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40 Cards in this Set
- Front
- Back
The Colorado Contract to Buy & Sell allows the Buyer if he cannot get a written loan commitment by the Loanconditionsdeadline: The Buyer to terminate the contract by written notice The Buyer to notify the Seller if they want to continue the purchase The date is automatically extended to closing The Buyer may wait until closing without risking the earnest money |
A: The Buyer to terminate the contract by written notice Without the loan commitment by the deadline, the buyer can terminate the contract by giving written notice to the seller that he/she is terminating. |
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Regarding delivery of Earnest Money: It must be delivered at the time of tender of this contract If other than at the time of tender of this contract it must be delivered no later than the Alternative Earnest Money Deadline If other than at the time of tender of this contract it must be delivered no later than the Earnest Money Deadline |
A: If other than at the time of tender of this contract it must be delivered no later than the Alternative Earnest Money Deadline Earnest money checks are not always delivered with the contract. Most often they are delivered by the Alternative Earnest Money Deadline. From the Contract to Buy/Sell Real Estate: Alternative Earnest Money Deadline. The deadline for delivering the Earnest Money, if other than at the time of tender of this Contract, is as set forth as the Alternative Earnest Money Deadline More info: A check for the earnest money should either accompany the offer until accepted or be delivered prior to expiration of the Alternative Earnest Money Deadline. Most often, a buyer's agent holding the deposit forwards a copy of the earnest money check with the offer and then specifies a date in the Alternative Earnest Money Deadline when the actual check will be delivered after contract acceptance. If the deposit was tendered with the contract; it must be deposited no later than 3 business days after notice of acceptance of the contract. From the real estate manual: "Unless otherwise agreed, earnest money deposits held by the specified broker must be deposited not later than the third business day after notice of acceptance of the contract. The broker should keep a copy of the validated escrow deposit slip and earnest money check in the office transaction file for later inspection." |
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In the approved Contract to Buy and Sell, "Property" includes: The real property plus fixtures, improvements, and appurtenances The real property and all rights such as water rights The real property plus fixtures, improvements, appurtenances, plus inclusions, minus exclusions The real property and everything now attached |
A: The real property plus fixtures, improvements, and appurtenances Property as described in the Contract to Buy and Sell includes appurtenances, improvements, and fixtures From the Contract to Buy and Sell: Property. The Property is the following legally described real estate in the County of Arapahoe, Colorado: Legal Description Here known as No. ,999 Maple Street Aurora Co 80999 together with the interests, easements, rights, benefits, improvements and attached fixtures appurtenant thereto, and all interest of Seller in vacated streets and alleys adjacent thereto, except as herein excluded (Property). |
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If a Seller is in default of the terms of the Contract to Buy & Sell: The buyer may cancel or sue for specific damages Buyer may sue to get the earnest money back Buyer may terminate by forfeiting the earnest money Buyer's remedy is determined by which box is checked |
A: The buyer may cancel or sue for specific damages If the Seller defaults the options are with the Buyer,they can cancel, sue for specific performance, or damages, or both. From Contract to Buy and Sell Real Estate: If Seller is in Default: Buyer may elect to treat this Contract as canceled, in which case all Earnest Money received hereunder shall be returned and Buyer may recover such damages as may be proper, or Buyer may elect to treat this Contract as being in full force and effect and Buyer shall have the right to specific performance or damages, or both. |
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The inclusions and exclusions section of the Residential form of the Contract to Buy and Sell calls for mandatory inclusion of a number of items. Which of the following are included only if checked? Parking & storage facilities as described in a condominium community Leased security systems Window coverings on the property the date of the sales contract Fireplace screens and grates |
A: Leased security systems Items likely to be leased such as security systems, water softeners, and satellite systems are included only if the appropriate box is checked. |
