A public trustee is an appointed position. The individual appointed by a governor of a state to the office of public trustee handles foreclosures, mortgage defaults and assists homeowners facing foreclosure. Although not available in every state, the office of public trustee also serves as the neutral third party on a deed of trust. In the deed of trust, the property owner essentially transfers the property to the public trustee until they pay the balance owed on the property.

Public trustees serve at both the county and state level. The office of the public trustee in most areas provides information and help to property owners facing foreclosure or who have already defaulted on a mortgage. In some cases, another elected official, such as the country treasurer, also serves as the public trustee. Use a public trustee to:

1. Act as the third party for a deed of trust.

2. Get help for homeowners when facing a mortgage default or foreclosure.

3. Hold property for the deed of trust until the bower pays in full the amount owed.

Action Steps
The best contacts and resources to help you get it done

Find a public trustee expert for public trustee information

Since a public trustee is a part of a deed of trust process it's important to get the right information about public trustees and their function in your particular situation. Getting the right information from legal experts in the sale or transfer of property is important for understanding how the public trustee functions and what you need to know about their role before signing any documents.

I recommend: Visit AttorneyPages.com, type in your zip code or click on "Real Estate" to find attorneys in your area. Also, try PersonalLawyers.org by entering your ZIP code and "Real Estate" in the query field.

Research your state's requirements for public trustee and the services they provide

Not every state or country has a public trustee, and in some cases the public trustee serves more than one role in a state or country government. Research your state's offices for information about how to create public trustee documents required for a deed of trust transaction.

I recommend: Learn more about the public trustee program at the state and county level from the State of Colorado website as well as the Jefferson County, CO website. You can find similar websites to address your public trustee needs by searching your own state and county.

Work with an expert in real estate law for public trustee management

Getting the right public trustee advice before major life decisions is important, especially when those decisions involve the purchase or sale of real estate. The right real estate or transactional attorney helps buyers or sellers have the appropriate understanding of all parties involved before the closing.

I recommend: Allen & Vellone and Brownstein Hyatt Farber Schreck, both of Colorado, are experts in real estate the use of a public trustee.

Tips & Tactics

Helpful advice for making the most of this Guide

• •  Be sure to check with your registrar of deeds when doing by owner types of transactions to find a public trustee to act as a third party when using a deed of trust.