Dear Foreclosure Seeker,
Colorado is one of the top states with homes in foreclosure! This page will outline the foreclosure process. To recieve 1 FREE list of homes in foreclosure in the Denver and surrounding areas or to schedule a 1 on 1 appointment to learn in more detail about purchasing foreclosures CLICK HERE .
The foreclosure process is as follows:
1. Once the homeowner is in default of the loan by missing at least 1 or more payments the loan holder will hire an attorney to start foreclosure proceedings. The attorney will file papers with the County Public Trustee.
2. The County Public Trustee will file a Notice of Election and Demand (NED) which starts the proceedings. The Public Trustee will set a Sale Date no sooner than 110 days after the NED and no later than 125 days after the NED. During this period (CURE PERIOD) the home owner can make the loan good again by coming up with all back payments and any fees.
3. The loan holder will present a written bid to the Public Trustee the amount it wishes to purchase the property. The amount can be no higher than what is owed plus any fees associated with the foreclosure process. This amount will be published in the Public Trustees office 1 day prior to the Sale Date.
4. To purchase a home at the Public Trustees Sale, you first must register with The Public Trustee which property you wish to bid on and have Certified Funds in the amount of the loan holders bid + $1. more. If you are the winning bidder you will be issued a Certificate of Purchase and you now become the Loan Holder.
5. At this point you still do not own the property. However, the homeowner has no rights to the property at this point. This Redemption Period is when any Junior Lein Holders can redeem the property but they must file their Intent To Redeem by the 10th day after the Sale or they will lose all rights and monies owed.
6. After the redemption period has passed and no one has redeemed & If no one outbid the original loan holder the property goes to them. This is called a Bank Owned property or Real Estate Owned (REO). If you won the bid, then you will be issued a deed.
7. REO's can also be a source to find good buys. Banks are not in the business to own property so they will reduce the price to get them sold as quickly as possible.
There is a lot more to the foreclosure process. This page is intended to give an over view of the process. To learn more, schedule a 1 on 1 appointment and receive the foreclosure list for FREE . CLICK HERE and fill out the online submission form and type "foreclosure" in the comment section.
