Colorado State is located in the Rocky Mountains. Its capital is Denver. The Coloradans enjoy a cool and dry climate but it is complex because of the proximity of the mountain ranges. Colorado has the highest concentration of Hispanic residents. Today the Coloradans are alarmed at the increasing number of Colorado bank foreclosures. The latest news about Colorado bank foreclosures is bad. The forecast is that Colorado bank foreclosures will continue into the next few years because of the resetting of the adjustable-rate mortgages. This news about Colorado bank foreclosures is from the horse’s mouth – the HUD. But there is good news about Colorado bank foreclosures also. The Colorado bank foreclosure picture is not as bad as it as during the late 1980’s and early 1990’s. The argument is that since Coloradans recovered from that bad attack of Colorado bank foreclosures they will do so again this time.
Studying the figures of Colorado bank foreclosures it is noticed that it is about 1.4% compared to 2.75% in 1990. Another point of hope for Colorado bank foreclosures is that although the number of delinquencies has gone up by about 4% it is still less than the national average of 4.7%. In the previous instance when Colorado bank foreclosures created havoc it had overtaken the national rate. The years of 2004 and 2005 had seen a housing boom. But the reverse trend became prominent during 2006 and 2007.
A Home Ownership Preservation conference was organized by HUD in which Brian Montgomery, the main speaker highlighted what the Federal agencies are doing to help the crisis of Colorado bank foreclosures. Montgomery is in charge of a $400 billion FHA insurance portfolio. He said that the government is determined to stem the tide of Colorado bank foreclosures. The reasons for this spate in Colorado bank foreclosures are a combination of sub-prime lending with general economic ill health.
According to latest reports there have been more Colorado bank foreclosures during the first nine months of 2007 than during the same time in the previous year. Two of every three homes entering foreclosure in Colorado end up in auctions. From January to September 2007 there were 28,960 foreclosures as contrasted to 28,509 during entire twelve months of the previous year. There were 19,025 auction sales in the state during the first three quarters as against 15,112 in the whole of 2006. Most of the auctioned units go back to the lenders.
