Top 4 Dumbest Real Estate Contract Clauses and What you Can do About them & Hot New Listings
Segment 4
What are some of the clauses in our state real estate contract that you think are really dumb and what can home sellers do about it?
The state regulatory agency, DORA, does not require agents to explain contracts.
Take Time to Go Over Every Real Estate Contract with My Clients
A real estate purchase and sale is one of the largest financial transaction
Most agents struggle to explain them
All agents are licensed to “practice law” in real estate by “filling out” the forms given to us by the state regulatory agency.
All licensed agents are required to use the same forms
They are legal documents that have legal ramifications
Builders do NOT use the state forms
State Contracts are Buyer Friendly
Buyers have places in the contract to terminate over:
They don’t like Title Work
They don’t like Homeowners Insurance
They don’t like the Inspection
They don’t like the Appraisal
They don’t like the Survey
They don’t like the Due Diligence Documents
They don’t like the HOA rules
They don’t like their Loan
Their Sale Contingency did not work out
They don’t HAVE to release their Earnest Deposit!
Some People Lie Their Way into Contracts
Got a Backup Contract
#1 Dumb Contract Provision built into the state contract and closing instructions:
If Earnest NOT Released! Title won’t insure / close with another buyer fear of a potential lien!
Option: Make it Non-Refundable after X
#2 Dumb Contract Clauses:
Copies of any ILC`s or surveys, building plans, well tests and/or reports and/or permits, copies of any reports or receipts for radon, methamphetamine, or mold remediation that have been done for this property.
Copies of receipts and/or reports for any insurance claims that have been made for this property.
Copies of building plans for any additions and/or alterations made for this property.
Any other documentation and/or disclosures in the seller's possession that could affect the future value of the property and/or the buyer`s ownership and/or use of the property.
# 3 Lawyer Written Appraisal “Guarantees”
Lawyers Love a Fight!
Anytime there is doubt there is risk!
# 4 Owners Extended Coverage – Lack of Clarity
HOT NEW LISTINGS!
2339 Drakestone Dr, Colorado Springs, CO $315,000
a.Adorable ranch, nice back yard, 3 beds, 2 baths, 2 car
2185 Wagon Gap Trl, Monument Co, $525,000, stunning two story with amazing views.
7820 Cyprus Rd, Colorado Springs, CO Low $600s, remodeled rancher on 2 acres with a 4 car garage
15525 Benchley Dr, 80921, $550,000
4951 W Cliff Point Cir 80919, $799,999
Sunrise Cir, Woodland Park, CO, $899,999, RV Garage
Sneak Peek: Luxury Ln Monument area Townhome, Masters on two levels, 4 decks all with views
27 Bonfoy Ave, $249,999, Needs a little work but..Has a cottage that is rented.
You can reach me at 719 301 3900