
63
64
65
66	Any deeded water rights will be conveyed by a good and sufficient			deed at Closing.
67	2.7.2.	Other Rights Relating to Water. The following rights relating to water not included in §§ 2.7.1, 2.7.3 and

682.7.4, will be transferred to Buyer at Closing:

72	2.7.3. Well Rights. Seller agrees to supply required information to Buyer about the well. Buyer understands that if

73the well to be transferred is a “Small Capacity Well” or a “Domestic Exempt Water Well” used for ordinary household purposes,

74Buyer must, prior to or at Closing, complete a Change in Ownership form for the well. If an existing well has not been registered

75with the Colorado Division of Water Resources in the Department of Natural Resources (Division), Buyer must complete a

76registration of existing well form for the well and pay the cost of registration. If no person will be providing a closing service in

77connection with the transaction, Buyer must file the form with the Division within sixty days after Closing. The Well Permit # is

78		.
79	2.7.4.	Water Stock Certificates. The water stock certificates to be transferred at Closing are as follows:
80
81
82
83	2.7.5.	Conveyance. If Buyer is to receive any rights to water pursuant to § 2.7.2 (Other Rights Relating to Water),

84§ 2.7.3 (Well Rights), or § 2.7.4 (Water Stock Certificates), Seller agrees to convey such rights to Buyer by executing the applicable

85legal instrument at Closing.

863. DATES, DEADLINES AND APPLICABILITY.

873.1. Dates and Deadlines.

Item No.	Reference	Event	Date or Deadline
1	§ 4.3	Alternative Earnest Money Deadline
		Title
2	§ 8.1, §	Record Title Deadline
	8.4
3	§ 8.2, §	Record Title Objection Deadline
	8.4
4	§ 8.3	Off-Record Title Deadline
5	§ 8.3	Off-Record Title Objection Deadline
6	§ 8.5	Title Resolution Deadline
7	§ 8.6	Right of First Refusal Deadline
		Owners’ Association
8	§ 7.2	Association Documents Deadline
9	§ 7.4	Association Documents Termination Deadline
		Seller’s Disclosures
10	§ 10.1	Seller’s Property Disclosure Deadline
11	§ 10.10	Lead-Based Paint Disclosure Deadline
		Loan and Credit
12	§ 5.1	New Loan Application Deadline
13	§ 5.2	New Loan Termination Deadline
14	§ 5.3	Buyer’s Credit Information Deadline
15	§ 5.3	Disapproval of Buyer’s Credit Information Deadline

CBS1-5-19. CONTRACT TO BUY AND SELL REAL ESTATE (RESIDENTIAL)

Page 2 of 18

16	§ 5.4	Existing Loan Deadline
17	§ 5.4	Existing Loan Termination Deadline
18	§ 5.4	Loan Transfer Approval Deadline
19	§ 4.7	Seller or Private Financing Deadline
		Appraisal
20	§ 6.2	Appraisal Deadline
21	§ 6.2	Appraisal Objection Deadline
22	§ 6.2	Appraisal Resolution Deadline
		Survey
23	§ 9.1	New ILC or New Survey Deadline
24	§ 9.3	New ILC or New Survey Objection Deadline
25	§ 9.3	New ILC or New Survey Resolution Deadline
		Inspection and Due Diligence
26	§ 10.3	Inspection Objection Deadline
27	§ 10.3	Inspection Termination Deadline
28	§ 10.3	Inspection Resolution Deadline
29	§ 10.5	Property Insurance Termination Deadline
30	§ 10.6	Due Diligence Documents Delivery Deadline
31	§ 10.6	Due Diligence Documents Objection Deadline
32	§ 10.6	Due Diligence Documents Resolution Deadline
33	§ 10.7	Conditional Sale Deadline
34	§ 10.10	Lead-Based Paint Termination Deadline
		Closing and Possession
35	§ 12.3	Closing Date
36	§ 17	Possession Date
37	§ 17	Possession Time
38	§ 28	Acceptance Deadline Date
39	§ 28	Acceptance Deadline Time

88Note: If FHA or VA loan boxes are checked in § 4.5.3 (Loan Limitations), the Appraisal deadlines DO NOT apply to FHA insured

89or VA guaranteed loans.

