Gov. Bill Ritter on Friday signed into law five bills intended to curb foreclosure and mortgage fraud.
"Colorado has one of the highest foreclosure and mortgage-fraud rates in the country," Ritter said in a statement. "We're on pace to log another 37,000 foreclosures this year, which was up about 30 percent from 2006, and that was up 30 percent from 2005. Those are just staggering numbers.
"But the good news is that these bills will help stem the tide by setting standards for mortgage brokers, by prohibiting predatory lending practices and by protecting consumers in Colorado."
The five bills are:
- HB 1322, sponsored by Rep. Rosemary Marshall, D-Denver, and Sen. Peter Groff, D-Denver, contains multiple measures intended to strengthen existing mortgage fraud laws.
- SB 85, sponsored by Sen. Jennifer Veiga, D-Denver, and Rep. Tom Massey, R-Poncha Springs, prohibits improper influencing of real estate appraisals.
- SB 203, sponsored by Groff and Marshall, requires mortgage brokers to register with the state.
- SB 216, sponsored by Veiga and Marshall, spells out a mortgage brokers' ethical responsibilities, which include not enticing borrowers into deals that won't benefit them.
- SB 249, sponsored by Veiga and Rep. Joe Rice, D-Littleton, imposes an annual fee on title insurance companies to pay for industry enforcement and analysis.
Source The Denver Business Journal June 1, 2007
