Accurate Reporting of Foreclosure Data

The House Local Government Committee, today, unanimously approved House Bill 1197 proposed by Rep. Frank McNulty, R-Highlands Ranch, that is designed to ensure accurate reporting of foreclosure data in the State of Colorado.

“With Colorado already fighting an economic head-wind we need to do our best to ensure that key economic indicators, like foreclosure data, are reported as fairly and accurately as possible,” said Rep. McNulty. “HB 1197 is an important step toward standardizing these critical numbers.”

House Bill 1197 identifies the foreclosure information that provides the most accurate numbers, and sets the Colorado Division of Housing as the official agency to report foreclosure data for Colorado.

“This common sense reform will help remove one more speed bump we would otherwise face on the road to economic recovery,” said Rep. Cheri Gerou, R-Evergreen. “Simply reporting accurate numbers puts Colorado in a better position.”

Concerns have been raised that foreclosure numbers for Colorado are inflated related to other states that have already implemented standardized reporting procedures. This over reporting puts Colorado at a significant disadvantage when national numbers are analyzed and compared, and has a negative effect on home values in our state.

“This bill is extremely important so we can have an accurate and official report on foreclosures in Colorado,” said Sunny Banka, a Realtor who testified in support of the bill on behalf of the Colorado Association of Realtors. “HB 1197 will help prohibit the inflated numbers reported by third party companies.”

HB 1197 will now go to the full House for consideration.