Colorado foreclosures drop 31% in 2011
Foreclosure filings in Colorado declined 31% from year-ago levels in the first eight months of the year, according to the Colorado Division of Housing. During that period, 16,481 foreclosure filings were initiated, down from 24,032 in the first eight months of 2010. Despite the large drop in filings, the housing division believes Colorado foreclosure postings could tread upward in the coming months with new foreclosure filings increasing 34.2% between the months of July and August. "The sizable increase from July may signal that some lenders are beginning to process foreclosures more quickly, or it could be due to the increase in new mortgage delinquencies reported during the second quarter," said Ryan McMaken, a spokesman for the Colorado Division of Housing. "It's too early to declare an upward trend at this point, but we did see in the Mortgage Bankers Association’s delinquency data that there was an increase in new 30-day and 60-day delinquencies in Colorado mortgages during the second quarter. New delinquencies during the second quarter could potentially lead to new foreclosure filings in the third quarter." The Colorado Division of Housing also noted a drop in foreclosure sales. Foreclosure auction sales in the first eight months of 2011 fell 18.5% from 14,114 last year to 11,502 in 2011. Write to Kerri Panchuk.