Foreclosures not slowing down in Colo...

Foreclosures not slowing down in Colorado

There are 2 comments on the KUSA Denver story from Aug 30, 2007, titled Foreclosures not slowing down in Colorado. In it, KUSA Denver reports that:

There were 10,017 new foreclosure filings issued in Colorado during the second quarter of 2007, bringing total foreclosure filings to 19,460 for the first six months of the year.

Join the discussion below, or Read more at KUSA Denver.

Tom F

Pembroke Pines, FL

#2 Aug 30, 2007
Why don't the banks step forward and renegotiate with the owners and drop the adjustable rate part, unless they like having a lot of spare houses and no income?
El Doran

AOL

#3 Aug 31, 2007
Tom F wrote:
Why don't the banks step forward and renegotiate with the owners and drop the adjustable rate part, unless they like having a lot of spare houses and no income?
Because the lenders don't care if they have vacancies and losses to offset their interest income from those still able to make payments. Remember the goal of any corporate entity is for the top eschelon to make the biggest salaries and bonuses they can while paying zero corporate tax if they find enough losses. Also the lender's have a substantial amount of windfall profits to be made on the foreclosed persons lost equity. Very few mortgages were at 100% LTV's. If someone walked on a home that appraised at $250K 2 years ago and they got an 85% LTV loan making $37K of equity, even if the home has lost 5% of its former value, and after foreclosure and realtor expenses there is still a $10-$20K of windfall profit to the lender. This was all part of the original plan when they made these loans. Escalate the payments to force foreclosure and skim the the equity.

Tell me when this thread is updated:

Subscribe Now Add to my Tracker

Add your comments below

Characters left: 4000

Please note by submitting this form you acknowledge that you have read the Terms of Service and the comment you are posting is in compliance with such terms. Be polite. Inappropriate posts may be removed by the moderator. Send us your feedback.

Denver County Discussions

Title Updated Last By Comments
News Denver youth-facility staffer charged with abuse (Jul '09) Feb '16 Dimitras 182
karl and joshua wilkes sale prostitues (Sep '15) Sep '15 sheriff joshua wi... 1
News Foreclosure filings inch up in 2012, auction sa... (Aug '12) Aug '12 U Y LEE 1
News Jo Scott, abortion zealot, permanently enjoined... (Oct '11) Oct '11 Sick of it 1
News New U.S. Census data means Colorado's congressi... (Mar '11) Mar '11 not surprized 1
News Census: More immigrants moving to Longmont (Nov '10) Nov '10 metoo 1
News Neighbors say owner of home where alleged burgl... (May '10) May '10 He was right 2
More from around the web