Jon Goodman hosts a monthly Webcast, a 5 to 10 minute webinar for real estate brokers of topical wisdom. Its FREE! There is no CE credit. Our goal is to give you insight into cutting-edge topics tossed out by the ever changing market and law. If you are interested in receiving an email alert when a new webcast is available, please sign up here Subscribe to jon Goodman’s Webcast.
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Past Topics & Recordings:
Jon Goodman’s Employing Broker Webinar– Frascona, Joiner, Goodman and Greenstein, P.C., Attorneys at Law, A Colorado Law Firm
2/20/24: Is Buyer’s Termination Over “Loan Availability” Legit? What happens when a seller and a buyer disagree over whether the buyer’s termination of a contract due to lack of “loan availability” is legit? Watch this video to learn the four-step process to resolve these fights. This webcast links to other relevant webcasts: “Loan Termination” Splits in Two; Buyers Using Contingencies for Purposes Other than they were Intended; Earnest Money Release Revolution and one article on Mediation.
1/2/24: Subject-To Transaction (III) – “How-To” for Common Styles of Subject-To Transactions. Watch this video to learn about the common styles of subject-to transactions and some the different risks of the common types of subject-to transactions.
11/30/23: Subject-To Transaction (II) – Learning the Jargon and the Key Deal Points. This webcast is our second installment of our series about subject-to transactions. In it we explain the jargon and the major deal points of subject-to transactions. This webcast sets the stage for discussing risk management and the potential illegalities of some styles of subject-to transactions.
10/31/23: Subject-To Transaction (I) – Understanding the Concept + Buyer and Seller Motivations. The rapid rise in interest rates in 2022-2023 have made “subject-to” transactions trendy. Watch this video to get a general understanding of subject-to deals and the reasons why they might be mutually beneficial to a buyer and a seller. This is the first installment of our series of webcasts on subject-to transactions. Later videos explore some of the key deal points for subject-to transactions and the legalities (and potential illegalities) of different subject-to deal structures.
10/9/23: Renegotiating a Commercial Lease. Learn about the common “cards” that commercial tenants and commercial landlords can play when tenants seek to renegotiate commercial leases.
9/12/23: Using the Foreclosure Protection Act Contract to Buy & Sell Real Estate. Once you determine that you must use the Foreclosure Protection Act version of the Colorado Contract (see: Must I Use Colorado Foreclosure Protection Act form for the sale of all CO foreclosure property?) watch this video to learn how to complete the form.
7/12/23: Hail Storm (or other calamity) Just Before Closing. Watch this video to learn the how to cope with a fire, flood, hail storm or other calamity that occurs before closing, but after the Inspection Resolution Deadline.
6/15/23: Must I Use Colorado Foreclosure Protection Act form for the sale of all CO foreclosure property? The video encourages you to review the Colorado Division of Real Estate’s flow chart describing when to use the Colorado Foreclosure Protection Act Contract here. If you come to the same answer with the Division’s flow chart and the information in this video, then you are probably right. If you produce different answers, you should consult an attorney.
Must I Use Colorado Foreclosure Protection Act form for the sale of all CO foreclosure property? No.
Watch this video and learn when deals are:
• “Cold” enough so that you do not need to use the form at all,
• Too “hot” for a broker to write up the contract, and
• “Just right” for the Colorado Division of Real Estate’s Colorado Foreclosure Protection Act form.
For the Division’s more general description of the Colorado Foreclosure Protection act, follow this link.
5/23/23: When I List a Property that is in Foreclosure, must I Disclose the Foreclosure? The answer depends on the situation. Regardless of whether the listing broker must disclose, there are situations in which it may be in the seller’s best interest to disclose. Learn how to distinguish between situations when you should disclose versus situations when you need not disclose.
4/21/23: Avoiding Fraudulent Personal Property Agreements. Side agreements for personal property can be fraudulent. Learn how to avoid fraudulent side agreements for personal property.
