When you’re ready to make an offer on a home, you don’t need to memorize every line of Colorado’s Contract to Buy and Sell, that’s your agent’s job. But you do need to understand the key terms that impact your negotiating power, your protection, and your ability to close. Sellers care about price but they also care about how clean, quick, and certain the deal is. Here’s your no-BS guide to the most important offer terms your agent will help you navigate.
Earnest Money
Earnest money is a deposit you include with your offer to show you’re serious. It’s typically held by the title company and applied toward your purchase at closing. The amount, due date, and form of payment (check, cash, or wire) are all negotiable. A higher earnest deposit can give sellers more confidence in your commitment, especially in a competitive market. But your agent will also make sure your contract protects that money with contingencies for inspection, appraisal, and loan approval.
Dates and Deadlines
Colorado contracts are full of time-sensitive deadlines for inspection, title review, appraisal, loan conditions, and more. These timelines affect how much time you have to evaluate the home and how long the seller must wait to close. A good agent helps you strike the right balance so your offer is competitive without sacrificing your safety nets.
Inspection Contingency
The inspection clause gives you the right to evaluate the condition of the home and negotiate repairs or credits. But in a multiple-offer scenario, how you approach it can make or break the deal. You don’t have to ask for every small item. Focus on major systems, safety concerns, or anything that would cost thousands to fix. Willing to move quickly? A shorter inspection window can give your offer an edge — as long as you're confident in the home.
Appraisal Provisions
If you're financing the purchase, the lender will order an appraisal. If the appraised value comes in lower than your offer price, this clause gives you the right to renegotiate or walk away. In hot markets, buyers sometimes offer appraisal gap coverage, agreeing to bring extra cash if the appraisal falls short. This strengthens your offer, but your agent will help ensure you’re not putting yourself at financial risk by overcommitting.
Inclusions and Exclusions
Never assume anything comes with the house. Appliances, smart home devices, sheds, window treatments, they’re all negotiable. If you want it, write it into the contract. If the seller plans to take it, that should be spelled out too. Clear, written agreements prevent surprises later.
Financing & Loan Conditions
Colorado contracts separate financing from the appraisal contingency. Even if the appraisal is fine, you can still terminate the deal if your loan falls through but only during the loan condition deadline period.
Sellers look closely at financing terms. A well-written offer from a pre-approved buyer with a reputable lender and short loan deadlines can feel just as strong as a cash offer, especially with fewer contingencies.
Possession & Rent-Backs
While standard possession is at closing, sellers sometimes need extra time to move. A rent-back lets them stay in the home for a few days or weeks post-closing. Offering this flexibility can make your offer stand out, and may even win the deal against higher offers.
The No-BS Takeaway
A strong offer isn’t just about the number, it’s about showing the seller that your deal will close, clean and on time.
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Earnest money shows you're serious, but should still be protected
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Inspection and appraisal terms can make or break your offer
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Clear inclusions and flexible possession can tip the scales in your favor
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Shorter, well-managed deadlines give you an edge without risking your rights
No BS: You focus on the house you want. Your agent will focus on writing the terms that win it.
