Escrow & Title

In Colorado, which of the following instruments is recorded to create a lien on real property to secure a loan?

AA. A warranty deed
BB. A deed of trust (or mortgage)✓ Correct
CC. A satisfaction of mortgage
DD. A certificate of title

Explanation

In Colorado, a deed of trust is recorded to create a lien on real property as security for a loan. The borrower conveys the property to a trustee (the public trustee) to be held in trust for the lender (beneficiary) until the debt is repaid.

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