Mixed reports for Denver foreclosures
Those looking for homes for sale in Denver may not find as many bargains stemming from foreclosure auctions, as a new report indicated a significant decrease in foreclosure auctions for the Mile High City. However, the report also stated that foreclosure filings are up.
The Colorado Division of Housing recently surveyed 12 major metro counties throughout the state and collected data for the first eight months of 2012, according to the Denver Business Journal. The housing report found that the number of foreclosure auction sales throughout Colorado's metro counties declined to the lowest number observed in six years.
The Denver Business Journal detailed that the CDH report showed a decrease in foreclosure auction sales for 10 of the 12 counties examined during the first eight months of 2012, compared to the same period in 2011. Douglas County and Denver County demonstrated the most significant decreases, with Denver seeing a 37.2 percent decline. The average for all 12 counties surveyed was a 25.7 percent decline.
However, the report also indicated that foreclosure filings increased by 4 percent in the Colorado metros surveyed.
An article in The Denver Post cited Ryan McMaken, a Colorado Division of Housing spokesperson, as saying, "With all the slowdowns and administrative delays that pushed foreclosure filings down so far last year, I expected a larger increase in filings this year. Instead, new foreclosures are only up slightly this year, while completed foreclosures really dropped off, reflecting last year's big drop in new filings."
Denver foreclosure filings totaled 268 in August, up 7.2 percent from July, during which foreclosure filings amounted to 250, according to the Denver Post's report on the CDH survey. The number of foreclosure auction sales for Denver totaled 127 in August, down nearly 6 percent from July, during which 135 foreclosure sales were conducted. Comparing August 2012 with August 2011, foreclosure filings in Denver decreased 21.2 percent while foreclosure sales decreased 31.7 percent.
A recent release from an industry organization revealed that Denver is among the major metros in the country that are experiencing extremely low Months Supply. Months Supply numbers, also known as Months of Supply numbers, represent how many months it would take for all the homes to sell that are currently for sale on the market if the current monthly sales volume continues. Denver's Months Supply was valued at 2.2 months, with San Francisco and Los Angeles being the only metros with a lower value than Denver. Denver's low Months Supply value demonstrates that this is a hot market, buyers are dominating and homes are selling rapidly.