3/9/23: Buyers Impose their Leverage on Replacement Home Contingencies. My Buyer will accept the Seller’s replacement home contingency so long as the Buyer can stick a fork in the deal if the Seller fails to go under contract to buy a replacement home by a deadline. Can the contract provide for this? Yes, learn how by watching this video.
2/7/23: I Don’t Want to Buy my Client’s Home, But Might Agree to do so Just to Make a Deal. Brokers can provide value to a client by acting as a buyer-of-last-resort of the client’s “old house.” Generally, brokers seek to avoid being that buyer-of-last-resort and seller would prefer to sell the property to a market buyer (who would tend to pay more for the property). Do Colorado regulations allow a listing broker to be that buyer-of-last resort while still marketing the property hoping to find a better buyer from the open market? Yes. Learn how to do this by watching this video.
1/5/23: Managing Seller Risks of Conditional Offers. In a balanced market, more sellers are choosing to accept offers from buyers who need to close on a sale of another property before closing on the purchase of the seller’s property. Deals with the CREC a “Conditional Sale Deadline” leave Sellers strung out until the buyer closes on the sale of the “old home” by the Conditional Sale Deadline. The buyer of the new home is unlikely to close unless the buyer of the new home is under contract to sell the old home by some deadline. Can listing brokers write deals giving the seller of the new home leverage to move on to other buyers should the first buyer of the new home fail to go under contract, and stay under contract, to sell the old home by a deadline? Yes! Learn how by watching this video.
12/9/22: Can Brokers Write Residential Contracts Calling for Seller-Carry Financing? Yes, learn how by watching this video.
7/26/22: Two Common Mistakes with Mineral Rights. Avoid two mineral rights malpractice traps for listing brokers.
7/15/22: You represent the Buyer and the Seller refuses to close. Sometimes granting an extension or other accommodation of the breaching side lets the defaulting party off the hook. Learn what to do (beyond the basics of demonstrating that your buyer is ready, willing and able to close).
6/24/22: You Represent the Seller that is Refusing to Close. Imagine that a week before closing your seller announces the seller will not close. Learn how to handle the situation when your client is the side that seems to be breaching the contract.
6/8/22: Seller Can Reject Full Price Offers. If a seller receives a full price, 100% cash offer with proof of buyer funds, is the seller obligated to accept that offer? The answer is probably no, but the seller probably owes the listing broker a commission. Learn about the factors that might influence you to pursue the commission.
12/6/21: Brokers Might Get to Rest Before Midnight. The new “Time of Day Deadline” allows parties to establish the end of the day for most (but not all) deadlines in the Colorado Real Estate Commission contract to buy and sell. Learn about the exceptions.
12/2/21: “Loan Termination” Splits in Two. The pre-2022 “Loan Termination Deadline” is splitting into two concepts: the New Loan Terms Deadline & the New Loan Availability Deadline. This gives seller the ability to push for an earlier Terms Deadline, while allowing buyers to have a later Availability Deadline. Time will tell whether the market will take advantage of the distinction. And loan terms and loan availability are so intertwined—it remains to be seen whether the distinction between the two concepts will hold up in skirmishes and court.
11/23/21: New Water Rights and Mineral Rights Examination Deadlines. How have we previously survived without these deadlines? Because water rights and mineral rights are real property and buyers could object based upon the title objections. Adding in the new deadlines raises questions about how the new deadlines interact with the other title related contingencies in the contract. Also, learn about the new concept of a “Examination” deadline (which isn’t the same thing as an “Objection” or “Termination” deadline).
11/17/21: Inspection Objection/Inspection Termination. Once a buyer submits and Inspection Objection, and before the contract dies naturally after the Resolution Deadline passes without a resolution, can the buyer kill the deal before the end of the Inspection Resolution Deadline? If the form is filled out the way the drafters intend, then the answer to this question is “no.” The form drafters intend that once a buyer makes an Inspection Objection, then the Buyer must play out inspection resolution process. But what happens if the blanks in the contract specifies an Inspection Termination Deadline that is after the Inspection Objection Deadline? Which controls, the pre-printed language in the form, or the dates in the Dates and Deadlines chart? Learn how to avoid confusion.
