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Video instructions and help with filling out and completing Release of earnest money PDF
Instructions and Help about Release of earnest money PDF
Hi this is John Goodman so this webcast is a little bit unusual and that it is very much focused for viewing by Colorado real estate brokers if you are not a Colorado real estate broker this will not have much use to you and I encourage you to stop watching and go down the list and watch another video all right for Colorado's real estate brokers here's what we're talking about this video is being recorded in February of 2022 and one of the things that's new in February 2022 is your regulator the Colorado division of real estate has come out with a new version of the earnest money release form it has a significant change in it which could rock your life here good and bad so in order to for me to give you a sense of the change you need to have an understanding of how things were before this change occurred so there's a concept we're talking about the earnest money release form and for whatever reason the contract has terminated and in most situations when a contract terminates the buyer is entitled to get all of the earnest money back that was being held in escrow and so and the old version of the form the one site or another would fill out the form calling for all of the let's say $10,000 of earnest money to be refunded back to the buyer and the buyer and seller would both sign off on that earnest money release form and the parties would be done with each other the contract was terminated and both sides would be released of all liability to each other subject to certain kind of intuitive exceptions that aren't worth going into in this video the point was is that the signing of the old earnest money release form meant that the the parties were finished with each other now in the new version of the form the division of real estate has added a check box and if the box is checked then the form works just like the old version of the form in fact I don't think I've ever done this in a video but let me do it right now I'm going to read to you just a sentence here it says this is in section three if this box is checked the party's really if this box is checked the parties mutually release each other from any and all claims demands obligations and claims related to the contract or the property subject to certain intuitive exceptions that I'm not going to get into in this broadcast so if the box is checked you're essentially under the old system the pre 2022 system what's different what if the box is not checked I've got to read to you again if the box is not checked the parties do not release each other so why did the division real estate do this well there are some.