Colorado

Colorado

LAWMAKERS CONSIDER MORTGAGE BROKER REGISTRATION
Lawmakers are considering a bill (HB 1161) that would force independent mortgage brokers to register with the state at a cost of $75 every three years and create a mortgage enforcement board to investigate and prosecute violators. A fee of up to $5 will be added to each mortgage closing to fund the enforcement board's investigative and prosecutorial activities. As part of the measure, brokers would undergo criminal-background checks and be required to post $100,000 bonds. The Mortgage Enforcement Act has received the support of the Colorado Mortgage Lenders Association and the Colorado Association of Mortgage Brokers, rival groups that have never before worked together to push through legislation. CAR is in support of the bill.

DESPITE DROP COLORADO HAS SECOND HIGHEST FORECLOSURE RATE IN U.S.
RealtyTrac’s 2005 U.S. foreclosure Market Report puts Colorado at number two in the U.S. despite a four percent decline in new foreclosures in the fourth quarter of 2005. According to RealtyTrac, 1.62 percent, representing 29,630 homes, of all Colorado households are in some form of foreclosure. Only Florida has a higher rate at 1.67 percent of households, or 121,843 properties. Colorado’s relatively low appreciation over the past two years contributed to the high rate of foreclosures.