8/23/21: Managing Risks with Seller Post-Closing Occupancy Agreements. Buyers would like to avoid the risks of allowing a seller to remain in the property after closing. Yet sometimes the buyer needs to allow the seller to remain in the property to induce the buyer to accept buyer’s offer. Watch this video to learn the buyer-side risks of seller lease backs and post-closing occupancy agreements, and how to manage those risks.
11/2/20: Due-on-Transfer Risk in an Era When Rates Cannot Decline. The current conventional wisdom is that so long a lender is receiving payments, the lender will not call a loan in default just because the borrower conveyed title, without paying off the debt, in violation of “due-on-transfer” clauses in the mortgage. That conventional wisdom is based, however, on experiences born out of our 35 year history of declining interest rates. If rates were to ever increase, to say 4.5% (a 50% increase from current rates), might holders of debt become more proactive in hunting for low yielding 3% mortgages to call due? Learn more by watching this webcast.
10/9/20: Don’t Give Up Your Clout Too Soon. In tight inventory markets, sellers sometimes want to kick a buyer out of the deal because, for example, the buyer’s proof of funds or loan commitment disappoints. But once a buyer has a contract, the buyer has the upper hand. The seller will have a challenge kicking an assertive buyer out of a deal. Sellers should address buyer qualifications before going under contract, not in a counterproposal.
9/25/20: What Listing Brokers Need to Know about Disclosure of a Seller’s Security Cameras and Listening Devices. Colorado has a statute that can make it illegal for a seller to listen in on conversations among buyers or buyers and their brokers touring a property. Learn how to manage the disclosure issues.
9/2/20: Consequences to Buyer for Applying for a Higher LTV Loan than shown in the offer. Learn how the buyer is exposed to claims that the buyer has breached the contract if the buyer applies for a lower LTV loan than the one reflected in the §4 chart in the contract.
3/30/20: Idea for a One Size Fits All Colorado Coronavirus COVID-19 Contract Clause. This is the sixth video in our six part series on Coronavirus COVID-19 identifying an approach for a “one-size-fits-all” Coronavirus COVID-19 contract clause in Colorado. If you seek to have us provide such clauses to you as your lawyer, then please contact Andrea Webster at 303-494-3000 to schedule an appointment.
3/27/20: Coronavirus COVID-19 Clauses that Dovetail with the CREC System. This is the fifth video in our six part series on Coronavirus COVID-19 providing solutions for managing Coronavirus COVID-19 risks in the Colorado Real Estate Commission form system. If you seek to have us provide such clauses to you as your lawyer, then please contact Andrea Webster at 303-494-3000 to schedule an appointment.
3/26/20: Force Majeure and Coronavirus COVID-19. This is the fourth video in our six part series on Coronavirus COVID-19 identifying general concepts about Force Majeure and impossibility of performance in Colorado as those concepts relate to Coronavirus COVID-19.
3/25/20: General Considerations for Coronavirus COVID-19 Contract Clauses. This is the third video in our six part series on Coronavirus COVID-19 identifying the general issues for creating and reviewing Coronavirus COVID-19 clauses.
3/24/20: What Should I Try to Add to Deals Already Under Contract? This is the second video in our six part series on Coronavirus COVID-19. It provides a process for addressing contract issues for deals that are already under contract (without COVID-19 clauses).
3/23/20: Must I Disclose that an Occupant had Coronavirus (COVID-19)? This is the first video in our six part series on Coronavirus COVID-19 addressing a frequently asked question. The remaining five videos address contract clauses to manage Coronavirus COVID-19 risks.
2/27/20: Resurrecting a Dead Contract with Agreement to Revive Contract. Learn when to use the Agreement to Revive Contract form, how to use it and when not to use it. Should you be interested in the law firm’s clause library and addenda package after watching this video, you may read more about it and order it here.
1/13/20: Selling your Value without Getting in Trouble. Many buyers expect their broker to evaluate whether the buyer can change the property post-closing. Examples include whether the buyer can:
- Bring horses on the property
- Use it for VRBO or Airbnb
- Convert a large historical house into a commercial office use
- Convert a warehouse into an indoor marijuana grow operation.
These evaluations cause more than their share of broker liability. Learn how to:
- Help buyers while avoiding the unauthorized practice of law.
- Use the law firm’s clause library to reduce these risks.
Please visit the following link for a complete explanation and order form for the 2020 Standard Addenda Package.
12/4/19: NAR’s Clear Cooperation Policy. Sellers will no longer be able to waive MLS rules that require listing brokers to promptly submit listings to the MLS. Brokers must enter the property into the MLS within one business day after the property is “publically marketed.” Learn how this rule will affect your business model and get a sense of some of the flexibility that local MLS’s will have in adopting this new rule.
10/30/19: Avoiding Seller “Blank Check Risk” For Inspection Resolutions. Any time a seller agrees to repair something for a buyer, there is the risk that the repair will cost much more than the seller expects. Learn the pros and cons of the five basic options for protecting your seller against that risk.
8/30/19: When to be Cruel to be Kind. You are successful partly because you have an inclination to help people. Yet sometimes your desire to help hurts your clients and unnecessarily exposes you to liability. Consider the buyer who has remorse and wants to back of a deal at the last minute without a legal justification for doing so. That buyer might seek your help getting their earnest money back. Learn how you hurt your buyer and yourself by stepping into that fray. Learn why you should help by referring the buyer to a lawyer.
7/17/19: Managing Seller Risk in the Limbo Period. Consider a deal in which all of the buyer’s outs under the contract have expired, so the buyer’s earnest money has gone “hard,” but the seller knows that the buyer will have significant challenges to close. For example, the buyer’s loan objection deadline has passed and the buyer doesn’t have loan approval. Can the seller kick the buyer out of the deal at that point? No, not under the Colorado approved contract form. Learn how to manage that risk for sellers.
6/18/19: Must You Extend Listing when Purchase Contract Closes After its Expiration? Consider a situation where you have a six month listing agreement. The seller enters into a contract five and one half months into the listing that is scheduled to close after the expiration of your listing. Is it a good idea to try and get the extension of your listing? Must you obtain an extension to enforce your right to be paid? Watch and learn the answers to these questions.
5/1/19: Buying Property Anonymously. It’s not unusual for Commercial Buyers to want to purchase anonymously, and it’s not uncommon in Residential transactions either! We explore the motives behind incognito purchases, options for accomplishing them, and look at how they affect the transaction.
4/9/19: Selling a Property Anonymously. Some sellers seek to quietly sell their property. Learn how to (1) dial into the seller’s expectations, (2) accomplish the seller’s goals and (3) manage the risks of not widely advertising the property to the whole market.
3/18/19: General Warranty Deed versus Special Warranty Deed. In addition to the choice of deed (between general warranty and special warranty), there are three other factors that strongly influence the buyers’ and sellers’ risk factors: (1) The style of the exceptions to the warranties; (2) the features of the sellers’ existing title insurance; and (3) the existence of any “title red flags.” Learn how to identify the common title red flags that tend to put pressure on the choice between a general warranty deed and a special warranty deed.
12/20/18: Option for Buyer to “Hold” or “Fold” (but not renegotiate) on Inspection Issues – 2019 Real Estate Contract. Under the pre-2019 contract, the buyer had three basic options if the Buyer discovered property condition problems: (1) Do nothing and accept the condition of the property subject to the flaws; (2) Submit an objection and attempt to negotiate a change; or (3) terminate the contract. The Commission has now enabled buyers to make simpler offers that limit the buyer to the (1) and (3) option. The 2019 contract can also be written in a way that duplicates the pre-2019 system. Learn how to use the new system.