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Under the Contract To Buy & Sell Real Estate, if Buyer fails to notify Seller by the Loan Objection Deadline that Buyer wishes to terminate the contract because the terms of the loan are unsatisfactory: Buyer’s earnest money becomes nonrefundable Buyer must pay cash for the property Buyer cannot terminate the contract for any reason Seller must notify Buyer in writing that Buyer has forfeited the earnest money |
A: Buyer’s earnest money becomes nonrefundable From Contract to Buy and Sell Real Estate:Loan Conditions. If Buyer is to pay all or part of the Purchase Price with a New Loan, this Contract is conditional upon Buyer determining, in Buyer’s sole subjective discretion, whether the New Loan is satisfactory to Buyer, including its availability, payments, interest rate, terms, conditions, and cost of such New Loan. This condition is for the benefit of Buyer. Buyer shall have the Right to Terminate under § 25.1, on or before Loan Conditions Deadline (§ 3), if the New Loan is not satisfactory to Buyer, in Buyer’s sole subjective discretion. IF SELLER DOES NOT TIMELY RECEIVE WRITTEN NOTICE TO TERMINATE, BUYER’S EARNEST MONEY SHALL BE NONREFUNDABLE, except as otherwise provided in this Contract (e.g., Appraisal, Title, Survey). |
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In the Colorado Contract to Buy & Sell encumbrances to be paid by the seller: Must be paid prior to closing Must be paid at or before closing Must not be paid from proceeds from the sale of the property May be paid by the seller after closing |
A: Must be paid at or before closing The encumbrances must be paid by the Seller before the property can transfer. From the Contract to Buy/Sell Real Estate:PAYMENT OF ENCUMBRANCES. Any encumbrance required to be paid will be paid at or before Closing from the proceeds of this transaction or from any other source. |
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Fill in the blank. As per the Contract to Buy/Sell Real Estate: LEGAL FEES, COST AND EXPENSES. Anything to the contrary herein notwithstanding, in the event of any arbitration or litigation relating to this Contract, prior to or after Closing Date (§ x), the arbitrator or court must award to ______________________________, including attorney fees, legal fees and expenses. each party an equal share of reasonable costs and expenses the prevailing party damages the losing party all reasonable costs and expense the prevailing party all reasonable costs and expense |
A: the prevailing party all reasonable costs and expense Do not confuse litigation and arbitration with mediation. Mediation is a non-binding process and all parties share in the costs equally. Litigation and arbitration is binding and the prevailing party will be awarded costs and expense from the losing party. |
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The buyer notifies the seller in writing of a termination of the contract under the Loan Objection Deadline. What happens to the earnest money? The broker splits the money with the seller The broker must immediately return the money to the buyer The broker holds the money until there is mutual agreement to return the money to the buyer The buyer and the seller will mediate any disagreement about the earnest money |
A: The broker must immediately return the money to the buyer A buyer has until the Loan Objection Deadline to provide written notice s/he cannot get a commitment for a satisfactory loan and wants to terminate the contract. If s/he does provide such notice, the earnest money is refunded to the buyer. If the buyer does not provide such notice, the contract continues, but the buyer's earnest money becomes nonrefundable should s/he not receive a loan. |
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What is considered a proper response by the seller when he or she receives an offer from a buyer? checking an appropriate box, initialing the form, and submitting a counterproposal telling his or her broker to call the buyer and indicate acceptance writing "rejected" at the top and signing it at the bottom on the appropriate seller line telling his or her broker to call the buyer with a counteroffer |
A: checking an appropriate box, initialing the form, and submitting a counterproposal The seller may reject the offer and make a counteroffer by checking the box, initialing the form, and submitting a counterproposal form attached to the original offer. The buyer must be notified in writing of an acceptance. |
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The parties to a real estate transaction want to have the purchase and sale contract prepared by an attorney. Which of the following may prepare the contract? The broker's attorney The seller's attorney Either the buyer's attorney or the seller’s attorney A real estate commission attorney |
A: Either the buyer's attorney or the seller’s attorney A contract can be drawn up by either of the parties attorney. |