903.2. Applicability of Terms. Any box checked in this Contract means the corresponding provision applies. If any deadline

91blank in § 3.1 (Dates and Deadlines) is left blank or completed with the abbreviation “N/A”, or the word “Deleted,” such deadline

92is not applicable and the corresponding provision containing the deadline is deleted. If no box is checked in a provision that contains

93a selection of “None”, such provision means that “None” applies.

94The abbreviation “MEC” (mutual execution of this Contract) means the date upon which both parties have signed this Contract.

954. PURCHASE PRICE AND TERMS.

964.1. Price and Terms. The Purchase Price set forth below is payable in U.S. Dollars by Buyer as follows:

Item No.	Reference	Item		Amount			Amount
1	§ 4.1	Purchase Price	$
2	§ 4.3	Earnest Money			$
3	§ 4.5	New Loan			$
4	§ 4.6	Assumption Balance			$
5	§ 4.7	Private Financing			$
6	§ 4.7	Seller Financing			$
7
8
9	§ 4.4	Cash at Closing			$
10		TOTAL	$		$

974.2. Seller Concession. At Closing, Seller will credit to Buyer $______________ (Seller Concession). The Seller

98Concession may be used for any Buyer fee, cost, charge or expenditure to the extent the amount is allowed by the Buyer’s lender

99and is included in the Closing Statement or Closing Disclosure at Closing. Examples of allowable items to be paid for by the Seller

CBS1-5-19. CONTRACT TO BUY AND SELL REAL ESTATE (RESIDENTIAL)

Page 3 of 18

100Concession include, but are not limited to: Buyer’s closing costs, loan discount points, loan origination fees, prepaid items and any

101other fee, cost, charge, expense or expenditure. Seller Concession is in addition to any sum Seller has agreed to pay or credit Buyer

102elsewhere in this Contract.

1034.3. Earnest Money. The Earnest Money set forth in this Section, in the form of a ______________________, will be

104payable to and held by ________________________________________ (Earnest Money Holder), in its trust account, on behalf of

105both Seller and Buyer. The Earnest Money deposit must be tendered, by Buyer, with this Contract unless the parties mutually agree

106to an Alternative Earnest Money Deadline for its payment. The parties authorize delivery of the Earnest Money deposit to the

107company conducting the Closing (Closing Company), if any, at or before Closing. In the event Earnest Money Holder has agreed to

108have interest on Earnest Money deposits transferred to a fund established for the purpose of providing affordable housing to Colorado

109residents, Seller and Buyer acknowledge and agree that any interest accruing on the Earnest Money deposited with the Earnest

110Money Holder in this transaction will be transferred to such fund.

111	4.3.1. Alternative Earnest Money Deadline. The deadline for delivering the Earnest Money, if other than at the

112time of tender of this Contract, is as set forth as the Alternative Earnest Money Deadline.

113	4.3.2. Return of Earnest Money. If Buyer has a Right to Terminate and timely terminates, Buyer is entitled to the

114return of Earnest Money as provided in this Contract. If this Contract is terminated as set forth in § 25 and, except as provided in

115§ 24 (Earnest Money Dispute), if the Earnest Money has not already been returned following receipt of a Notice to Terminate, Seller

116agrees to execute and return to Buyer or Broker working with Buyer, written mutual instructions (e.g., Earnest Money Release form),

117within three days of Seller’s receipt of such form.

1184.4. Form of Funds; Time of Payment; Available Funds.

119	4.4.1. Good Funds. All amounts payable by the parties at Closing, including any loan proceeds, Cash at Closing

120and closing costs, must be in funds that comply with all applicable Colorado laws, including electronic transfer funds, certified

121check, savings and loan teller’s check and cashier’s check (Good Funds).

122	4.4.2. Time of Payment; Available Funds. All funds, including the Purchase Price to be paid by Buyer, must be

123paid before or at Closing or as otherwise agreed in writing between the parties to allow disbursement by Closing Company at Closing

124	OR SUCH NONPAYING PARTY WILL BE IN DEFAULT. Buyer represents that Buyer, as of the date of this Contract, Does
125	Does Not have funds that are immediately verifiable and available in an amount not less than the amount stated as Cash at Closing

126in § 4.1.

1274.5. New Loan.

128	4.5.1. Buyer to Pay Loan Costs. Buyer, except as otherwise permitted in § 4.2 (Seller Concession), if applicable,

129must timely pay Buyer’s loan costs, loan discount points, prepaid items and loan origination fees as required by lender.