11/26/18: Appraisal Issues Carved Out of Loan Termination Contingency – 2019 Real Estate Contract. The Division of Real Estate has added language attempting to clarify that if its Contract to Buy and Sell Real Estate never had an Appraisal Objection Deadline, or if the contract lives past an Appraisal Objection Deadline, then the buyer cannot use appraisal issues to terminate the contract under any New Loan Termination Deadline. Watch this video and learn how to navigate this attempt to clarify an inherently ambiguous situation.
11/9/18: How to Address the Personal Property Form in the Colorado 2019 Real Estate Contract. The Division of Real Estate has added a means to address the personal property issues, such as the personal property that is included and the value of the personal property, in a separate agreement. The separate agreement will be referenced in, but will exist outside of the Contract to Buy and Sell. Stakeholders must implement this new concept aware of loan underwriting issues. Watch this video and learn how to use this new form.
10/12/18: Rights of First Refusal & Rights of First Offer. Rights of first refusal place a heavy burden on property owners. Learn about an alternative that can accomplish many of the same goals without unduly harming owners.
9/20/18: Buyer Replacement Clauses. A seller receives an offer from a buyer with a contingency that makes the seller nervous. Seller is reluctantly willing to accept the offer, but wants the ability to kick buyer #1 out of the deal if seller receives an offer from another buyer who looks more solid than buyer #1, unless buyer #1 fails to remove the contingency (say within 72 hours of notice to buyer #1). Learn how to avoid the mischief caused by what the industry calls “Rights of First Refusal.”
8/14/18: Changes to the 2019 Real Estate Commission Approved Contract. The Colorado Division of Real Estate is Making Big Changes to the Colorado State approved contract to buy and sell real estate. Learn about the major changes here. In this webcast Jon refers to a previous webcast, please see link here.
6/26/18: As Is. What does the phrase “As Is” mean in a contract? Learn what it really means.
5/23/18: Earnest Money Going Hard. What does Earnest Money Going Hard mean? This webcast explains when to use this clause/phrase and when not to use it.
3/16/18: Protect Your Buyers from FIRPTA. The federal Foreign Investment in Real Property Tax Act (“FIRPTA”) generally obligates any person who buys U.S. real estate from a foreign person to escrow 15% of the purchase price from the seller to motivate the foreign seller to file a U.S. tax return. A buyer who fails to comply will be liable for the foreign seller’s unpaid tax, and probably penalties and interest. This webcast will give you a general understanding of how to protect your buyers from FIRPTA. For more FIRPTA details, please read our article Don’t Forget About FIRPTA. For those of you interested in including FIRPTA protection language in your contracts, consider ordering our law firm’s addenda package. For those of you interested in FIRPTA affidavits, please contact Julia.
2/23/18: Property Specific Deed Exceptions. Most general warranty deeds initially prepared by title companies as a scrivener for the brokers have an exception to the grantor’s warranty of title that reads something like: “. . . and except taxes for the year of closing; and except all reservations, rights of way, restrictions and covenants of record.” This “general exception” insulates Seller from liability from the title company’s searching errors and makes the general warranty deed more like a special warranty deed. (See the following webcast that explains the difference between a general warranty deed and a special warranty deed: General Warranty Deed vs. Special Warranty Deed. Section 13 of the Colorado Real Estate Commission approved contract calls for a narrower, “property specific exception,” which merely excepts itemized known title blemishes from the grantor’s general warranty. A property specific exception reads something like: “. . . and except taxes for the year of closing; and except for those encumbrances identified on Exhibit A attached hereto” where Exhibit A mirrors the property specific exceptions from the exception section of the title commitment. Colorado law obligates broker to attempt to have the closing documents prepared consistently with the contract. This webcast walks you through an example where this distinction between a general exception deed and a property specific exception deed makes a difference and explains why most Colorado title companies initially prepare a deed form that is inconsistent with the Colorado Real Estate Commission contract. While this webcast may be useful in wetting your appetite for this topic, the following article will decrease misunderstanding: Property Specific Deed Exceptions.
1/17/18: Closing Protection Letters. What the heck is a closing protection Letter?
12/8/17: Why Buyers need Title Review. This webcast explores what false reasoning people might use to rationalize not using a lawyer to review the title when they purchase real estate.
9/29/17: A Counter Proposal Destroys the Offeree’s Power to Accept the Initial Offer. When a Buyer or Seller counters an offer from the other side, it can’t count on having a second bite at the apple. The counterproposal destroys the ability to accept the original offer, even if the acceptance deadline in the original offer has not expired. Watch how this legal notion plays out with real world examples. Related Article: Contract FAQ: Formation & Title.
8/2/17: How to Draft Better Additional Provisions – Part IV. The A, B, C’s of writing additional provisions with examples.
7/12/17: How to Draft Better Additional Provisions – Part III. Recognizing the difference between an affirmative obligation and a contingency. [See article for examples: Drafting Better Contingencies.
6/14/17: How to Draft Better Additional Provisions – Part II. If you cannot accomplish your goal with existing pre-printed language, attempt to supplement the existing language in the pre-printed contract. We illustrate this point with examples.
5/24/17: How to Draft Better Additional Provisions – Part I. Seek to avoid drafting additional provisions at all by using pre-printed language to achieve the same result. We illustrate this point with examples.
4/24/17: How do Buyer’s Enforce Contracts against Balking Sellers? Learn what buyers can do when sellers want to breach the buyer’s contract and move on to a better buyer.
Related Video: 10/26/15: Seller Defaults Just Before Closing.
3/27/17: Letters of Intent. Letters of Intent are more binding than some people realize. They can cause big problems for sellers. Learn how to avoid problems with Letters of Intent in real estate transactions. Additional Resource Article: Legal Ramifications of a Letter of Intent.
2/27/17: Earnest Money Release Revolution. Prior to 2017 the Colorado Real Estate Commission Approved Earnest Money Release form essentially provided for a full release between the buyer and the seller (if both sides signed the earnest money release) subject to a few intuitive exceptions. The 2017 form no longer has an automatic release. Now the party who fills out the form first must choose between the old system or giving buyer and seller the ability to go after the other side (even though buyer and seller agree on how the earnest money should be refunded.) Watch the video and hear about the type of deals where this change can help and hear examples actual problems and feared mischief.
1/25/17: Listing Agreement & Holdover Rights. What are Holdover Rights? When do Holdover Rights Apply? What happens if the old listing agreement does not expire but it is terminated? Who qualifies as a Holdover Buyer?
11/29/16: Bargain and Sale Deed. What is a Bargain and Sale Deed? When should you use a Bargain and Sale Deed? Learn about the difference between a Quit Claim Deed and a Bargain and Sale Deed. Learn of an example of a situation of when to use a Bargain and Sale Deed to solve a problem.
10/18/16: Wire Fraud. Don’t wire your money to criminals. Learn how to avoid getting duped!
8/1/16: General Warranty Deed vs. Special Warranty Deed for Re-Sale Sellers. The market place expects residential re-sale sellers (not builders) to convey title using a general warranty deed. A general warranty deed creates liability for a seller beyond the warranties of a special warranty deed. Learn how sellers can protect themselves from this liability.
5/26/16: Coming Soon Listings. In a tight inventory market, listing brokers are tempted to sell listed property to their own sphere of influence before exposing the property to the whole market. Yet without exposing the property to the whole market, sellers can’t have confidence that they’ve found the highest and best buyer. Learn how to manage the conflicts of interest associated with the “Coming Soon” phenomenon.
4/27/16: Buyers Using Contingencies for Purposes other than they were intended! While the buyer contingencies give buyers wide discretion to terminate contacts, the contingencies are not “free look” contingencies. The buyer must have an objection that fits an appropriate and relevant objection. In the same way that drivers might frequently get away with speeding, buyers might get away with using contingencies inappropriately, especially in a market in which sellers might be able to easily resell the property to someone else. Yet when sellers are disappointed with the buyer back out, all it takes to engage an earnest money battle is for the seller to decline to sign releasing the buyer’s earnest money. Learn how to avoid creating false expectations in your buyers about their ability to back out of a deal. Learn how to assist your Sellers when you suspect contingencies are being misused, and when they should be referred to an attorney.
