Colorado 2016 CREC Approved Contract to Buy & Sell (CBS1) is modified

At the most recent Colorado Real Estate Commission ("Commission") meeting held on December 7, 2015, the Commission directed the Forms Committee to make a minor correction to section 2 on the 2016 Contract to Buy and Sell (Residential).  During the editing process, a sentence found in provision 2.5.1 was mistakenly modified.  This error was made only to the CBS1; none of the other sales contracts are affected.  As of December 8, the updated CBS1 has been posted on the Division's website.  Beginning January 1, please ensure you are utilizing the corrected version of the CBS1.  The following red font language was inserted back into the CBS1: 

2.5.1. Inclusions - Attached.  If attached to the Property on the date of this Contract, the following items are included unless excluded under Exclusions: lighting, heating, plumbing, ventilating and air conditioning units, TV antennas, inside telephone, network and coaxial (cable) wiring and connecting blocks/jacks, plants, mirrors, floor coverings, intercom systems, built-in kitchen appliances, sprinkler systems and controls, built-in vacuum systems (including accessories), garage door openers (including _______ remote controls). If checked, the following are owned by the Seller and included (leased items should be listed under Due Diligence Documents):  None   Solar Panels   Water Softeners    Security Systems   Satellite Systems (including satellite dishes). If any additional items are attached to the Property after the date of this Contract, such additional items are also included in the Purchase Price.

The Commission also provided clarification as to the proper settlement forms required to be kept in the broker's property transaction file.  Pursuant to section 12-61-113(1)(h), C.R.S., and Commission rule E-5, a real estate broker must provide the purchaser and seller of real estate with a closing/settlement statement of the transaction.  The Commission provided clarification for brokers engaging the services of a title entity.  If the title entity preparing the closing documents on behalf of the broker is using a closing/settlement statement other than the Commission approved form (SS60-9-08), the broker must ensure that form accurately and completely details the financial terms of the transaction as it applies to the party with whom the brokerage relationship has been established. Further, the broker is responsible for ensuring the title created closing/settlement form satisfies the requirements of Commission rule E-5 and must retain the form in the broker's transaction file for a period of four (4) years.  However, a real estate broker personally preparing the closing documents and conducting the closing "in-house" must complete the Commission approved Seller/Buyer Closing Statement form (SS60-9-08).  As a reminder, the Closing Disclosure form mandated under the TILA-RESPA Integrated Disclosure rule is a lender form and is not required to be kept in the broker's property transaction file.

Written and Published by: VanEd

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