DENVER,Colorado leads the nation in foreclosures and the problem could only get worse for those who get behind. A new free hotline provides an easy way for those who may be in danger of foreclosure to talk directly with a trained, professional housing counselor. Counselors can offer free assistance in helping homeowners navigate the foreclosure process and can act as a facilitator between homeowners and their mortgage lenders.

1-877-601-HOPE(4673).

The Foreclosure Hotline is the first of its kind in the United States. It is the first statewide hotline - tailored specifically to the legal realities of Colorado - and it is the first to connect borrowers with local counselors in communities throughout the state.

The Hotline is the product of a consortium of private-sector and government organizations that have come together to address the high foreclosure rate in Colorado. The consortium is composed of JP Morgan CHASE, The Colorado Division of Housing, The Colorado Division of Real Estate, the Colorado Association of REALTORS, the Colorado Attorney General's Office, The Colorado Housing Counseling Coalition, housing counseling agencies throughout the state, and a variety of other public and private groups concerned about the effects of multiple foreclosures on the community.

Foreclosures aren't just a problem for homeowners in foreclosure. Foreclosures cost communities a lot of money, as they negatively affect home values throughout the region. The hotline is about helping individual borrowers, but "It's also about helping protect the equity of homeowners throughout Colorado," said Kathi Williams, executive director of the Colorado Division of Housing.

The hotline is being operated by Brothers Redevelopment. "Foreclosure is everyone's problem because it impacts home values for entire community," said Zachary Urban, program manager for Brothers Redevelopment. "We found early intervention not only helps prevent foreclosure but it is important because it helps sustain property values for the home owner at risk of defaulting and the other surrounding properties as well."

14,205 foreclosures have been reported for this year through September - a 32.3 percent increase over 2005. Foreclosures often cost lenders from $35,000 to $50,000 on each home.

Rocky Mountain News Article - October 12, 2006
Denver Post News Article - October 12, 2006

The consortium partners of the Foreclosure Prevention Task Force:

Foreclosure Prevention Task Force

• JP Morgan CHASE
• Colorado Association of REALTORS
• Colorado Division of Housing
• Colorado Division of Real Estate
• Colorado Attorney General¿s Office
• Brothers Redevelopment, Inc.
• Boulder County Housing Authority
• Consumer Credit Counseling of Northern Colorado
• Aurora Housing Authority
• Colorado Housing and Finance Authority - CHFA
• Arapahoe County
• Habitat for Humanity of Metro Denver
• Douglas County Housing Partnership
• Clarion Mortgage
• Colorado State Housing Board
• Pikes Peak Foreclosure Prevention Partnership
• Boulder County Public Trustee
• Denver County Public Trustee
• Fannie Mae
• City of Lakewood
• Arapahoe County
• Colorado Association of Mortgage Brokers
• Colorado Housing Assistance Corporation
• Colorado Mortgage Lenders Association
• Adams County Housing Authority
• Northeast Denver Housing
• Fort Collins Housing Authority
• Catholic Charities
• The Real Estate Operation
• Consumer Credit Counseling Service of Colorado Springs