A FORECLOSURE FILING DOES NOT MEAN YOUR HOME IS LOST
Under Colorado law, if the reason for you default is due to non-payment, you have the right to bring your loan current to stop the foreclosure. There is no fee to file an “Intent to Cure.” To protect your rights, you should file as soon as you receive a foreclosure notice from the Public Trustee or no later than 15 days before the scheduled sale date. The law directs the Public Trustee to contact the lender or the lender’s attorney to request a statement of all sums to bring the loan current. The Public Trustee will send you the statement of amount due. You have until noon the day before the sale to pay. If the lender or the lender’s attorney does not provide the statement in a timely manner, the sale will be delayed.
Transfer of Title
Title does not transfer until the end of the 8th business day after sale, or at the conclusion of all established redemption periods. Until that time, the owner prior to sale remains the owner with full right to continue occupying the property. Sales are frequently delayed. There is no reason to vacate your home until after the foreclosure sale occurs.
If your property is purchased at auction for more than the total owed to your lender, an “overbid” is created. This overbid may be claimed by other lienholders, or may be payable to the homeowner after sale. Contact us after sale, you may have an overbid; there is no need to pay a 3rd party to “help” you collect the money.
Colorado Foreclosure Hotline This 24-hour free bilingual service offers assistance and guidance to individuals inquiring about the foreclosure process and their rights and responsibilities. This hotline connects homeowners with trained professional housing counselors. https://www.hud.gov/states/colorado/homeownership/foreclosure Call: 877-601-4673
Colorado Legal Services Help for low-income Coloradans with regard to housing law, including foreclosures, evictions, landlord/tenant issues and others. www.coloradolegalservices.org Call: 719-471-0381
Consumer Credit Counseling Service A HUD-certified Dallas-based nonprofit organization that offers free default mortgage counseling. Call: 800-769-3571
Making Homes Affordable Programs For information on the Making Home Affordable Program and the Home Affordable Foreclosure Alternatives Program, contact www.makinghomeaffordable.gov Call: 888-995-4673
You may receive offers of “help” from complete strangers in the mail, over the telephone and at your door. Some of these people may attempt to steal the equity you have in your home.
SOME COMMON SCHEMES
• Offers to “fix” or “stop” your foreclosure or other promises to “save” your home
• Promises to “cure” your default or “repair” your credit
• A “guaranteed buy out” or quick “cash for your home”
• Sale and lease-back schemes – a scheme in which you are encouraged to sell your home for a fraction of its current value and then rent it back until you can afford to buy it again
• Don’t sign any documents until you have had time to review them carefully and/or consult legal counsel about your rights
• Remember – Any kind of “deed” (warranty deed or quit claim deed) means you are transferring ownership of your home to someone else.
• Be especially careful of programs that lease your home back to you with a promise that you can repurchase it back at a later date
If you suspect fraud on a foreclosure or a scam regarding a loan modification, contact:
Federal Deposit Insurance Company www.fdic.gov Call: 877-275-3342
Office of the Attorney General Consumer Protection Section 1525 Sherman Street, 5th Floor Denver, CO 80203 www.coloradoattorneygeneral.gov Call: 800-222-4444
4th District Attorney Economic Crime Division 105 E Vermijo, 5th Floor Colorado Springs, CO 80903 Call: 719-520-6000
To file a complaint against an attorney, real estate agent or mortgage broker, contact the agencies below:
Colorado Supreme Court (for attorney) www.coloradosupremecourt.com Call: 303-457-5800 - Toll Free 877-888-1370
Colorado Department of Regulatory Agencies (for agent or broker) https://dre.colorado.gov/complaint-process
Call: 303-894-2166 - Toll Free: 800-866-7675