Buying a home in Colorado Springs involves a lot of moving parts, and title is one of the pieces buyers understand the least. The good news: a handful of straightforward questions will tell you almost everything you need to know about how your closing will go. Here are the seven worth asking early — ideally before you are under contract.
Short version
A title company confirms the seller can legally sell, clears anything standing in the way, handles the money at closing, and insures the result. Ask who is doing that work, what it protects, and what could slow it down.
1. What does a title company actually do?
Three jobs, really. First, a title search: we examine the public records for the property — deeds, mortgages, liens, judgments, easements, plats, tax records — to confirm the seller legally owns what they are selling and that no undisclosed claims are attached to it. Second, escrow and closing: we hold earnest money, coordinate the lender's figures, prepare the settlement statement, conduct the signing, and disburse and record the documents. Third, title insurance: once the file is clear, we issue policies that protect against covered problems that were missed or hidden in those records.
Why it matters to you
Everything else in your transaction depends on a clean, on-time title file. A responsive title team is often the difference between closing on the scheduled date and scrambling for an extension.
2. Do I have to use the title company my agent or lender recommends?
No. In Colorado, the party paying for the policy — commonly the buyer for the lender's policy, and by custom the seller for the owner's policy — can choose the title company, and the choice is negotiated in the contract. A recommendation from your agent or lender is exactly that: a recommendation, usually based on good past experience. It is not a requirement, and no one can condition your loan on using a particular title company.
It is worth comparing service and reputation, not just price. Ask who will actually be handling your file, how quickly they return calls, and how often they close in your target neighborhood.
3. What is the difference between an owner's policy and a lender's policy?
| Lender's policy | Owner's policy | |
|---|---|---|
| Who it protects | Your lender | You, the buyer |
| Amount insured | The loan amount, decreasing as you pay down | The purchase price, protecting your equity |
| Required? | Yes, if you are financing | Optional, but strongly recommended |
| Who customarily pays in Colorado | Typically the buyer | Customarily the seller — but negotiable |
If you only carry the lender's policy and a covered title problem surfaces later, the lender is made whole and you are not. That is why the owner's policy exists.
4. What kinds of problems does a title search catch?
More than most buyers expect. Common findings include:
- Unpaid liens — mortgages, home equity lines, mechanic's liens from unpaid contractors, and judgment liens
- Unpaid property taxes or delinquent special district assessments
- Outstanding HOA dues and special assessments
- Boundary discrepancies, encroachments, and easements that affect how you can use the lot
- Errors in the public record — misindexed documents, legal description mistakes, or a prior release that was never recorded
- Forged or improperly executed documents and questionable powers of attorney
- Undisclosed heirs or missing signatures from a prior owner's estate or divorce
Most of these are resolved quietly before closing. Title insurance exists for the ones no search could reasonably have revealed.
5. What is a reissue rate, and can it save me money?
If the property was insured by a title policy relatively recently, the new owner's policy may qualify for a discounted reissue rate instead of the standard rate. Eligibility depends on how recently the prior policy was issued and on the documentation available, so it is not automatic — someone has to check.
In El Paso County, where homes have turned over and refinanced frequently over the past several years, this is worth asking about on nearly every transaction. Send us the address early and we will confirm whether a reissue rate applies to your file.
6. What could delay my closing — and how do I avoid it?
Unresolved liens
Old mortgages never released, contractor liens, or judgments needing a payoff or release.
Payoff and HOA delays
Lenders and HOA management companies control their own turnaround times.
Paperwork gaps
Missing signatures, expired ID, unsigned powers of attorney, or last-minute defects.
How to protect your closing date: get title work opened as soon as you are under contract, respond to document requests the day you receive them, bring valid unexpired government-issued photo ID to signing, disclose any name changes or entity ownership up front, and tell us early if you plan to sign remotely or by power of attorney.
7. How do I choose a good title company?
Look for a company licensed to issue title insurance in Colorado and backed by a financially strong underwriter. Beyond that, judge them on the things that actually affect your closing: local knowledge of El Paso County records, plats, and special districts; responsiveness when you call; clear, itemized disclosure of fees before you commit; and a strong reputation with the agents and lenders who work here every day. Ask for the name and direct contact of the closer who will handle your file.
Frequently asked questions
Can I choose my own title company in Colorado?
Generally yes. The choice is negotiated in the purchase contract, and the party paying for the policy typically selects the company. A recommendation from your agent or lender is not a requirement, and your loan cannot be conditioned on using a specific title company.
Is an owner's title policy really necessary if I already have a lender's policy?
The lender's policy protects only the lender's loan amount. If a covered title problem appears later, the owner's policy is what protects your equity and pays for the legal defense of your ownership.
Who pays for title insurance in Colorado Springs?
By local custom the seller commonly pays for the buyer's owner's policy, while the buyer typically pays for the lender's policy. Both are negotiable and are set by the terms of your contract.
How long does a title search take?
In most El Paso County residential transactions the initial title commitment is delivered within a few business days of opening the file. Complex chains of title, estates, or unresolved liens can extend that timeline, which is why opening early matters.
Do I need a new title policy when I refinance?
Your new lender will require a new lender's policy for the new loan. Your existing owner's policy remains in force and does not need to be repurchased.
Working on a Colorado Springs transaction?
If you have a specific property in mind, reach out and we will open the file, check reissue rate eligibility, and walk you through the commitment line by line. Contact Ben Gosz at Chicago Title of Colorado in Colorado Springs.
Ben Gosz is an SVP Sales Executive with Chicago Title of Colorado in Colorado Springs. This article is educational and not legal advice; consult your title professional on any specific transaction.