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The legal description in Purchase Contract Exercise 2, the Bob Cornish property purchase is: Lot 3, Block 6, Filing 1, Maple Subdivision, CIty of Aurora Lot 7, Block 4, Filing 3, Sunset Subdivision, City of Denver Lot 2, Block 4, Filing 1, Maple Subdivision, CIty of Arapahoe Lot 14, Block 10, Filing No. 3, Sunwood Subdivision, County of Denver |
A: Lot 14, Block 10, Filing No. 3, Sunwood Subdivision, County of Denver |
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A Seller signs an offer prior to the acceptance time and date. Before the offer is returned to the Buyer, the Buyer calls and withdraws the offer. This offer is: binding on all parties as it has already been signed prior to the acceptance time and date void and not binding as it was withdrawn before acceptance was communicated to the Buyer void, but the Buyer is in default and will forfeit the earnest money binding, the withdrawal must be in writing |
A: void and not binding as it was withdrawn before acceptance was communicated to the Buyer Standard contract law states that a contract must be signed and accepted to be binding. The Buyer has every right to withdraw an offer at no penalty before the signed contract was accepted. A signature alone is not sufficient to constitute valid acceptance: the accepting party must also communicate acceptance to the party who made the last offer or counteroffer. Since acceptance was not communicated, the purchase contract was not binding and either party could withdraw at no penalty. |
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A buyer has a signed Contract to Buy/Sell Real Estate to purchase a property for $200,000. Prior to close, $25,000 worth of damage occured. May he/she terminate the agreement? Yes, When the damage exceeds 10% of the agreed upon purchase price Yes, When the damage exceeds 5 % of the agreed upon purchase price. No, this is not a cause for termination Yes, damage in any form or amount prior to close or possession allows the buyer to terminate |
A: Yes, When the damage exceeds 10% of the agreed upon purchase price From the Purchase Contract: Causes of Loss, Insurance. In the event the Property or Inclusions are damaged by fire, other perils or causes of loss prior to Closing in an amount of not more than ten percent of the total Purchase Price (Property Damage), Seller shall be obligated to repair the same before Closing Date. Buyer has the Right to Terminate on or before Closing Date, if the Property Damage is not repaired before Closing Date or if the damage exceeds such sum. |
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What is a mandatory recommendation in the Contract to Buy/Sell Real Estate? Use of a home inspector Use of Legal Counsel Use of a surveyer to verify property boundaries Use of Legal and Tax Counsel |
A: Use of Legal and Tax Counsel Brokers are required to recommend use of legal and tax counsel to their clients. This is accomplished through the following verbiage: From the Contract to Buy/Sell Real Estate; RECOMMENDATION OF LEGAL AND TAX COUNSEL. By signing this Contract, Buyer and Seller acknowledge that the respective broker has advised that this Contract has important legal consequences and has recommended the examination of title and consultation with legal and tax or other counsel before signing this Contract. |
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When are faxed signatures acceptable on a Contract to Buy and Sell? never only during negotiation and not at closing as determined by the real estate commission if the parties agree and indicate this choice on the contract form |
A: if the parties agree and indicate this choice on the contract form According to the contract, parties are permitted to approve faxed signatures and either party may request original signatures at closing or earlier. |
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You answered this question correctly As per the Assignability and Inurement clause in the Contract to Buy/Sell Real Estate: Checking the "Is" box means the contract is assignable with the seller's prior written consent Checking the "Is" box means the contract is assignable without the seller's prior written consent |
A: Checking the "Is" box means the contract is assignable without the seller's prior written consent Assignability and Inurement. This Contract ___ Is ___ Is Not assignable by Buyer without Seller’s prior written consent. |
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Advocacy of the principal is a benefit of which of the following relationships? Buyer-agency Seller-agency Transaction brokerage buyer or seller agency |
A: buyer or seller agency Agency relationships create fiduciary duties that you don't have in a transaction brokerage relationship. To be an advocate for a principal, is one of those duties. |
