Wednesday, December 12, 2012

Completed foreclosures in Colorado metros fall to six-year low during November

Foreclosure filings were down 36.8 percent in Colorado metro counties during November 2012, falling to the lowest level recorded in any month since the Division of Housing began collecting monthly totals in 2007.  According to a report released Wednesday by the Colorado Division of Housing, foreclosure auction sales in Colorado’s metropolitan counties were down 31.8 percent last month compared to November of last year, falling from 1,290 to 880.  Over the same period, foreclosure filings dropped from 2,296 to 1,450. 

For the first eleven months of the year, from January through November, foreclosure filings were down 6.5 percent in 2012 when compared to the same period last year. Foreclosure auction sales were down 19.9 percent over the same period.

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

“Declines in foreclosure filings have accelerated in recent months,” said Ryan McMaken, an economist for the Colorado Division of Housing. “There are still going to be some ups and downs, but declines in foreclosures this year have been larger than what we expected.”

Comparing the first eleven months of this year with the same period last year, the counties with the largest drops in foreclosure filings were Larimer and Boulder counties where filings decreased by 17 percent and 18.5 percent, respectively.  Mesa County, on the other hand, reported a 17.8 percent increase in foreclosure filings over the same period. Mesa County was the only county to report an increase in foreclosure filings.

Ten of twelve counties surveyed showed decreases in foreclosure auction sales during the first eleven months of this year 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 Arapahoe County where auction sales decreased by 32.4 percent and 27.7 percent, respectively. Broomfield and Pueblo counties reported increases of 12 percent and 2.9 percent, respectively, in auction sales over the same period.  

The county with the highest rate of foreclosure sales during November was Mesa County with a rate of 1,143 households per foreclosure sale. Pueblo County came in second with 1,323 households per foreclosure sale. The lowest rate was found in Boulder County where there were 3,912 households per foreclosure sale.

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