Jon GoodmanCo-Author: Jordan J. Bunch, Esq. Question: Are loans made for the purchase of residential investment properties “residential mortgage loans” under Colorado law? Quick Answer: The Colorado Board of Mortgage Loan Originators is on a path to regulate loans intended for development, rehabilitation, resale or rental of residential property, potentially hindering access to financing for rehabilitation … Continue Reading
Co-Author: David A. Farus, Esq. Colorado has returned to having a State approved real estate purchase contract designed for commercial transactions. This article identifies differences between the new Colorado Real Estate Commission (CREC) approved commercial and residential forms, a conceptual flaw in the commercial form, and a partial solution to the flaw. Most of the … Continue Reading
Assignment of Lien Positions The assignment of junior liens and other redemption positions allows the system and markets to maximize the value of these positions. For example, a home owner’s association lien might have little value to the home owner’s association in a foreclosure of a senior deed of trust because the homeowner’s association … Continue Reading
Bid Rigging In certain situations the courts have equitable discretion to extend statutory redemption periods and void foreclosure sales. Courts have the power to set aside a foreclosure sale or extend the redemption period if there has been “fraud, deceit, or collusion.”(E1) One type of collusion occurs when two or more bidders at a foreclosure … Continue Reading
What Do I Need to Know to Bid at Colorado Foreclosure Auctions? A. Tracking Sales The public trustees along the front range of Colorado generally have websites that allow investors and others to track the status of properties that are in some stage of the foreclosure process. For non-agricultural property, public trustee’s sales cannot be … Continue Reading
Co-Author: David A. Farus, Esq. Leasing Brokers may now lien property when the owner defaults on its obligation to pay leasing commissions for commercial properties. At the closing of most real estate sales, the buyer brings new money to the table. Even in short sales, where the seller’s debt exceeds the purchase price, the amount … Continue Reading
I. Introduction In Colorado, the foreclosure process historically gave borrowers two opportunities to pull their property out of foreclosure. Prior to the foreclosure sale, the borrower (and others) could “cure” monetary defaults. After the foreclosure sale, the owner could “redeem” the property. For foreclosures filed after January 1, 2008, the time period which would otherwise … Continue Reading
Co-Author: Jordan Bunch, Esq. Consider a transaction scheduled to close on Wednesday, June 30, 2010, attended by both buyer and seller. The seller signs all of the seller documents, including the deed, which is tendered to the closer for recording. The buyer signs all of her documents and tenders her down payment. Though the buyer’s … Continue Reading
In 2009, the Wall Street Journal estimated that over 25 percent of American households with mortgages were worth less than the total debt secured by the property. For most upside down homeowners, a successful short payoff transaction is a better option than simply allowing their home to go into foreclosure. Not all upside down … Continue Reading
Right of First Refusal— Kick Out Clauses You’ve just received an otherwise desirable offer on one of your listings. Unfortunately, it is not clear whether Buyer will be able to qualify for the loan. Your Seller is inclined to accept the offer, but wants to preserve the flexibility of replacing this Buyer with another one, … Continue Reading