3/30/16: Builder Contracts in an Appreciating Market. Inventory is extremely low in some markets and demand is returning for new homes. Learn (1) how the contracts from production builders don’t provide a meaningful remedy for builder defaults in an appreciating market; (2) what you can do about it; and (3) how to create reasonable expectations for you buyers.
2/21/16: Escalation Clauses – A Lawyer’s Dream. In markets with shortages of inventory, buyers know that they must aggressively compete for the right properties. Yet purchasers do not want to pay any more than is absolutely necessary to buy the property. Purchasers sometimes submit “escalation” clauses in an attempt to tie up the property without offering much more than the competition. This session explores the pitfalls of escalation clauses and suggests alternatives. Read Jon Goodman’s article, “Escalation Clauses – A Lawyer’s Dream.”
1/25/16: Does a Sale Affect a Tenant’s Lease? When a tenant leases a property for a term, a tenant expects to have the right to use the space for the whole term. If the original landlord sells the building, does the new landlord have the right to terminate the lease? Learn the answer by watching this video.
11/30/15: Buyer Defaults Just Before Closing. Even when a contract clearly spells out the consequences of a buyer defaulting on a contract, it may not be practical for the seller to enforce the consequence. Consider the seller whose buyer needs a week extension to get the loan to close. If the contract does not have a contingency excusing the buyer, the seller might be able to terminate the contract. Killing the contract, however, might not be practical for the seller. Learn about these situations and how to avoid having unrealistic expectations about the power of contracts.
10/26/15: Seller Defaults Just Before Closing. Even when a contract clearly spells out the consequences of a seller defaulting on a contract, it may not be practical for the buyer to enforce the consequence. For example consider the buyer who learns, at the walk-through the day before closing, that the seller blew off the obligation to fix the furnace. The seller’s default may allow the buyer not to kill the contract and sue the seller for damages, specific performance or both. But none of those options may be practical for the buyer. Learn about these situations and how to avoid having unrealistic expectations about the power of contracts.
9/28/15: TRID Patches for Buyers. The conventional wisdom is that the new TRID regulations will make buyer loan approvals more precarious. Additions to contract language which call for an automatic one-time extension for TRID motivated problems are a partial solution. Learn about the options and how to effectively use them.
8/24/15: Updates to CP-46 Disclosure of Adverse Material Facts. The Real Estate Commission adopted Commission Position 46, regarding brokers disclosure of adverse material facts. Jon Goodman discusses the commission’s new position.
7/27/15: 2014 CREC Approved Forms & Seller Carry Financing. The 2014 CREC approved forms essentially eliminate the Seller Carry Financing provisions. Yet, in the right circumstances, Seller Carry Financing might be the best available option for both the seller and the buyer. Understand the options for advancing Seller Carry deals in the coming new era.
6/22/15: Replacement Home Contingencies. One of the ways that Buyers try to make their offers attractive is to give the Seller flexibility. Often the fear of not finding a replacement property inhibits Sellers from going under contract with Buyers.
5/26/15: Specific Performance. Why it Works for Buyers Against Sellers and Not Sellers Versus Buyers. Learn why sellers should generally use their bargaining clout to get things other than a specific performance remedy versus a buyer.
4/20/15: Modified Appraisal Contingencies. In hot markets, it is common for the parties to create appraisal contingencies contemplating that the house might appraise for less than the purchase price. Sometimes Buyer’s argue that these clauses create an obligation for the Seller to lower the price. Learn how to spot and avoid these ambiguities.
3/23/15: “Love Letters” and Fair Housing laws. When there is a drought of supply of residential real estate inventory, some buyers look for a competitive advantage by submitting letters with the offer that attempt to appeal to non-financial seller motivation. Without a conscious strategy of asking the seller to discriminate against anyone, some of these letters are essentially asking seller to discriminate in favor of the buyer on grounds that violate fair housing laws. Learn how to reduce risk from “love letters.”
