In April alone, foreclosure filings were up 7.3 percent from April 2011 to April 2012 while foreclosure auction sales fell 36.2 percent over the same period.

From March to April, foreclosure filings fell 10.8 percent while foreclosure auction sales rose 6.1 percent. Since 2008, March and April have tended to be two of the most active months for new foreclosure filings in Colorado, with totals in both filings and auction sales tending to drop off in May.

“March and April tend to be the high points for the year when it comes to foreclosure filings, but this year, those numbers were quite low compared to recent years,” said Ryan McMaken, a spokesman with the Colorado Division of Housing. “On top of that, every metro area in the state showed a declining trend in foreclosure auction sales, and this suggests that foreclosure prevention efforts in general are continuing to have an effect statewide.”

During the first four months of this year, the counties with the largest changes in foreclosure auction sales, year over year, were Douglas, Denver and Boulder counties where auction sales declined 40.7 percent, 38.1 percent and 38.1 percent, respectively. Auction sales dropped by only 5.4 percent in Pueblo county, and they grew by 29.6 percent in Broomfield County where 35 auction sales were reported. All other counties surveyed reported drops of 18 percent or more, compared to the first four months of this year with the same period last year.

New foreclosure filings, on the other hand, grew in several counties. New filings increased 22.6 percent percent in Mesa County from the first four months of last year to the same period this year, and they grew 5.7 percent in Pueblo county. Over the same period, filings activity also grew in Adams, Arapahoe, Jefferson and Larimer counties. Filings fell in all other counties.

“The overall trend is clearly down for now, but we’re still going to see some ups and downs,” McMaken said. “Some of the most notable and badly needed declines in foreclosure activity were seen in Weld County, although Mesa county out west is still dealing with some challenges.”

Contact John Rebchook at JRCHOOK@gmail.com

Related Posts:

• Foreclosure auctions down 25%
• Colorado foreclosures down 15%
• Colorado No. 10 in foreclosures
• Foreclosures fall 27%
• Foreclosure hit 30-month low

Following three quarters of declines, auction sales rose slightly during the first quarter of this year from the preceding quarter, but remained well below totals reported during the first quarter of last year, shows the report by the Colorado Division of Housing.

There were 4,221 foreclosure auction sales, or completed foreclosures, reported during the first quarter, compared with 5,605 sales reported during the same period of 2011. Sales, however, rose four percent from the fourth quarter of last year to the first quarter of this year, rising from 4,057 at the end of 2011.

Foreclosure filings also fell during the first quarter. Foreclosure filing totals for the first quarter of this year were down 3.7 percent, falling to 7,783 from 2011’s first-quarter total of 8,079. From the fourth quarter of last year to the first quarter, foreclosure filings fell 8.9 percent.

40 percent below peak

Foreclosure auction sales during the first quarter fell 40 percent below the peak in 2007  of 7,117 auction sales reported during the third quarter of that year. Auction sales totals are now near a five-year low. New foreclosure filings during the first quarter fell 37 percent below 2009’s peak of 12,468 reported during the third quarter of that year.

“Foreclosure activity continues to trend downward in Colorado, even when compared to early 2011 which itself saw a big drop from 2010 totals,” said Ryan McMaken, spokesman for the Colorado Division of Housing. “Toward the end of 2011, we saw employment and home prices stabilize while home buying appeared to increase, so these foreclosure numbers likely reflect those factors.”

While several regions of Colorado saw improvement during 2011, some areas continued to experience growth in foreclosures.

Eleven of the state’s 12  metropolitan counties reported year-over-year declines in the number of foreclosure auction sales occurring during the first quarter. Sales declined 39 percent in Denver and Douglas counties from the first quarter of last year to the first quarter this year, while El Paso County declined 24 percent during the same period. Only Broomfield County reported an increase, with auction sales rising 36 percent.

Those counties that did experience increases were generally found outside the Front Range. From the first quarter of 2011 to the first quarter of 2012, 16 of Colorado’s 64 counties reported increases in foreclosure auction sales. Among those 16, 11 were mountain counties including Garfield, San Miguel, Ouray and Eagle counties.

The five counties with the highest foreclosure rates during the first quarter were San Juan, Eagle, Garfield, Las Animas, and Park. Mesa County was the only metro county among the counties with the top 10 highest foreclosure rates in the state. Boulder County, on the other hand, reported the lowest foreclosure rate of any metropolitan county and also had one of the lowest foreclosure rates overall.

