In Colorado, a 'contingency' in a real estate contract means:
Why B. A condition that must be met for the contract to remain binding; if not met, either party (per the contract terms) may terminate Is Correct
Answer B: B. A condition that must be met for the contract to remain binding; if not met, either party (per the contract terms) may terminate
Exam Tip: Contracts
Contract questions frequently test the essential elements required for a valid contract. Remember: competent parties, mutual consent, lawful object, and sufficient consideration. Watch for void vs. voidable distinctions.
Key Contracts Terms in This Question
A deposit made by the buyer when submitting a purchase offer, demonstrating serious intent and serving as consideration for the contract.
ContingencyA condition in a purchase contract that must be satisfied before the sale can proceed to closing.
AppraisalA professional estimate of a property's market value prepared by a licensed or certified appraiser.
People Also Study
Related Colorado Questions
- Under the Colorado Contract to Buy and Sell, the 'inspection objection' provision allows the buyer to object to conditions discovered during inspection. The seller's response options include all of the following EXCEPT:Contracts
- In Colorado, an earnest money deposit in a real estate contract is best described as:Contracts
- Under the Colorado Contract to Buy and Sell, 'earnest money' is typically held by:Contracts
- The Colorado Contract to Buy and Sell's 'Appraisal Condition' (Appraisal Objection Deadline) allows the buyer to terminate if:Contracts
- In Colorado, two unmarried people purchase a home with equal ownership shares and the right of survivorship. They hold title as:Property Ownership
- The principle of 'highest and best use' in Colorado appraisal means:Property Valuation
- Which form of concurrent ownership in Colorado does NOT include the right of survivorship?Property Ownership
- When a Colorado property is sold at a foreclosure sale, the deed conveying title to the buyer is typically a:Escrow & Title
Key Terms to Know
A condition in a purchase contract that must be satisfied before the sale can proceed to closing.
Earnest MoneyA deposit made by the buyer when submitting a purchase offer, demonstrating serious intent and serving as consideration for the contract.
Purchase AgreementA legally binding contract between a buyer and seller that outlines the terms and conditions of a real estate sale.
AppraisalA professional estimate of a property's market value prepared by a licensed or certified appraiser.
Math Concepts
Study This Topic
Practice More Colorado Real Estate Questions
1,400+ questions covering all exam topics. Start free — no signup required.
Take the Free Colorado Quiz →