Colorado Trust Accounts-Module 2 Summary in Video

Video Transcription

Video Summary

Module 2 explains the legal duties of handling money belonging to others in real estate. Brokers act as fiduciaries and must place accepted funds into properly labeled trust or escrow accounts, with strict accounting controls. It covers deposit deadlines: three business days for earnest money and five for property management funds. It also reviews security deposit rules, required separate accounts, transfer and return timelines, and penalties for wrongful withholding. Finally, it warns against commingling, diversion, and conversion, and notes that property management agreements must be attorney-drafted and trust money cannot be invested in restricted accounts.

Keywords

real estate trust accounts

fiduciary duties

earnest money deposits

security deposit rules

commingling and conversion