“Several mountain counties are still dealing with growth in foreclosure activity, and may not have peaked yet,” McMaken said. “The Front Rage, however, which drives the overall statewide totals, looks like it peaked back in 2010.”

Foreclosure sales are opened foreclosures that have proceeded through the full foreclosure process to final sale at public auction. Filings denote the beginning of the foreclosure process, and once a foreclosure is filed, the borrower has at least 110-120 days to work with the lender to avoid a completed foreclosure. It is during this period that borrowers work with lenders and housing counselors to work out loan modifications, short sales, or other ways of withdrawing the foreclosure.

Have a real estate tip or story idea? Contact John Rebchook at JRCHOOK@gmail.com. 

InsideRealEstateNews.com is brought to you by Universal Lending Corp., Land Title Guarantee and 8z Real Estate.

Related Posts:

• Foreclosures down in Colorado
• Colorado foreclosures down 15%
• Colorado No. 10 in foreclosures
• Foreclosures fall 27%
• Foreclosure hit 30-month low

In a report released today, the Irvine, Calif.-based company showed that one out of every 191 households in Colorado were in some stage of foreclosure, from the first filing to the REO (real estate owned) transaction when the bank takes possession of the house. The U.S. average for foreclosures was one out of 230 households. Nevada remained No. 1 for the 62nd consecutive month, with one out of every 95 housing units in foreclosure. Nevada kept the top spot despite its foreclosure activity falling by 62 percent from the first quarter of 2011 and dropping 26 percent from the fourth quarter.

Colorado showed a 16.45 percent drop from the first quarter of 2011, about the same as the national average of 15.9 percent. However, Colorado’s foreclosure activity was up 6.2 percent from the fourth quarter, compared with a 2.25 percent drop for the U.S.

Nationwide, RealtyTrac reported 572,928 foreclosure filings. the first-quarter total was the lowest quarterly total since the fourth quarter of 2007, when 527,740 properties with foreclosure filings were reported.

Foreclosure filings were reported on 198,853 U.S. properties in March, a 4 percent decrease from February and a 17 percent decrease from March 2011. March’s total was the lowest monthly total since July 2007, and also the first monthly total below 200,000 since July 2007.

“The low foreclosure numbers in the first quarter are not an indication that the massive reservoir of distressed properties built up over the past few years has somehow miraculously evaporated,” said Brandon Moore, chief executive officer of RealtyTrac. “There are hairline cracks in the dam, evident in the sizable foreclosure activity increases in judicial foreclosure states over the past several months, along with an increase in foreclosure starts in many judicial and non-judicial states in March. The dam may not burst in the next 30 to 45 days, but it will eventually burst, and everyone downstream should be prepared for that to happen — both in terms of new foreclosure activity and new short-sale activity.”

Contact John Rebchook at JRCHOOK@gmail.com

Related Posts:

• RealtyTrac: Colorado No. 12 for foreclosures
• RealtyTrac: Colorado 9th for foreclosures
• Colorado No. 10 in foreclosures
• Colorado No.9 in foreclosures
• Colorado foreclosures fall 18%

Since 2008, NeighborWorks America has awarded CHFA and its partners more than $6.3 million through the NFMC program. These funds have helped over 13,000 Colorado households receive free, HUD-approved counseling from agencies located across the state. CHFA serves as the fiscal intermediary for the grant award; reimbursing the 13 sub-grantees for their work with grant proceeds as counseling sessions are completed.

“Throughout the foreclosure crisis, HUD-approved housing counseling has remained the best resource for homeowners at risk of foreclosure.” said Cris White, CHFA’s executive director and CEO. “While new foreclosure filings have declined, there still remains a significant number of Coloradans who need assistance.”

In December 2011, the Urban Institute released an evaluation of the NFMC program’s effect on loan performance through 2010 which found that counseled homeowners were at least 67 percent more likely to remain current on their mortgage nine months after receiving a loan modification, compared to homeowners who do not receive such counseling. In addition, homeowners who obtained a mortgage modification through the NFMC Program counseling saved an average of $176 per month, or more than $2,100 annually.

CHFA’s HUD-approved housing counseling sub-grantees included in the award are:

• Adams County Housing Authority
• Boulder County Housing Authority
• Brothers Redevelopment, Inc.
• City of Aurora
• Colorado Housing Assistance Corp.
• Douglas County Housing Partnership
• Grand Junction Housing Authority
• Housing Solutions for the Southwest
• NEWSED
•  NeighborWorks of Pueblo
• Northeast Denver Housing
• Southwest Improvement County
• Upper Arkansas Area Council of Governments

Contact John Rebchook at JRCHOOK@gmail.com

Related Posts:

• State foreclosures down 31%
• State’s housing picture brighter than many areas
• HAMP shows modest gain
• HAMP flat in Colorado
• Colorado misses housing market of no-return

Among the counties surveyed, there were 1,248 foreclosure auction sales during February of this year, compared to 1,338 sales during February of last year.