130	4.5.2. Buyer May Select Financing. Buyer may pay in cash or select financing appropriate and acceptable to

131Buyer, including a different loan than initially sought, except as restricted in § 4.5.3 (Loan Limitations) or § 30 (Additional

132Provisions).

133	4.5.3. Loan Limitations. Buyer may purchase the Property using any of the following types of loans:
134	Conventional	FHA	VA	Bond	Other	.
135	4.5.4.	Loan Estimate – Monthly Payment				and Loan Costs. Buyer is advised to review the terms, conditions and

136costs of Buyer’s New Loan carefully. If Buyer is applying for a residential loan, the lender generally must provide Buyer with a

137Loan Estimate within three days after Buyer completes a loan application. Buyer also should obtain an estimate of the amount of

138Buyer’s monthly mortgage payment.

1394.6. Assumption. Buyer agrees to assume and pay an existing loan in the approximate amount of the Assumption Balance

140set forth in § 4.1 (Price and Terms), presently payable at $______________ per ________________ including principal and interest

141	presently at the rate of ________% per annum and also including escrow for the following as indicated:			Real Estate Taxes
142	Property Insurance Premium	Mortgage Insurance Premium and			.

143Buyer agrees to pay a loan transfer fee not to exceed $_____________. At the time of assumption, the new interest rate will

144not exceed ________% per annum and the new payment will not exceed $_____________ per ________________ principal and

145interest, plus escrow, if any. If the actual principal balance of the existing loan at Closing is less than the Assumption Balance, which

146causes the amount of cash required from Buyer at Closing to be increased by more than $_____________, or if any other terms or

147provisions of the loan change, Buyer has the Right to Terminate under § 25.1 on or before Closing Date.

148	Seller	Will	Will Not be released from liability on said loan. If applicable, compliance with the requirements for release
149	from liability will be evidenced by delivery			on or before Loan Transfer Approval Deadline		at Closing of an appropriate
150	letter of commitment from lender. Any cost payable for release of liability will be paid by						in an amount

151not to exceed $_____________.

1524.7. Seller or Private Financing.

153WARNING: Unless the transaction is exempt, federal and state laws impose licensing, other requirements and restrictions on sellers

154and private financiers. Contract provisions on financing and financing documents, unless exempt, should be prepared by a licensed

155Colorado attorney or licensed mortgage loan originator. Brokers should not prepare or advise the parties on the specifics of financing,

156including whether or not a party is exempt from the law.

CBS1-5-19. CONTRACT TO BUY AND SELL REAL ESTATE (RESIDENTIAL)

Page 4 of 18

157

4.7.1.

Seller Financing. If Buyer is to pay all or any portion of the Purchase Price with Seller financing,

Buyer

158 Seller will deliver the proposed Seller financing documents to the other party on or before _________ days before Seller or

159Private Financing Deadline.

160

4.7.1.1.

Seller May Terminate. If Seller is to provide Seller financing, this Contract is conditional upon

161Seller determining whether such financing is satisfactory to the Seller, including its payments, interest rate, terms, conditions, cost

162and compliance with the law. Seller has the Right to Terminate under § 25.1, on or before Seller or Private Financing Deadline, if

163such Seller financing is not satisfactory to Seller, in Seller’s sole subjective discretion.

164	4.7.2. Buyer May Terminate. If Buyer is to pay all or any portion of the Purchase Price with Seller or private

165financing, this Contract is conditional upon Buyer determining whether such financing is satisfactory to Buyer, including its

166availability, payments, interest rate, terms, conditions and cost. Buyer has the Right to Terminate under § 25.1, on or before Seller

167or Private Financing Deadline, if such Seller or private financing is not satisfactory to Buyer, in Buyer’s sole subjective discretion.

1695. FINANCING CONDITIONS AND OBLIGATIONS.

1705.1. New Loan Application. If Buyer is to pay all or part of the Purchase Price by obtaining one or more new loans (New

171Loan), or if an existing loan is not to be released at Closing, Buyer, if required by such lender, must make an application verifiable

172by such lender, on or before New Loan Application Deadline and exercise reasonable efforts to obtain such loan or approval.

