So, you have missed a few mortgage payments on your home in Colorado. Now, you have a breach letter or a notice of foreclosure in your hand and are wondering what you should do from here. First, don’t panic. There is still time for reversal, so you can avoid pre-foreclosure procedures. In fact, you have 120 days of delinquency before a nonjudicial foreclosure begins. There are also some instances where judicial foreclosure occurs, but regardless of the process, you have rights and protections.
To help you navigate this trying time, we have put together some information, including foreclosure prevention resources.
About Homeownership
Colorado has a population of just over 5 million. There are around 1,980,000 occupied homes in Colorado, as well. Judging from these numbers, you can conclude that many residents of Colorado do not own a home. Many reside in student housing or apartment complexes. That said, there are several cities in Colorado where there is a mixture of urban and suburban living, where housing developments span far and wide.
Owning a home in Colorado requires budgeting and financial stability. That is because the median price of a home in Colorado is around $430,000. Prices have decreased slightly, but some of the hotspots, like Denver and Colorado Springs, continue to see homes priced between $345,000 and $485,000. In places like Boulder, purchasing a home costs an average of $809,491.
Cost of Living in Colorado
According to the Office of Economic Development and International Trade in Colorado, the cost of living in Colorado is 12 percent higher than the national average. Furthermore, the cost of healthcare is 2 percent above the national average. Yet, this is balanced out with utilities and transportation fees that are lower than average. The median income is also 13 percent higher than the rest of the US. In 2016, Colorado was the second least expensive state for energy.
The average utility bill in Colorado is between $340-$350 per month. This includes all utility expenses (electricity, gas, TV, water, trash, internet). Food prices are slightly higher than the national average. You can expect to spend about $340 per month at the grocery store.
With costs like that, as well as insurances, state tax, and more, it is no wonder some families facing financial hardships end up going into foreclosure.
Foreclosure Rates in Colorado
The average foreclosure rate for the entire state of Colorado is around 1 in every 49,356. Compared to other states, Colorado has far fewer foreclosures. However, although most of Colorado has very low rates of foreclosure (around 1 in every 110,000 houses), the more populated areas do have elevated rates. The top 5 counties in CO with high rates of foreclosure include:
- La Plata: 1 in every 9,029
- Park: 1 in every 14,341
- Weld: 1 in every 26,037
- Jefferson: 1 in every 33,809
- Denver: 1 in every 34,079
Have a specific question about Avoiding Foreclosure in Colorado? Check out our Foreclosure FAQ’s section.
Foreclosure Resources in Colorado
In Colorado, once you have defaulted on your mortgage payments, your lender must send you some information. This includes the phone number to the hotline for foreclosures (1-877-601-HOPE) as well as a direct phone number to the lender’s representative or department of loss mitigation. Someone will be able to discuss options with you, so be sure to check the letters you have received.
You can also find a HUD-approved housing counselor in Colorado for assistance at no cost to you. The counselor will be able to outline routes to avoid foreclosure.
The Colorado Department of Local Affairs also has a program called Colorado Housing Connects. The program is currently working with homeowners who are at risk of losing their home due to complications of COVID-19.
You do not have to face foreclosure alone. Get answers today by checking out the above-mentioned resources or by calling us directly at 1-877-494-9007. Our support team is here to answer whatever questions or concerns you may have.
Colorado Foreclosure Attorney
Sounds scary, but reaching out to a foreclosure attorney in Colorado may give you some insight into your legal options. An attorney may help you understand your rights as a homeowner and options other programs may not explore. Attorneys generally offer a free consultation, this gives you the chance to get answers to basic questions before paying.
Colorado Bankruptcy Attorney
Filing bankruptcy can protect a home facing foreclosure. But, this does not mean it is true for Colorado or your unique situation. Chapter 7 bankruptcy in Colorado may temporarily stop a foreclosure sale for 45 to 65 days after filing. This can give a homeowner time needed to catch up on mortgage payments and work out a solution with the lender.