Property Ownership
In Colorado, a deed of trust differs from a mortgage primarily in that:
AA. A deed of trust involves two parties; a mortgage involves three
BB. A deed of trust involves three parties (trustor, trustee, beneficiary) and allows non-judicial foreclosure through the public trustee✓ Correct
CC. A mortgage is not recorded; a deed of trust is
DD. Only mortgages are used in Colorado
Explanation
In Colorado, deeds of trust are the most common security instrument and involve three parties: the borrower (trustor), a neutral trustee (the county public trustee), and the lender (beneficiary). This structure enables the streamlined non-judicial foreclosure process through the public trustee, rather than a court proceeding.
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