1735.2. New Loan Review. If Buyer is to pay all or part of the Purchase Price with a New Loan, this Contract is conditional

174upon Buyer determining, in Buyer’s sole subjective discretion, whether the New Loan is satisfactory to Buyer, including its

175availability, payments, interest rate, terms, conditions and cost. This condition is for the sole benefit of Buyer. Buyer has the Right

176to Terminate under § 25.1, on or before New Loan Termination Deadline, if the New Loan is not satisfactory to Buyer, in Buyer’s

177sole subjective discretion. Buyer does not have a Right to Terminate based on the New Loan if the objection is based on the Appraised

178Value (defined below) or the Lender Requirements (defined below). IF SELLER IS NOT IN DEFAULT AND DOES NOT

179TIMELY RECEIVE BUYER’S WRITTEN NOTICE TO TERMINATE, BUYER’S EARNEST MONEY WILL BE

180NONREFUNDABLE, except as otherwise provided in this Contract (e.g., Appraisal, Title, Survey).

1815.3. Credit Information. If an existing loan is not to be released at Closing, this Contract is conditional (for the sole benefit

182of Seller) upon Seller’s approval of Buyer’s financial ability and creditworthiness, which approval will be in Seller’s sole subjective

183discretion. Accordingly: (1) Buyer must supply to Seller by Buyer’s Credit Information Deadline, at Buyer’s expense, information

184and documents (including a current credit report) concerning Buyer’s financial, employment and credit condition; (2) Buyer consents

185that Seller may verify Buyer’s financial ability and creditworthiness; and (3) any such information and documents received by Seller

186must be held by Seller in confidence and not released to others except to protect Seller’s interest in this transaction. If the Cash at

187Closing is less than as set forth in § 4.1 of this Contract, Seller has the Right to Terminate under § 25.1, on or before Closing. If

188Seller disapproves of Buyer’s financial ability or creditworthiness, in Seller’s sole subjective discretion, Seller has the Right to

189Terminate under § 25.1, on or before Disapproval of Buyer’s Credit Information Deadline.

1905.4. Existing Loan Review. If an existing loan is not to be released at Closing, Seller must deliver copies of the loan

191documents (including note, deed of trust and any modifications) to Buyer by Existing Loan Deadline. For the sole benefit of Buyer,

192this Contract is conditional upon Buyer’s review and approval of the provisions of such loan documents. Buyer has the Right to

193Terminate under § 25.1, on or before Existing Loan Termination Deadline, based on any unsatisfactory provision of such loan

194documents, in Buyer’s sole subjective discretion. If the lender’s approval of a transfer of the Property is required, this Contract is

195conditional upon Buyer obtaining such approval without change in the terms of such loan, except as set forth in § 4.6. If lender’s

196approval is not obtained by Loan Transfer Approval Deadline, this Contract will terminate on such deadline. Seller has the Right

197to Terminate under § 25.1, on or before Closing, in Seller’s sole subjective discretion, if Seller is to be released from liability under

198such existing loan and Buyer does not obtain such compliance as set forth in § 4.6.

1996. APPRAISAL PROVISIONS.

2006.1. Appraisal Definition. An “Appraisal” is an opinion of value prepared by a licensed or certified appraiser, engaged on

201behalf of Buyer or Buyer’s lender, to determine the Property’s market value (Appraised Value). The Appraisal may also set forth

202certain lender requirements, replacements, removals or repairs necessary on or to the Property as a condition for the Property to be

203valued at the Appraised Value.

2046.2. Appraisal Condition. The applicable appraisal provision set forth below applies to the respective loan type set forth

205in § 4.5.3, or if a cash transaction (i.e. no financing), § 6.2.1 applies.

206	6.2.1. Conventional/Other. Buyer has the right to obtain an Appraisal. If the Appraised Value is less than the

207Purchase Price, or if the Appraisal is not received by Buyer on or before Appraisal Deadline Buyer may, on or before Appraisal

208Objection Deadline:

209	6.2.1.1. Notice to Terminate. Notify Seller in writing, pursuant to § 25.1, that this Contract is terminated;

210or

211	6.2.1.2. Appraisal Objection. Deliver to Seller a written objection accompanied by either a copy of the

212Appraisal or written notice from lender that confirms the Appraised Value is less than the Purchase Price (Lender Verification).

CBS1-5-19. CONTRACT TO BUY AND SELL REAL ESTATE (RESIDENTIAL)

Page 5 of 18