Steps to Foreclosure
Before starting the foreclosure proceedings, the lender or their attorney must comply with Colorado law and notify the property owner at least 30 days in advance of their intent to foreclose.
The foreclosure process includes the following steps:
The Foreclosure Process
- The lender’s attorney submits the Notice of Election & Demand—NED to the Public Trustee. The NED packet may be submitted electronically.
- Within 10 business days of receiving the packet from the lender's attorney, the Public Trustee records the Notice of Election & Demand (NED) with the County Clerk & Recorder.
- The Public Trustee sets the Sale Date between 110-125 calendar days after the NED is recorded.For agricultural property, the Public Trustee sets the Sale date between 215-230 calendar days after the NED is recorded.
- The property owner may file a Notice of Intent to Cure anytime up to 15 calendar days prior to the first scheduled sale date. The lender or their attorney must submit a cure statement to the Public Trustee within 10 days for the amount needed to cure the default. The property owner must pay the cure amount by the expiration date of the cure statement, or by noon Tuesday before the Wednesday sale—whichever comes first.
- The Public Trustee mails a Combined Notice of Foreclosure and Sale to a Mailing List provided by the lender’s attorney within 20 calendar days after the NED is recorded and again within 45-60 calendar days prior to the first scheduled Sale date.
- The Public Trustee publishes a Combined Notice of Foreclosure and Sale in a local paper 5 times over 4 consecutive weeks, ending 45-60 calendar days prior to the first scheduled Sale date.
- At least 16 days prior to going to sale, the lender or their attorney must obtain an Order Authorizing Sale (OAS) from the District Court in the County where the property is located.
The lender will request the OAS hearing and notify anyone who appears to have an interest in the property of the hearing date, time and place at least 14 days in advance of the hearing. The purpose of the hearing is to determine that there is a reasonable probability that a default has occurred, and whether an Order Authorizing Sale is otherwise proper under the Service Member Civil Relief Act. The owner/borrower may file a response and attend the hearing. If they believe the loan is not in default, they may testify at the hearing. The Judge shall summarily grant or deny the motion.If no one files a response to the notice of hearing prior to 7 days before the hearing, the Court may dispense with the hearing and enter an Order Authorizing Sale.
- The lender must submit the OAS and a signed and itemized bid form to the Public Trustee by noon Monday prior to Wednesday’s sale.
- The lender may submit a notice of Withdrawal or Continuance up to the start of the Wednesday sale.
- The Pre-sale List is posted on the Public Trustee’s website by 3 p.m., Monday prior to Wednesday’s sale, and an amended list is posted by 4 p.m., Tuesday.
- The Public Trustee conducts the Foreclosure Sale at 10 a.m. every Wednesday (except certain holidays) in the East Hearing Room at the Arapahoe County Administration Building, 5334 S. Prince St., Littleton, CO 80120. If the lender has not submitted a bid on a property scheduled for sale, the Public Trustee will automatically continue that property sale one week. If no lender bids are received on any scheduled properties, that week’s sale will be canceled.
- The lender will receive their minimum bid amount from the Public Trustee within 5 business days after a property is sold.
- The Public Trustee files the Certificate of Purchase to the winning bidder within 5 business days after the sale.
- A junior lienholder who is able to redeem the property receives a Certificate of Redemption within 5 business days after the redemption.
- After all redemption periods have expired and title vests, the Public Trustee will execute and record a Confirmation Deed to either the holder of the Certificate of Purchase or the holder of the Last Certificate of Redemption.