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A Buyers right to a Specific Performance remedy in the event of a SELLER default in the Contract to Buy and Sell Real Estate: Is the default remedy and as such need not be selected Buyer default remedy is liquidated damages Not addressed in the contract Depends on which box is checked |
A: Is the default remedy and as such need not be selected Should the Seller default in the contract - the only remedy for the Buyer is Specific Performance. The Seller did not put up earnest money and thus cannot offer liquidated damages. |
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If a refrigerator fails prior to closing and after a contract has been accepted, according to the Colorado Contract to Buy & Sell the Seller must? Do nothing for the Buyer is at risk during this period May do nothing and the Buyer can replace it after closing and charge the Seller Must replace it with a new a refrigerator May replace it or repair it with a similar used refrigerator |
A: May replace it or repair it with a similar used refrigerator It is not necessary to replace it with a new one, but it must have similar features and be of approximately same age and condition. |
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In the Colorado Contract to Buy & Sell establishes a Loan Objection Deadline; if the buyer is getting a new loan. What is the effect of the deadline? The buyer must provide written commitment to the seller by that date The contract is contingent on actual funding of the new loan at closing If the buyer cannot get a satisfactory loan by that date, the contract terminates on that date If the buyer cannot get a satisfactory loan by that date, the buyer may terminate the contract with written notice to the seller |
A: If the buyer cannot get a satisfactory loan by that date, the buyer may terminate the contract with written notice to the seller A buyer has until the Loan Objection Deadline to provide written notice s/he cannot get a commitment for a satisfactory loan and wants to terminate the contract. If s/he does provide such notice, the earnest money is refunded to the buyer. If the buyer does not provide such notice, the contract continues, but the buyer's earnest money becomes nonrefundable should s/he not receive a loan. From the Contract to Buy/Sell Real Estate: Loan Objection. If Buyer is to pay all or part of the Purchase Price with a New Loan, this Contract is conditional upon Buyer determining, in Buyer’s sole subjective discretion, whether the New Loan is satisfactory to Buyer, including its availability, payments, interest rate, terms, conditions, and cost of such New Loan. This condition is for the sole benefit of Buyer. Buyer has the Right to Terminate on or before Loan Objection Deadline, if the New Loan is not satisfactory to Buyer, in Buyer’s sole subjective discretion. IF SELLER IS NOT IN DEFAULT AND DOES NOT TIMELY RECEIVE BUYER’S WRITTEN NOTICE TO TERMINATE, BUYER’S EARNEST MONEY WILL BE NONREFUNDABLE, except as otherwise provided in this Contract (e.g., Appraisal, Title, Survey). |
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Which of the following is true when a broker signs the Broker Acknowledgments at the end of the Residential Contract to Buy and Sell? The broker acknowledges receipt of the earnest money deposit. The broker becomes a party to the contract and agrees to its terms. The broker assures the right to a commission. The broker confirms the commission split with cooperating brokers. |
A: The broker acknowledges receipt of the earnest money deposit. The brokers' signatures acknowledge receipt of the earnest money deposit and confirm their brokerage relationship to the party with whom they are working |
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The details of a sales transaction are always governed by: the seller's desires expressed orally the terms of the executed sales contract the buyer and the buyer’s broker the title company and the seller’s broker |
A: the terms of the executed sales contract The purchase and sale contract and any counterproposal or amendments dictate the details of a sale transaction, not oral instructions. |
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An agent sells a mobile home. Its purpose will be a residence, with the transfer of real property. What kind of license is needed? Motor vehicle license Real estate license Mobile home dealer’s license Mobile home vehicle license |
A: Real estate license The sale of real property requires a real estate license. |
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What qualifies as "Good Funds"? credit union check title company account check cashier's check cash |
A: cashier's check From the Contract to Buy/Sell Real Estate: Good Funds. All amounts payable by the parties at Closing, including any loan proceeds, Cash at Closing and closing costs, must be in funds that comply with all applicable Colorado laws, including electronic transfer funds, certified check, savings and loan teller’s check and cashier’s check (Good Funds). |
