LESLIE MONACO REAL ESTATE

Real Estate Term of the Day: Material Fact

MATERIAL FACT – a fact that is germane (relevant) to a particular situation; one that participants in the situation such as a trial, may reasonably expected to consider (Barron’s Dictionary of Real Estate Terms) 

In the Colorado Real Estate Commission approved Exclusive Right-to-Buy Listing Contract and the Exclusive Right-to-Sell Listing Contract, a broker has a uniform duty to disclose any material fact known when working with a seller or buyer:

Exclusive Right-to-Sell Listing Contract:

5.1.3. Disclosing to Seller adverse material facts actually known by Broker;

Exclusive Right-to-Buy Listing Contract:

5.1.3. Disclosing to Buyer adverse material facts actually known by Broker;