From January to February , foreclosure filings rose 6 percent while foreclosure auction sales rose 8.5 percent. In recent years, from January to February, foreclosure filings have tended to change little, while foreclosure auction sales have tended to fall.

“Foreclosure auction sales have now been down 13 of the last 14  months, comparing year-over-year and this continues a trend of diminished foreclosure filings that we’ve been seeing since the fall of 2010,” said Ryan McMaken, a spokesman with the Colorado Division of Housing. “On the other hand, filings were up a bit in February compared to last year, and this may reflect a renewed effort by lenders to process foreclosures in the wake of the recent legal settlement with the states and the feds.”

During February, the counties with the largest changes in foreclosure filings, year over year, were Boulder and Broomfield counties, where filings decreased by 23.5 percent and 25 percent, respectively. Mesa County, on the other hand, reported a 32.1 percent increase in foreclosure filings during the same period.

Five of 12 counties surveyed showed decreases in foreclosure auction sales in February when compared to the same period last year. The counties with the largest decreases in foreclosure auction sales, year over year, were Denver County and Weld County, where auction sales decreased by 52.6 percent and 18.3 percent, respectively. Mesa County and Adams County reported the largest increases in auction sales with increases of 18.8 percent and 19.2 percent, respectively.

The county with the highest rate of foreclosure sales during February was Mesa County with a rate of 706 households per foreclosure sale. Adams County came in second with 858 households per foreclosure sale. The lowest rate was found in Boulder County where there were 2,716 households per foreclosure sale.

The Division of Housing’s monthly foreclosure report surveys foreclosure activity in the twelve largest counties of Colorado. The report is a supplement to the Division’s quarterly foreclosure report that includes all counties in Colorado.

Contact John Rebchook at JRCHOOK@gmail.com

Related Posts:

• Foreclosures down in Colorado
• Foreclosure auctions down 25%
• Foreclosures dive 28%
• Foreclosures fall 25%
• RealtyTrac: Colorado No. 9 for foreclosures

Only 975 homeowners in Colorado entered the Obama Administration’s flagship program for keeping homeowners from losing their home in foreclosure, the fewest number since the program was launched, shows a government report released today.It also marked only the second that than fewer than 1,000 Colorado homeowners entered the required “active trials” portion of HAMP, or Home Affordable Mortgage Program. Last November, 995 began the program that can lower mortgage rates even below the historic low market rates available for financially strong buyers with equity in their homes.

The report also shows that 10,642 are in the permanent modification part of HAMP in Colorado, an increase of 149 from December.

Nationally, since the program began in March 2009, 951,319 permanent modifications have started. To date, they have saved an estimated $11 billion n monthly mortgage payments – a median of $533 each month.

For homeowners in the HAMP permanent modification with what is called the “principal reduction alternative” feature, the median amount of principal reduction is $68,063. This equates to more than $3.7 billion in principle reduction for homeowners across the country.

Contact John Rebchook at JRCHOOK@gmail.com

Related Posts:

• Few enter HAMP
• HAMP help for more than 10,000
• HAMP continues to fall
• HAMP hits new low
• HAMP shows modest gain

According to the joint lawsuit, filed in U.S. District Court in Denver, Bella Homes preyed on homeowners facing foreclosure by accepting more than $3 million in fees disguised as “rent” while they did little to actually help homeowners avoid foreclosure.

Bella Homes is accused of asking homeowners to give the company the titles to their homes and then to enter into a lease agreement with Bella Homes where they would “rent” their homes while Bella Homes allegedly worked to halt the foreclosure and purchase their mortgages.

Bella Homes accepted money from more than 450 consumers, including five in Colorado.

According to the complaint, Bella Homes told consumers they would:

• Avoid foreclosure.
• Allow Bella Homes to purchase or settle their mortgages.
• Be protected under federal law from eviction during the terms of the lease agreements.
• Be able to repurchase their homes in three years for 90 percent of its fair market value and receive credit for 60 percent of the rent paid to Bella Homes.
• Enjoy a mortgage payment following their repurchase that is 40 percent to 60 percent lower than previous payments.
• Not have foreclosures noted on their credit reports.

