A single unexpected expense and a missed mortgage payment can set off a string of events that snowball into a complicated problem. When you miss a payment, you have a short grace period, usually 10-15 days, during which you can pay without penalty. After that, a late fee will be assessed by the lender, which is often 5% of the amount overdue. It doesn’t take long for that one unaffordable mortgage payment to become even more out of reach, putting foreclosure proceedings into action.
Foreclosure involves many complex steps according to a timeline specified by Colorado law. When there is an opportunity for you to do something to avoid a Colorado foreclosure, do it as soon as possible and follow the instructions you are given to the letter. Even small errors can potentially derail you from keeping your home. Let’s take a look at how the foreclosure process unfolds and how you can respond at each step
This timeline is a simplified summary of the basic procedures under the foreclosure statute and does not attempt to cover all aspects. This is a complex statute and an attorney should be consulted before taking any steps, or making any decisions, regarding the foreclosure process.
Note that, unless otherwise stated, all references to “days” are “calendar days”. When calculating dates, if the specified date is a legal holiday, or a Saturday or Sunday, then the date is extended to next day that is not a legal holiday, Saturday or Sunday.
Lender’s procedures on commencement of the foreclosure saleThe lender’s attorney will commence the sale by filing the following with the public trustee of the county where the property is:
Public trustee procedures on commencement of the foreclosure saleOn receipt of the request for sale, the public trustee must:
Right to Cure:
Rule 120 Hearing (Colorado Rules of Civil Procedure Rule 120):
Redemption for junior lienors:
Vesting of title: