What makes Preferred Title of Colorado different from other title companies?

Transfers of title ownership is a complicated and time-consuming process that should be left to professionals. Real estate transactions are governed by federal, state, and municipal laws that dictate much of the process. Additionally, mountains of paperwork must be completed and signed, and escrow funds managed. 

Preferred Title of Colorado is proud of our professional approach to completing real estate ownership transactions. We understand the legal, administrative, financial, and business issues that are part of the process. We are committed to providing a smooth and accurate closing experience that leaves everyone involved feeling comfortable and satisfied.

We know that real estate closings are probably not anyone’s favorite activity, but they should be friendly and stress-free.  Our approach to each transaction assures that the process of transferring ownership of a property is professional, accurate, and as friendly as we can make it.

For your next real estate transaction, work with a locally-owned and customer-focused title company.  We are here to help you.

Why do I need to work with a title company?

Whether you are buying or selling a home or property, it is important to work with a professional title company to guarantee a smooth and accurate closing. Working with a title company reduces the stress of an otherwise stressful transaction and grants you peace of mind, knowing that the process stands up to applicable laws and standards. 

Working with a professional title company:

  • Provides title examination to ensure that a title is free of encumbrances and ready for ownership transfer
  • Issues title insurance policies that protect your title after the closing paperwork is signed
  • Facilitates closings by procuring the necessary paperwork and gathering the necessary signatures
  • Records paperwork with the proper governmental agencies
  • Manages and dispurses escrow funds so everyone gets the money they are due.

Preferred Title of Colorado would like to work with you in your next real estate transaction. We stand ready to create a process that guarantees both accuracy and peace of mind.

Call us today.

Can I choose which title company to use?

Absolutely. Whether you are the buyer or seller, you have the right to choose which title company to use for your real estate transaction.

When choosing a title company, do your research and ask questions. Search reviews, and Better Business Bureau information.  Be wary of any organization that won't answer questions or seems to offer shady or inconsistent answers.

Preferred Title of Colorado is locally owned and operated and we proudly stand by our commitment to offering the best and friendliest service to our customers. 

We welcome the opportunity to answer your questions and to help you through your next real estate transaction.

What is a closing?

At the closing, the property's ownership is formally and legally transferred from the seller to the buyer and the buyer is able to occupy the property at the conclusion of the meeting. Agents and lenders work with Preferred Title of Colorado to complete their professional responsibilities and combine their efforts for a complete and secure transaction. Sellers and buyers are often instructed to bring lender-required documents, photo identification, and items required for the occupation of the property.

Closing meetings usually involve the review and completion of paperwork, the collection and disbursement of escrow funds, and the exchange of keys. Property buyers should expect to spend at least an hour reviewing and signing documents.

Closings conducted by Preferred Title of Colorado are done with a commitment to accuracy, timeliness, and the comfort and satisfaction of our customers. Our locally-owned business is proud of the work we do with the people of Southern Colorado.

Preferred Title of Colorado would love to answer your questions and assist you with your next real estate closing.

What do I need to bring to my closing?

For your scheduled closing, Preferred Title of Colorado will take care of the necessary paperwork, coordination with the lender, and the escrow of funds. 

There are a few things you will need to bring to the closing to complete the transaction.

Buyers should bring:

  • Closing Costs in the form of a wire transfer.
  • Photo Identification. Your driver's license works best.
  • Other Required Documents. Coordinate with your lender for these.
  • Co-signer if someone is co-signing your loan.

Sellers should bring:

  • Photo Identification. Your driver's license works best.
  • Copy of a voided check or bank statement to wire funds

Can I ask questions during my closing?

Conducting a closing is a complicated process that is sometimes unfamiliar to most of our customers. The collection of signatures is long and the paperwork is stacked high. The vocabulary is unfamiliar, and there is always some level of anxiety.

If you have questions about any part of the process, it is important to ask them. It is our professional responsibility to ensure that everyone involved is comfortable and well-advised.  Please don't let a moment go by where you do not understand the process and your participation in it.

If we don't have an answer, we will find it.

Let us know what questions you have about closings.

Why is money held in an escrow account?

Escrow is a legal arrangement in which a third party temporarily holds large sums of money or property until the closing has been satisfactorily completed. When Preferred Title of Colorado conducts a closing, we often act as the neutral, third party and manage the escrow accounts until all funds have been dispersed. 

Sometimes, we hold funds in the escrow account past the date of closing as an "escrow holdback." There are several reasons to hold escrow funds: Perhaps you agreed that the seller can stay in the home an extra month. Or maybe you found something wrong with the property during the final walk-through. In these examples, funds would need to stay in escrow until all issues have been settled.

In real estate, escrow is typically used for two reasons:

  • To protect the buyer’s deposit so the money can be properly dispersed at the closing's conclusion
  • To safely hold the new property owner's funds for taxes and insurance
     

 

What is a title examination?

Simply put, a title examination is the process of searching for any past issues that may have been attached to a property's title. These issues, called encumbrances, may make the property unsuitable for sale or may simply impact the property's ownership. 

Encumbrances include unpaid tax liens or restrictions, past disputes in ownership, or involvement in a lawsuit. A title must be free of all encumbrances to qualify for a transfer of ownership.

The title examination process is one of the most important steps in conducting a closing to transfer ownership of a property. When we are involved in a real estate ownership transaction, Preferred Title of Colorado conducts a comprehensive examination of a title to guarantee that it qualities for an ownership transfer. Sometimes, we find encumbrances but can often clear them up so the closing that proceeds smoothly. Our clients usually never know about the issues we discovered in the process of the examination.  We are happiest when we can do the work to clear a title before its issues are ever known.

You can trust Preferred Title of Colorado to conduct a thorough examination of a property's title, so that, when the time for closing arrives, the title can be successfully transferred.

What is title insurance?

There are mistakes that can be made in the life of a title because people have been involved in the record-keeping. It is not unusual to find that a lien was not properly cleared, or the transfer of ownership not properly recording. Thorough title examinations performed by professionals discover these errors and can often remediate them. This examination is the foundation of the transfer of a property's ownership because a title needs to be free and clear to be transferred.

Once the title has been examined and deemed free of encumbrances, a policy is issued that protects both the buyer's and lender's interest in the clear title to the property.

When the title search is complete, title insurance policies are issued to protect buyers and lenders against unforeseen title defects that may affect property rights.

The professionals at Preferred Title of Colorado are happy to answer your questions about title examinations, insurance, and any other questions about the transfer of a title's ownership.

What is the difference between the owner's and lender's title policies?

The owner's title insurance covers the owner's interests of the property and usually insures for the amount paid to purchase the property. The lender's title insurance covers the lender’s interests and is usually issued in an amount equal to the loan amount.

The lender maintains an interest in the property as long as there is an outstanding loan.

Whenever a loan is issued for the financing of a property, the lender acquires an interest in the property for as long as the loan is outstanding. Typical, the seller buys the owner's policy and the buyer buys the lender's policy.

Call Preferred Title of Colorado to discuss the different types of and costs for title insurance.  We are here to help you.

Preferred Title of Colorado

Let us be your next closing partner.