Difficulty: Medium

Average Score: 50%

When a deed is recorded in Colorado, the documentary fee is

Rationale

$0.1 for each $100 of consideration.

In Colorado, the documentary fee for recording a deed is calculated at a rate of $0.1 for every $100 of the total consideration, which is a common practice to ensure equitable fees based on property value.

A (Different from county to county) YOUR ANSWER

While some fees may vary by county, the documentary fee for recording a deed is specifically set at a state level for all counties based on the consideration amount. Thus, this choice is misleading, as it implies variability where a consistent rate exists.

B ($3.00 per page) YOUR ANSWER

This option suggests a flat fee per page for recording a deed, which is not the case in Colorado. The documentary fee is based on the consideration of the property being transferred, rather than the number of pages in the document itself.

C ($0.1 for each $100 of consideration) CORRECT

This statement accurately reflects the documentary fee structure in Colorado. When recording a deed, the fee is indeed calculated at $0.1 for every $100 of the property's consideration, ensuring that the fee is proportionate to the property's value.

D ($1.00 for each $1,000 of consideration) YOUR ANSWER

This option incorrectly states the fee structure, as it suggests a higher rate than what is actually enforced. The correct calculation is $0.1 for every $100, which translates to $0.10 for each $1,000, making this option incorrect.

Conclusion

The documentary fee for recording a deed in Colorado is $0.1 for each $100 of consideration, ensuring that fees are aligned with the value of the property being recorded. Other options either misrepresent the fee structure or suggest incorrect calculations, highlighting the importance of understanding the applicable regulations for property transactions within the state.

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