An Arapahoe paid-off loan still needs the deed of trust released

Wiring that final mortgage payment feels like the end of the story. In the land records, though, the lien can still be sitting right where it was. Clearing it takes one more step that happens behind the scenes.

In Colorado, a home loan is usually secured by a deed of trust, an agreement among the owner or borrower, the lender, and the Public Trustee. Once recorded, it places a lien against the property. When the loan is satisfied, the lien does not lift itself. The lender has to submit a request for release to the Public Trustee, who then records the document that finally clears the title.

That release is reviewed carefully, and for good reason: it is the paperwork that proves the property is free of the loan. The information submitted has to match the recorded deed of trust, and the Public Trustee inspects each document for accuracy and completeness. A small mismatch can stall the whole thing.

In most cases the lender handles this automatically within a few weeks of payoff, and the homeowner never has to lift a finger. Still, it is worth a look. After your loan closes out, check the recorded release against the property’s records. If weeks pass and nothing shows up, a call to the lender is the first move, followed by the county’s release requirements to see what the document needs to contain.