Broker Reactivation-DISCLOSURE, INSPECTION, AND DUE DILIGENCE (Sections 10

DISCLOSURE, INSPECTION, AND DUE DILIGENCE (Sections 10 - 11 of the CBS1)

Pdf Summary

Sections 10-11 of the CBS1 outline the disclosure, inspection, and due diligence process in a real estate transaction. <br /><br />Section 10.1 states that the Seller is required to provide the most current Seller Property Disclosure form to the Buyer. Section 10.2 requires the Seller to disclose any adverse material facts about the property and allows the Buyer to terminate the contract if new adverse facts are discovered. The Buyer acknowledges that the property is being sold in "As Is" condition. <br /><br />Section 10.3 gives the Buyer the right to inspect the property and request corrections or terminate the contract based on unsatisfactory conditions. The Buyer can terminate the contract before the Inspection Termination Deadline or deliver an Inspection Objection to the Seller. If a resolution is not reached by the Inspection Resolution Deadline, the contract will terminate unless the Buyer withdraws the Inspection Objection.<br /><br />Section 10.4 states that the Buyer is responsible for inspections and must pay for any damage caused during the inspection process. The Buyer must also indemnify the Seller from any liability caused by the inspections.<br /><br />Section 10.5 allows the Buyer to terminate the contract if the property insurance terms are unsatisfactory.<br /><br />Section 10.6 requires the Seller to provide certain documents and information to the Buyer for due diligence. The Buyer has the right to review and object to the due diligence documents. If the documents are unsatisfactory, the Buyer can terminate the contract or resolve the objections.<br /><br />Section 10.7 makes the contract conditional upon the sale and closing of a property owned by the Buyer.<br /><br />Section 10.8 addresses the source of potable water for residential properties.<br /><br />Section 10.9 and 10.10 discuss existing leases and lead-based paint disclosure requirements.<br /><br />Section 10.11 requires operational carbon monoxide alarms to be installed in properties with fuel-fired heaters, fireplaces, or attached garages used for sleeping purposes.<br /><br />Section 10.12 addresses the disclosure of methamphetamine use or contamination in the property.<br /><br />Section 11, which is intentionally deleted in this contract version, pertains to tenant estoppel statements for properties with existing leases.

Keywords

disclosure

inspection

due diligence

real estate transaction

As Is condition

property inspection

property insurance terms

due diligence documents

existing leases

carbon monoxide alarms