The state of Colorado experienced a 50% annual drop in foreclosure filings in May, a significant departure from the 2,249 filings recorded in May 2012.

As of last month, only 1,113 foreclosure filings were made – the lowest level reached since the Colorado Division of Housing began collecting this data in 2007.

So what does this mean for Colorado?

For starters, Colorado, like every other state, is benefitting from low mortgage rates. When you add in the strength of the local economy, the state has been able to move forward, putting the foreclosure crisis behind it.

Ryan McMaken, an economist for the Colorado Division of Housing, says the downward trend in foreclosures is likely to occur as long as employment is stable and mortgage rates remain low.  

In the first five months of the year, foreclosure filings fell 43.4% in Colorado when compared to year earlier levels.

Foreclosure auction sales for the same period also plummeted 29.4%.