Monday, November 22, 2010

Completed foreclosures in Colorado fall in response to foreclosure slowdown

Click here for the full report.

Foreclosure sales at auction dropped to a 19-month low in Colorado’s metropolitan counties during October. According to a report released today by the Colorado Division of Housing, foreclosure sales fell 38 percent from September to October as some mortgage servicers slowed down the processing of foreclosures in response to the so-called “robo-signing” controversy.

Comparing year-over-year, foreclosure sales fell 13.8 percent in October, but year-to-date comparisons show that for the period from January to October, foreclosure sales are up 18.3 percent as compared to the same period last year. There were 1,308 foreclosures that proceeded to sale at auction during October 2010 in Colorado’s metropolitan counties, compared to September’s total of 2,111. There were 1,518 sales during October of last year.

Foreclosure filings, on the other hand, continued to fall. Foreclosure filings fell 5.4 percent from October 2009 to October 2010, and year-to-date comparisons show that filings are down 11.2 percent for the period of January to October this year as compared to the same period last year. Filings rose 3.4 percent from September to October. There were 3,059 foreclosure filings during October 2010 in the metro Counties, compared to September’s total of 2,959. There were 3,254 filings during October of last year

Foreclosure filings are the initial filing that begins the foreclosure process, and foreclosure sales totals are the total number of foreclosures that have been sold at auction at the end of the foreclosure process.

With the exception of Mesa County, all metropolitan counties showed decreases in foreclosure sales at auction, comparing year-over-year. From October 2009 to October 2010, foreclosure sales rose 35.9 percent in Mesa County, but foreclosure sales fell 60 percent in Broomfield County, and they fell 37.9 percent and 35.6 percent in Boulder County and Pueblo County, respectively.

Foreclosure filings trends were mixed in Colorado’s metro counties. From October 2009 to October 2010, in Broomfield and Mesa counties, filings increased 36.8 percent and 16.2 percent, respectively. In all other metro counties, during the same period, foreclosure filings either fell or rose only a small amount. Filings fell 16.8 percent and 13.3 percent in Adams and Arapahoe Counties, respectively.

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.

For statewide data, see the video update for the third quarter foreclosure report: