The Colorado purchase agreement is a real estate form implemented when a seller and buyer engage in the exchange of property for a monetary payment. Within the content of the document, certain stipulations and conditions can be made in order to appease both parties’ desires. Generally speaking, the buyer will offer an earnest money deposit to assure the seller that they are committed to following through with the agreement. Once all the necessary sections of the form have been fulfilled, the contract becomes legally binding and enforceable by law.
Common Interest Community (§ 38-35.7-102) – If the residence being sold is part of a common interest community, the seller must make sure that the following disclosure statement is included within the content of the sales contract.
Green Disclosure (Form GD31-9-12) – Allows the seller to disclose any facts regarding the energy efficiency of the property’s features. (There is no current statute within Colorado Law that states that this form needs to be executed, but it is recommended.)
Lead-Based Paint Disclosure (42 U.S. Code § 4852d) – Exclusively required for homes built prior to 1978, this disclosure insists that the seller report all known lead paint hazards to the prospective buyer and provide an EPA-approved pamphlet pertaining to the noxious material.
Oil & Gas Activity (§ 38-35.7-108) – If the property is subject to the commission’s jurisdiction, the transferor is required, by law, to insert this disclosure statement within the purchase agreement prior to execution.
Potable Water Source (§ 38-35.7-104) – Person(s) selling the home must disclose the source of potable water used within the property, which includes one of the following options:
- Well (If available, the seller should attach a copy of the current well permit within the disclosure.)
- Water Provider (Must include the company’s name, address, telephone number, and website.)
- If neither well or water provider, write a description of the alternative source.
(This disclosure may also be fulfilled within the Seller’s Residential Property Disclosure listed below.)
Seller’s Residential Property Disclosure (Form SPD19) – This form allows the individual(s) selling the home to disclose any pertinent facts related to the property. It also encompasses the following legally required disclosures:
- Methamphetamine Laboratory (§ 38-35.7-103(3)(a)) – If the seller is aware that the property they own was once used to manufacture the illegal narcotic methamphetamine, they must furnish the prospective buyer with a written disclosure detailing all related information.
- Transportation Projects (§ 38-35.7-105) – If applicable, an individual who is selling a residential property must disclose any information concerning transportation projects that may have an impact on the real estate.
Special Taxing Districts (§ 38-35.7-101) – All residential purchase agreements in the state of Colorado must contain this disclosure statement in boldface font (included within the purchase agreement above).
Colorado Real Estate Commission – Adobe PDF