DENVER-
First-quarter foreclosure filings were up 30 percent in the seven-county Denver area from the same time last year, when there was a record number of filings.
The pace surprised analysts who expected a much more moderate hike.
A Rocky Mountain News survey of public trustee offices in Adams, Arapahoe, Boulder, Broomfield, Denver, Douglas and Jefferson counties found that the offices received a total of 6,213 foreclosures filed in the first quarter, compared with 4,781 foreclosures in the same time period last year.
The 19,425 foreclosures filed for all of last year in the seven counties was a record.
“Our forecast was anticipating maybe a 5 percent to 10 percent increase over last year,” said Patty Silverstein, chief economist for the Metro Denver Economic Development Center and president of Development Research Partners.
Silverstein said the number of foreclosures could reach 25,000 this year if the pace doesn’t slow. Many homeowners fell victim to lower rates that were adjustable and went up. Interest rates on credit cards also have risen.
Kathi Willliams, head of the Colorado Division of Housing, said lenders seem more willing than in the past to try to help people keep their homes.
Sarah Hays, a broker with Metro Property Brokers in Centennial, said investors and homeowners can both get good deals, but patience is required. The market will get worse before it improves, she added.
She said investors or home buyers shouldn’t plan on making a killing. “This is not a good market for flipping homes,” Hays said. “We are getting interest from investors who want to rent foreclosed homes. And foreclosures can be good deals for first-time buyers who are not afraid of putting a little elbow grease into the homes.”
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Information from: Rocky Mountain News,
