Garfield & Hecht

II. Contract to Purchase.

Typically, you will make an offer to purchase property by submitting a form approved by the Colorado Real Estate Commission called a Contract to Buy and Sell Real Estate (All Types of Properties). It is compulsory for all real estate brokers licensed by the State of Colorado to use this form and it contains the basic terms of the transaction, including party names, purchase price, financing arrangements, legal property description, and possession date. A broker must also attach certain supplemental, Commission-approved forms to the standard sales contract as appropriate to the transaction or circumstance. For example, a broker is required to attach the Source of Water Addendum to all sales contracts and the Lead-Based Paint Disclosure if the residential dwelling was built prior to 1978. Because all of your rights and obligations in the purchase will be governed by the contract, it is important that it protects your interests. You should consult your attorney before you sign the contract. Additionally, your attorney should supplement the standard contract form with additional provisions to address your particular circumstances.

If your purchase involves significant contingencies, multiple properties, unique representations and warranties, post-closing obligations, or specialized due diligence and remedy provisions, it may be beneficial to have your attorney draft a contract that is more particular to your transaction. Your attorney is not restricted by the Colorado Real Estate Commission to use the Commission-approved sales contract or supplemental forms.