Lawmakers seek foreclosure remedies

John Rebchook, Rocky Mountain News

Published January 4, 2007 at midnight

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The record number of foreclosed homes in the Denver area is spurring legislative proposals.

Denver City Councilman Michael Hancock said he and Sen. President Pro tem Peter C. Groff, D-District 33, will put together a panel of experts to come up with a legislative proposal to combat the foreclosure crisis.

"We need a bold, decisive initiative," Hancock said. "I'm working with Sen. Groff to empanel a group of industry leaders, consumers and others to address the issue. Over a six-week period, experts from industries impacted and people in the community will look at the issue. Our hope is to have something to propose to the state legislature at the end of the process."

A record 19,425 homes entered the foreclosure process in the seven-county area in 2006.

Chris Holbert, president of the Colorado Mortgage Lenders Association, said he has been invited to meet with Groff today.

Holbert said his group is supporting a bill being sponsored by State Rep. Rosemary Marshall, D-Denver, which would provide the attorney general's office more funding to take on deceptive trade practices, whether they are committed by lenders, consumers, appraisers, real estate agents or anyone else.

The proposed legislation also calls for hefty civil fines and penalties against those who show a pattern of deceptive practices, he said.

rebchookj@RockyMountainNews.com or 303-954-5207

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