According to the complaint, the promises made by Bella Homes were false and Bella Homes did not provide any meaningful assistance to homeowners to avoid foreclosure and remain in their homes.

The Office of the Attorney General and the U.S. Attorney’s Office received a temporary restraining order against Bella Homes on Feb. 15. The temporary restraining order barred the company and its principals from engaging in their foreclosure-rescue business and froze Bella Homes’ bank accounts. On Wednesday,  the defendants agreed to a preliminary injunction ceasing further operations and transferring approximately $500,000 to the government for homeowner restitution, pending final resolution of the case.

“Foreclosure-rescue scams prey on distressed homeowners’ desire to save their homes and to find any means to help fix their dire financial situations,” Suthers said. “As is the case with most loan-modification and foreclosure-rescue operations, consumers who dealt with Bella Homes lost not only the thousands of dollars they paid for ‘help,’ but also their homes.”

“Bella Homes gave false hope to desperate homeowners, taking advantage of their desire to do anything to save their homes,” said U.S. Attorney John Walsh. “Bella Homes’s actions not only hurt those vulnerable homeowners, but the housing market generally. The company will now face the consequences of its misconduct.”

Bella Homes’ suspected activities affected consumers living in more than two dozen states. According to the complaint, most of the more than $3 million Bella Homes derived from “rent” payments were diverted to the company’s principals for personal use.

Suthers encouraged consumers who are facing or in foreclosure to obtain help from the Colorado Foreclosure Hotline at 1-877-601- 4673 before hiring a private company to try to modify their home loans. If a consumer insists on hiring a private loan modification company, Suthers encouraged consumers to bear in mind:

• It is illegal in Colorado for a loan modification company to charge you an upfront fee. Loan modification companies can only charge you once their services are completed.

Consumers should be wary of any company that tells you to stop making your loan payments or to stop working with your lender. Failing to make payments could result in a foreclosure.

• Never ignore communication from your lender at the behest of a loan modification firm. Most lenders have loan modification programs that can help you save your home. In some cases, all a borrower has to do is contact his or her lender and provide some current financial information.
• If a company promises to get rid of your debt, they are making a promise they cannot keep.
• Check out any loan modification company you are considering hiring. The Better Business Bureau maintains ratings of businesses. Any company with an “F” rating should be avoided.

Consumer who believe they have been the victim of a loan-modification or foreclosure-rescue scam should file a complaint at  this link.  For more information on loan modification companies or other types of foreclosure-rescue firms, visit the Office of the Attorney General’s Mortgage Fraud Information Center.

Contact John Rebchook at JRCHOOK@gmail.com

Related Posts:

• Brothers to honor Suthers
• Suthers joins foreclosure probe
• Judge shuts Sherron Lewis operations
• Foreclosures down in Colorado
• Foreclosure auctions down 25%

The report by the Colorado Division of Housing shows that there were 1,939 filings last month, compared with 2,699 in January 2011 in the 12 largest counties in the state. That marks the lowest number of filings in a January in five years.

Foreclosure auction sales in Colorado’s metropolitan counties were down 23.3 percent in January compared to January of last year, dropping from 1,499 to 1,150.  January 2012’s sales total was the lowest January total reported in five years.

New foreclosure filings fell year over year during January with total filings dropping 28.2 percent from 2,699 filings in January 2011 to 1,939 filings in January.

From December 2011 to January 2012, foreclosure filings fell 18.6 percent while foreclosure auction sales rose 18.8 percent. In recent years, foreclosure filings had tended to fall from December to January while sales have tended to rise during the same period.

14-month trend

“Foreclosure filings during January fell to levels well below any other January since 2008, and this continues a trend of diminished foreclosure filings activity that we’ve been seeing since the fall of 2010,” said Ryan McMaken, a spokesman with the Colorado Division of Housing. “In year-over-year comparisons, foreclosure filings have now fallen for 14 months in a row, which suggests a well-established trend at this point.”

During January, the counties with the largest decreases in foreclosure filings, year-over-year, were Douglas and Broomfield counties, where filings decreased by 44.5 percent and 40 percent, respectively. Larimer County reported the smallest decline in filings with a decrease of 16.7 percent from January 2011 to January 2012. All counties surveyed reported year-over-year decreases in foreclosure filings.

All counties except Broomfield showed decreases in foreclosure auction sales in January when compared to the same period last year.  The counties with the largest decreases in foreclosure auction sales, year over year, were Douglas County and Boulder counties, where auction sales decreased by 49.6 percent and 36.5 percent, respectively. Mesa County reported the smallest decline in auction sales with a decrease of 2.5 percent from January 2011 to January 2012.  Broomfield County’s sales total increased from three to 10 during the same period.

 The county with the highest rate of foreclosure sales during January was Mesa County with a rate of 752 households per foreclosure sale. Adams County came in second with 948 households per foreclosure sale. The lowest rate was found in Boulder County where there were 3,621 households per foreclosure sale.

It is still unclear as to how the recent legal settlement between federal officials, state attorneys general, and mortgage servicers will affect foreclosure trends, according to McMaken.

“There have been some indications that some servicers have been holding back on foreclosure processing until the deal was final,” McMaken said. “But it’s hard to predict how that would pan out here in Colorado and whether that would be enough to reverse the present downward trend.”

County	January 2011	January 2012	YOY percentage change
Adams	370	268	-27.6
Arapahoe	418	296	-29.2
Boulder	75	57	-24.0
Broomfield	25	15	-40.0
Denver	358	269	-24.9
Douglas	238	132	-44.5
El Paso	411	285	-30.7
Jefferson	250	191	-23.6
Larimer	120	100	-16.7
Mesa	118	93	-21.2
Pueblo	126	102	-19.0
Weld	190	131	-31.1
Total	2,699	1,939	-28.2

Contact John Rebchook at JRCHOOK@gmail.com

Related Posts:

• Foreclosures down in Colorado
• Foreclosure auctions down 25%
• Foreclosures little changed
• Foreclosures fall 25%
• RealtyTrac: Colorado No. 9 for foreclosures

Under the terms of the settlement, Colorado, which served on the executive committee that oversaw the settlement negotiations, will receive:

• $73.3 million that will be available to grant principal reductions on loans to make a modification possible. Approximately 40 percent of these funds will also be available to ease the effects of foreclosure, including waiving deficiency balances, enhanced cash-for-keys payments and blight prevention.
• $52.5 million in cash to the state.
• $46.3 million worth of refinancing benefits to underwater borrowers.
• $32.49 million in payments to homeowners who lost their homes to foreclosure between January 1, 2008 and December 31, 2011

“This agreement delivers real help to homeowners affected by the banks’ dual tracking and other improper mortgage- and foreclosure-related processes,” Suthers said. “As a result of this settlement, the banks will end a series of problematic processes that put homeowners at a severe disadvantage during the foreclosure process. This settlement will not solve every problem with the housing market, but it goes a long way to helping homeowners in distress now and leveling the playing field for consumers.”

The five banks are Bank of America, JPMorgan Chase, Wells Fargo, Citigroup, and Ally Financial.

Nationally, the banks have agreed to:

• Commit a minimum of $17 billion directly to borrowers through a series of national homeowner relief options, including principal reduction. Given how the settlement is structured, servicers will actually provide up to an estimated $32 billion in direct homeowner relief.
• Commit $3 billion to a mortgage refinancing program for borrowers who are current, but owe more than their home is currently worth.
•  Pay $5 billion to the states and federal government ($4.25 billion to the states and $750 million to the federal government).
•  Provide homeowners with comprehensive new protections through new mortgage loan servicing and foreclosure standards.
•  Be overseen by an independent monitor will ensure mortgage servicer compliance.

The settlement is the second largest multi-state consumer protection enforcement settlement after the 1998 tobacco litigation settlement. This agreement is the result of a massive civil law enforcement investigation and initiative that includes state attorneys general and state banking regulators across the country and nearly a dozen federal agencies. It holds banks accountable for past mortgage servicing and foreclosure fraud and abuses and provides relief to homeowners. With the backing of a federal court order and the oversight of an independent monitor, the settlement stops future fraud and abuse.

Customers of the five settling banks who lost their homes to foreclosure between Jan. 1, 2008 and Dec. 31, 2011 may be eligible for restitution under the settlement. The independent, third-party administrator of the settlement hopes to contact affected victims by the end of the summer. Customers of the five settling banks who are still in their homes but either behind on their payments or underwater should contact the banks directly through dedicated toll-free contact numbers to determine if they are eligible for assistance:

• Bank of America – 1-877-488-7814
• Chase – 1-866-372-6901
• Citigroup – 1-866-272-4749
• GMAC/Ally – 1-800-766-4622
• Wells Fargo – 1-800-288-3212

Contact John Rebchook at JRCHOOK@gmail.com

Related Posts:

• Is Denver’s home market heading for a dive or recovery?
• 8z broker: Westminster has it all
• Metrolist has new chief
• More lending rules coming, but don’t panic
• Few enter HAMP