| If Georgia is the top state for real estate frauds, | | | | economy. The head of Colorado Real Estate Center, |
| Colorado real estate steals the spot for being with | | | | Byron Koste affirms the statement by Wenke. Koste |
| the most foreclosures. Colorado has the distinction of | | | | says that the rising foreclosure rates should serve as |
| having the highest number of foreclosed homes in | | | | a red flag for the economists that are claiming |
| the nation for the second consecutive month. This is | | | | economic strength. Koste adds that foreclosures are |
| the latest sign that the weak, lower-priced housing | | | | more frequent among entry-level housing market. |
| market continues to plague the economy. The | | | | Events like these usually throw real estate businesses |
| RealtyTrac Inc. report shows that since April, 3,706 | | | | off because consumers are more hesitant to buy |
| homes in Colorado were in state of foreclosure. That | | | | houses.However, Cherrywood Properties' Ben Fielder |
| translates to a ratio of one of every 494 households | | | | claims that it is unfair to categorize the whole of |
| in foreclosure. The national average is one of every | | | | Colorado real estate as foreclosure haven. He asserts |
| 1,268 households.Colorado real estate retained the No. | | | | that the foreclosures are primarily concentrated on |
| 1 spot even though the rate of foreclosures dropped | | | | the northeastern side of Aurora and Adams County. |
| by 31 percent from March, when 5,392 homes were | | | | He even claims that real estate is on a steady rise |
| in foreclosure. There is a disaster driving the high rate | | | | and that people are more excited than ever to buy |
| of foreclosures, said Mary Wenke, public trustee of | | | | their own Colorado home. The only problem he sees |
| Arapahoe County. In April, Wenke's office opened | | | | is that there are over-enthusiastic buyers who get |
| 436 foreclosures, compared with 288 in April 2005. | | | | loans and mortgages that they cannot |
| Wenke insisted adjustable rate mortgages, whose | | | | manage.Whether you decide to buy Colorado real |
| interest rates are starting to rise, will mean even | | | | estate or not, it's up to you. The place is good, with |
| more foreclosures in coming months. The factors | | | | nature and a vast selection of prospective homes. |
| driving the numbers include a record excess of unsold | | | | The government also provides good public service. |
| homes in the market, homeowners' huge credit card | | | | Just mind what Colorado real estate experts like |
| debts, pre-payment penalties, mortgage fraud, and | | | | Wenke, Koste, and Fielder have to say -- do not buy |
| bankruptcies.Wenke asserts that foreclosures are | | | | homes you cannot afford. Lenders and banks won't |
| just stages in a vicious cycle and affected by | | | | have second thoughts in taking it back if you can't |
| unemployment. She adds that the foreclosure rates | | | | pay for it. |
| negate the government claims of a stronger | | | | |