In Colorado, a 'land bank' addendum to the CBS contract is used when:
Why B. The buyer is purchasing bank-owned (REO) or foreclosed property from a lender, who often uses their own addendum that modifies standard CBS terms Is Correct
Answer B: B. The buyer is purchasing bank-owned (REO) or foreclosed property from a lender, who often uses their own addendum that modifies standard CBS terms
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.
People Also Study
Related Colorado Questions
- In a Colorado commercial real estate transaction, the contract most often used is:Contracts
- Under the Colorado Contract to Buy and Sell, the 'Closing Date Extension' addendum is used when:Contracts
- Colorado's 'Water Rights' addendum to the Contract to Buy and Sell is used when:Contracts
- Colorado's 'New Construction Addendum' to the Contract to Buy and Sell is used when:Contracts
- A Colorado property owner grants their neighbor the right to cross their land to access a lake. This is an example of:Property Ownership
- A Colorado property owner grants an easement for a power line across their land. This type of easement, held by the utility company, is called:Property Ownership
- A Colorado real estate broker shows buyers only homes in certain neighborhoods based on their race. This practice is called:Fair Housing
- A Colorado property is sold for $525,000 with a 5.5% commission. The listing broker and buyer's broker split the commission 50/50. The listing associate receives 60% of their office's share. How much does the listing associate earn?Real Estate Math
Key Terms to Know
A legally binding contract between a buyer and seller that outlines the terms and conditions of a real estate sale.
Short SaleA sale of real property where the sale proceeds are less than the outstanding mortgage balance, requiring lender approval.
Debt-to-Income Ratio (DTI)A lender's measure of a borrower's monthly debt obligations relative to their gross monthly income, used to evaluate loan eligibility.
Earnest MoneyA deposit made by the buyer when submitting a purchase offer, demonstrating serious intent and serving as consideration for the contract.
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 →