Colorado Foreclosure Laws
Attorney General's Office
1525 Sherman Street, 5th floor
Denver, CO 80203
Ph: (303) 866-4500
Foreclosure Laws in Colorado
Judicial Foreclosure: Yes
Non-Judicial Foreclosure: Yes
Security Instruments: Trust Deed / Mortgage
Right of Redemption: Yes. 75 Days
Deficiency Judgments: Yes
Time Frame: 5-7 Months
Public Notice: Notice of Default
Judicial foreclosure: Employed when no power of sale clause is
included in the security instrument. In Colorado, the lender must sue the borrower
and obtain a court order to foreclose.
Non-judicial foreclosure: Procedure is used when a power of sale
clause authorizing the lender to sell the property in the event of default is included
in the loan document. The Colorado foreclosure process differs from most other states
in that the Governor appoints a Public Trustee for each county.
The Public Trustee: Acts as an impartial third party in handling
non-judicial foreclosures. The procedure is as follows:
The lender's attorney files the required documents with the Public Trustee who then
records a notice of election and demand with the county clerk. The Public Trustee
then must publish the notice of election and demand in a newspaper of general circulation
in the county where the property is located for five consecutive weeks.
The Public Trustee must also mail a copy of the notice of election and demand and
a copy of the notice of sale to the borrower at the address in the recorded security
instrument within ten days of the publication. The Trustee must also, at least twenty
one days before the date of sale, mail to the borrower a notice containing instructions
on how to redeem the property.
The borrower may stop the process by filing a notice of “intent to cure” with the
Public Trustee at least fifteen days prior to the sale and then bring the loan current
by noon of the day before the sale.
The sale must take place between forty five and sixty days after the recording of
the notice of election and demand. The Public Trustee may hold the sale at any entrance
of the courthouse unless other provisions were made in the deed of trust.
Deficiency judgment: The lender may file suit to recover any deficiency
Right of redemption: None.