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Who is responsible for the cost of Mediation? The buyer The seller The losing party Split equally between buyer and seller |
A: Split equally between buyer and seller MEDIATION. If a dispute arises relating to this Contract, prior to or after Closing, and is not resolved, the parties must first proceed in good faith to submit the matter to mediation. Mediation is a process in which the parties meet with an impartial person who helps to resolve the dispute informally and confidentially. Mediators cannot impose binding decisions. The parties to the dispute must agree, in writing, before any settlement is binding. The parties will jointly appoint an acceptable mediator and will share equally in the cost of such mediation. The mediation, unless otherwise agreed, will terminate in the event the entire dispute is not resolved within thirty days of the date written notice requesting mediation is delivered by one party to the other at the party’s last known address. This section will not alter any date in this Contract, unless otherwise agreed. |
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As per the Contract to Buy/Sell Real Estate Mediation shall terminate in the event the entire dispute is not resolved within how many days of written notice requesting mediation delivered by one party to the other at the party's last known address? 10 30 45 60 |
A: 30 MEDIATION. If a dispute arises relating to this Contract, prior to or after Closing, and is not resolved, the parties must first proceed in good faith to submit the matter to mediation. Mediation is a process in which the parties meet with an impartial person who helps to resolve the dispute informally and confidentially. Mediators cannot impose binding decisions. The parties to the 650 dispute must agree, in writing, before any settlement is binding. The parties will jointly appoint an acceptable mediator and will share equally in the cost of such mediation. The mediation, unless otherwise agreed, will terminate in the event the entire dispute is not resolved within thirty days of the date written notice requesting mediation is delivered by one party to the other at the party’s last known address. This section will not alter any date in this Contract, unless otherwise agreed. |
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What is the effect of a Loan Objection Deadline when specified in an approved Residential Contract to Buy and Sell? If the buyer cannot get a satisfactory written loan commitment by that date, the buyer may terminate the contract upon written notice to the seller. The contract is contingent on actual funding of the new loan at closing. If the buyer cannot get a satisfactory written loan commitment, the contract terminates on that date. The buyer must provide the written commitment to the seller by that date or he will be in default. |
A: If the buyer cannot get a satisfactory written loan commitment by that date, the buyer may terminate the contract upon written notice to the seller. A buyer has until the Loan Objection Deadline to provide written notice s/he cannot get a commitment for a satisfactory loan and wants to terminate the contract. If s/he does provide such notice, the earnest money is refunded to the buyer. If the buyer does not provide such notice, the contract continues, but the buyer's earnest money becomes nonrefundable should s/he not receive a loan. From the Contract to Buy/Sell Real Estate: Loan Objection. If Buyer is to pay all or part of the Purchase Price with a New Loan, this Contract is conditional upon Buyer determining, in Buyer’s sole subjective discretion, whether the New Loan is satisfactory to Buyer, including its availability, payments, interest rate, terms, conditions, and cost of such New Loan. This condition is for the sole benefit of Buyer. Buyer has the Right to Terminate on or before Loan Objection Deadline, if the New Loan is not satisfactory to Buyer, in Buyer’s sole subjective discretion. IF SELLER IS NOT IN DEFAULT AND DOES NOT TIMELY RECEIVE BUYER’S WRITTEN NOTICE TO TERMINATE, BUYER’S EARNEST MONEY WILL BE NONREFUNDABLE, except as otherwise provided in this Contract (e.g., Appraisal, Title, Survey). |
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If items listed in the Inclusions and Exclusions Section of of the Contract to Buy and Sell Real Estate are not a part of the property, the broker should: do nothing, if the listing item is not on the property as of the date of the contract, it is not included nor necessary to cross it out cross out the items to show they are not included if not crossed out the seller could be obligated to install the item check the appropriate box |