2/17/15: Buy “Tail Coverage” When you Retire. After professionals retire, they may be sued for alleged wrongs that occurred before retirement. When you retire you need to buy insurance that covers you after you retire. This video explains the need for, and the path to acquire,“tail” insurance.
1/25/15: When NOT to Refer to the Best Attorneys in Town. When Clients of Brokers have legal trouble, the natural instinct is for the Broker to refer to their own lawyer. After all, you know your lawyer is great at solving problems. However, there are times you want to be cautious of contaminating our ability to help YOU the Broker. Learn how to manage those risks and refer responsibly.
12/15/14: Brokerage Relationship Disclosures. Most brokers know that when they are sitting in an open house, they need to make a disclosure to unrepresented buyers. Brokers, however, often fail to follow through. This is a hot button issue for your regulators. Brokers often don’t recognize the need to make other required brokerage relationship disclosures to buyers, tenants, and sellers. Learn how to sharpen your agents’ instincts to spot the need to make the disclosure, and how to ensure CREC compliance.
11/24/14: Ensuring a Cooperating Commission. Sometimes you will help buyers pursue property where neither the seller or the listing broker is offering to pay you a cooperating commission, or the commission offered is otherwise less than the buyer is obligated to pay you. Learn how to negotiate and document someone’s obligation to pay you.
10/27/14: Section 8(a) of RESPA in Two Minutes or Less. Develop an instinct for what kind of joint ventures, MSAs and other kinds of affiliated business arrangements (AfBAs) might withstand scrutiny by the CFPB.
9/22/14: Escrowing Over Mechanic’s and Other Liens to Get Deals Closed. Just because someone records a mechanic’s lien, doesn’t mean that the claim is valid. Mechanic’s liens (and some other liens) don’t always need to be paid at closing. Learn how to use escrows to allow deals to close without paying some liens.
7/28/14: Controlling Your Anger At Clients: The nature of being a professional is that our clients occasionally frustrate us, sometimes driving us to the point of anger. Our anger, combined with the ease of e-mails, texts, voice mails and other forms of communication that leave a record causes problems for all professionals. Learn some ideas to decrease the likelihood that you, or someone else at your brokerage firm, will send an ill-advised e-mail to a client or others.
5/19/14: Dangers of E-Signing in a Fast Paced World. E-signing systems are often set up so that when your client executes a document, it automatically gets sent to the other side without first going through you. You don’t have a chance to filter out mistakes. In a multiple offer situation, for example, your seller might execute a counterproposal to the wrong buyer. Learn what you can do to decrease the risks.
4/28/14: Buyers Who Refuse to Acknowledge Death of Real Estate Contract In Markets with Hyper-Shortage of Inventory. What happens when a Buyer refuses to acknowledge the death of a contract? At what point is the Seller free to accept other offers? What happens to the Earnest Money in these scenarios? These situations are typically emotionally charged and volatile, learn the best ways to handle them and minimize the damage for your client.
2/24/14: Demystifying Commercial Real Estate. Commercial real estate isn’t necessarily harder than residential real estate, it’s just different. The first step in wading into commercial real estate is understanding the cultural differences. In this webinar, Jon will discuss the following: Use of Letters of Intent, One Free Look, Documenting Co-operative Commission Obligations, Consequences of Bigger Deals, Culture of Less Regulatory Pressure, Ramifications of Lack of Applicability of RESPA, and Ramifications of Less Acceptance of the Status Quo.
12/16/13: Failure to complete the Seller’s Property Disclosure and the “as is” Language in the contract doesn’t avoid the need to disclose known problems. A November 2013 Colorado Court of Appeals decision in favor of a buyer who bought a home from a renovation entrepreneur hammers home the point that independent of what a contract states, sellers have an obligation to disclose latent material defects of which they are aware. Learn how to apply this rule in the real life situations you face every month.