However I have been reading on the forums that there is difficulty working with the mortgage company if you are not listed as a party.In this scenario we did a title search and discovered that the State of Colorado is the is the holder of the deed of trust.

The title insurance is issued to the specific title holder/buyer that buys the title insurance, not subsequent title holders.

Properties held in a business entity simply admit minority members or stockholders, title doesn't need to change.Properties held with fractional interests are much less agitated by bankruptcy and creditors as minority holders are more protected and the majority owner is as well by failings of a minority holder.

If anything, the lien holders should have done something IMO.

If the gain is great enough consider a reverse exchange - a 1031 exchange where you are able to control your new property first through the use of an exchange accommodating title holder set up by your qualified intermediary.  

Oh, and I think he mentioned mortgage holder is a texas bank if that helps.I have pictures if you want to see the home.

Generally it is only a small door hole from door lock or something as a plant holder screw etc. 

The owner/borrower is entitled to amounts above what the lender/note holder receives. 

Arizona is a tax lien state, meaning that they auction off the lien (not the property) and then the lien holder can foreclose after three years.  

On June 3rd the lease holder phoned me and said him and his daughter are having money issues and they are moving out this month.