A: do nothing, if the listing item is not on the property as of the date of the contract, it is not included nor necessary to cross it out The Inclusions section lists a number of items which may or may not be a part of the property. Just being in this list does not mean the item is a part of the property. These items are included "if on the Property whether attached or not on the date of this Contract". This means a listed item is only included if it was a part of the property on the date of the purchase agreement. |
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According to the buy and sell contract; a copy of covenants governing a condominium must be delivered to the purchaser: Upon closing Upon making a loan application On or before Association Documents Deadline Upon delivery of possession |
A: On or before Association Documents Deadline Homeowners’ Association Documents. The term Association Documents consists of all owners’ associations (Association) declarations, bylaws, operating agreements, rules and regulations, party wall agreements, minutes of most recent annual owners’ meeting and minutes of any directors’ or managers’ meetings during the six-month period immediately precedingthe date of this Contract, if any (Governing Documents), most recent financial documents consisting of (1) annual balance sheet, (2) annual income and expenditures statement, and (3) annual budget (Financial Documents), if any (collectively, Association Documents). |
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As per the Mediation clause in the Contact to Buy/Sale Real Estate: "The mediation, unless otherwise agreed, will terminate in the event the entire dispute is not resolved within _________ days of the date written notice requesting mediation is delivered by one party to the other at the party’s last known address. 30 45 60 90 |
A: 30 |
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When a seller decides to counter an offer presented to him, which is true? Seller should sign the original offer as well as the counter offer Seller should not sign either the original offer or the counter offer Seller should sign only the counter offer Seller should sign the original offer only |
A: Seller should sign only the counter offer To counter: the seller initials the original offer by the box he/she checked indicating it is countered. The seller does not sign the original offer (that would constitute acceptance). The seller's agent then indicates the counter offer on a Counter Proposal form. The sellers signs the Counter Proposal form. The original offer and Counter Proposal are returned to the buyer or buyer's agent. |
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According to the Contract to Buy and Sell Real Estate earnest money is held on behalf of: Seller Buyer Buyer and Seller Seller and Broker |
A: Buyer and Seller As per the contract to buy and sell real estate: Earnest Money. The Earnest Money set forth in this section, in the form of _________________________________, is part payment of the Purchase Price and shall be payable to and held by _________________________________________________ (Earnest Money Holder), in its trust account, on behalf of both Seller and Buyer. |
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As per the Assignability and Inurement clause in the Contract to Buy/Sell Real Estate: Checking the "Is Not" box means the contract is not assignable Checking the "Is Not" box means the contract is not assignable without the seller's prior written consent |
A: Checking the "Is Not" box means the contract is not assignable without the seller's prior written consent Assignability and Inurement. This Contract ___ Is ___ Is Not assignable by Buyer without Seller’s prior written consent. |
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What is typically not negotiable in the Contract to Buy and Sell Real Estate closing service fee mediation fee appraisal fee title fee |
A: mediation fee The purchase contract indicates that should there be a legal dispute between buyer and seller, the first legal recourse is mediation and both both parties will split the fee equally regardless of who prevails. From the Contract to Buy and Sell: MEDIATION. If a dispute arises relating to this Contract, prior to or after Closing, and is not resolved, the parties shall first proceed in good faith to submit the matter to mediation. Mediation is a process in which the parties meet with an impartial person who helps to resolve the dispute informally and confidentially. Mediators cannot impose binding decisions. The parties to the dispute must agree, in writing, before any settlement is binding. The parties will jointly appoint an acceptable mediator and will share equally in the cost of such mediation. The mediation, unless otherwise agreed, shall terminate in the event the entire dispute is not resolved within thirty days of the date written notice requesting mediation is delivered by one party to the other at the party’s last known address. This section shall not alter any date in this Contract, unless otherwise agreed |
