1. Title & Closing 101
Greg Parham
Canyon Title Company
greg@canyontitle.com
303-523-5092
Monday, November 12, 12

2. Monday, November 12, 12

3. • Starting The Process
• Title Commitment
• Underwriting & Processing
• Closing
Monday, November 12, 12

4. Getting Started
Closing
+ + Instructions
Monday, November 12, 12

5. Title Commitment
• Who & What (Schedule A)
• Requirements (Schedule B-1)
• Exceptions (Schedule B-2)
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8. Other Common
Requirements
Certificate of Satisfaction of Judgment in
favor or XYZ Creditor and against Sally
Seller, Case No. 12345, recorded January 1,
2012 at Reception No. 12345.
Release of lien filed by Highlands Ranch
Community Association in the amount of
$2,000 dated January 1, 2012, and recorded
at Reception No. 12345
Monday, November 12, 12

9. Monday, November 12, 12

10. Other Exceptions
• Declaration of ABC, Home Owners
Association dated January 1, 2012 and
recorded January 5, 2012 at Reception No.
34567.
• 8 foot utility easment across southern most
portion of the lot.
Monday, November 12, 12

11. Endorsements
(extra coverage)
Owner’s Extended Coverage
(deletion of standard exceptions 1-4)
Monday, November 12, 12

12. You Have Title...
Now What?
• Does Insured match buyer seller?
• Are Endorsements Correct?
• Who Owns Property?
• Ordinary or Extraordinary Requirements
or Exceptions
Monday, November 12, 12

13. What’s Going On
While You Inspect?
• Payoffs
• HOA Status Letters
• Water & Sewer Status
• Tax Information
Monday, November 12, 12

14. Monday, November 12, 12

15. 370,000.00
1,878.00
Total From Buyer
371,878.00
3,700.00
351,500.00
Total To Buyer
101.04
Owners Policy Credit to Buyer 844.00
356,145.04
371,878.00
356,145.04
What Buyer
x 15,732.96
Brings to Close
Monday, November 12, 12

16. 370,000.00
Total To Seller
370.000.00
15,125.00
250,685.89
Total From Seller
101.04
Owner Policy Credit to Buyer 844.00
267,755.93
370,000.00
Seller Profit/Loss
266,755.93
x 103,244.07
Monday, November 12, 12

17. Closing Date
July 2
Prepaid HOA July to August 29.00 Prepaid HOA July to August 29.00
Seller Paid Closing Costs 2,000.00 Seller Paid Closing Costs 2,000.00
350.00 350.00
Monday, November 12, 12

18. Tax & Water Payments
1/1/2012 07/02/2012 1,500.00 1/1/2012 07/02/2012 1,500.00
2011 Taxes 3,000.00
Final Water Escrow 250.00
Total Tax Amount /365 days gives
In Colorado, taxes are paid in arrears. per day tax. Buyer gets credit for
Taxes for 2011 are paid in the Spring portion of time buyer will be in
of 2012. property.
If you close in 2012 you have to make
sure the 2011 taxes have been paid.
You also need to prorate for 2012 3,000/366 = 8.19
taxes since buyer will have to pay 8.19 X 183 = 1,500
those in 2013.
Monday, November 12, 12

19. Monday, November 12, 12

20. Closing Documents
• Financial - Utility and Tax
• Warranty Deed
• Bill of Sale
• Affidavit Agreement
• Tax Junk
Monday, November 12, 12

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25. Affidavit Agreement
I promise there are no problems with title
and if there are problems I’ll pay for them....
Monday, November 12, 12

26. Title & Closing 101
Greg Parham
Canyon Title Company
greg@canyontitle.com
303-523-5092
Monday, November 12, 12