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The "Additional Provisions" section of the Contract to Buy and Sell Real Estate may include: Personal provisions of the listing broker on the client''s behalf Confirmation of the commission split to the cooperating brokerage firm Exculpatory language protecting the brokerage firm Transaction specific items resulting from negotiations or instructions of the parties to the contract |
A: Transaction specific items resulting from negotiations or instructions of the parties to the contract The additional provisions sections is a blank area in which Brokers have broad discretion to enter any necessary language. However, the clauses inserted must be a product of the buyers and sellers negotiation and not language, for example, benefiting the Broker. Reference Commission Rule F |
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If the buyer and seller have not reached a resolution on inspection issues by the Inspection Resolution Deadline the contract will terminate: one day following the resolution deadline. on the expiration of the resolution deadline. one day following the objection deadline. on the objection deadline. |
A: on the expiration of the resolution deadline. The Buyer solely determines if the condition of a property is satisfactory or not. Although the Buyers normally will list items they wish the Seller to address; they are not required to do so. The Buyer can simply terminate the contract should they so desire. Should the Buyer submit items to correct to the Seller, the Seller has until a resolution deadline to come to a negotiated agreement regarding the items with the Buyer. If a satisfactory agreement is not reached, the contract will terminate automatically on the deadline unless the Buyer withdraws the objections. |
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You answered this question correctly On the Commission-approved purchase and sale agreement regarding remedies in the event of a buyer default; if no box is checked what is the default? no default - a judge will have to decide the liquidated damages clause is automatically in effect the buyer cannot sue for specific performance the seller can sue for specific performance |
A: the liquidated damages clause is automatically in effect On the commission approved purchase and sale agreement form; if the specific performance box is not checked the liquidated damages clause is automatically in effect.If Buyer is in Default:___ Specific Performance. Seller may elect to treat this Contract as canceled, in which case all Earnest Money (whether or not paid by Buyer) will be paid to Seller and retained by Seller; and Seller may recover such damages as may be proper; or Seller may elect to treat this Contract as being in full force and effect and Seller has the right to specific performance or damages, or both.Liquidated Damages, Applicable. This applies unless the box above is checked. AllEarnest Money (whether or not paid by Buyer) will be paid to Seller, and retained by Seller. Both parties will thereafter be released from all obligations hereunder. It is agreed that the Earnest Money specified is LIQUIDATED DAMAGES, and not a penalty, which amount the parties agree is fair and reasonable and (except as provided in §§ xx.x), said payment of Earnest Money is SELLER’S ONLY REMEDY for Buyer’s failure to perform the obligations of this Contract. Seller expressly waives the remedies of specific performance and additional damages. |
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In the Contract to Buy/Sell Real Estate (AKA the purchase contract), who is responsible for the cost of the appraisal? Buyer Seller Split between all parties to the contract Negotiable |
A: Negotiable Who pays what in the purchase contract is always a matter of negotiation. Although there are traditions that we follow, such as the Seller paying for Title Insurance, this is custom and not law. Neither the Real Estate Commission or State Statutes will tell a Buyer or Seller what they must pay. That is between the buyer and the seller. From the real estate contract: Cost of Appraisal. Cost of any appraisal to be obtained after the date of this Contract must be timely paid by ___ Buyer ___ Seller. The cost of the appraisal may include any and all fees paid to the appraiser, appraisal management company, lender's agent or all three. |
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The Colorado Contract to Buy & Sell states that "time is of essence hereof". This statement means that: All dates and deadlines must be performed within a reasonable margin of the stated time or date Everything not done by closing will be waived Everything in the contract must be complete within one year Dates and deadlines will be strictly interpreted |
A: Dates and deadlines will be strictly interpreted The legal phrase is that timing is important to the contract, and every date and deadline must be taken care of on or before that time. |