Colorado Front Range Foreclosure Filings Rise as Homeowner Distress Calls Jump 47%
Why It Matters
Colorado homeowners — particularly those who purchased property in recent years at peak prices and interest rates — are facing growing financial strain, with foreclosure filings and mortgage distress calls climbing across the Front Range. The trend signals a shift in the state’s housing market after years of relative stability following the pandemic-era buying surge.
What’s Happening
Pre-foreclosure filings in Colorado rose 12% in the second quarter of 2026 compared with the same period a year earlier, reaching 1,945 properties statewide, according to property data firm ATTOM. The increase follows more than a year of rising Notice of Election and Demand filings — the first formal step a lender takes toward foreclosure — particularly along the Front Range.
Patrick Muldoon, a Colorado Springs-based real estate agent who specializes in bank-owned properties, said the shift is noticeable at the street level. “We’re starting to see buyers underwater,” he said, noting rising delinquencies not just in housing but in auto loans and credit cards. “We are seeing a lot of delinquents starting to come into the market … three, four payments behind. Those are conversations we weren’t having 18 months ago.”
El Paso County recorded the highest number of pre-foreclosures among Front Range counties this quarter, with 307 filings — though its year-over-year increase was a relatively modest 4%, suggesting stress in that market was already elevated entering 2025. Adams County saw the steepest climb, up 60% over the prior year to 283 properties. Pueblo County, while showing a 51% drop in pre-foreclosures, recorded a 91% surge in completed foreclosures, rising to 37.
Distress Calls Surge at State Hotline
Colorado Housing Connects, a nonprofit foreclosure assistance hotline, recorded a 47% spike in contacts related to mortgage default and foreclosure risk during the first four months of 2026, compared with the same stretch a year earlier. The organization logged 1,739 contacts between January and April, with April marking the highest single month since 2020.
“We’ve seen a 47% jump in our volume related to people with questions around foreclosure or default in their mortgage,” said Patrick Noonan, program director for Colorado Housing Connects.
Despite the sharp percentage increase, raw call volumes remain far below Great Recession levels. At the height of that crisis, the hotline received between 3,500 and 4,500 inquiries in a single month. This year’s busiest months have topped out at just over 450 contacts. Approximately 80% of callers are already behind on payments when they reach out.
By the Numbers
- 1,945 — Colorado pre-foreclosure filings in Q2 2026, up 12% year-over-year
- 47% — Increase in foreclosure-related calls to Colorado Housing Connects, January–April 2026
- 60% — Year-over-year jump in pre-foreclosures in Adams County
- 3.8% — Colorado’s zombie foreclosure rate (vacant properties in the foreclosure pipeline), above the national rate of 3.4%
- 0.9% — Colorado’s residential vacancy rate in Q2, below the national average of 1.3%
Who Is Calling for Help
Among those contacting Colorado Housing Connects for foreclosure prevention assistance, 35% were age 60 or older, 54% were from female-headed households, 34% had a household member with a disability, and roughly 33% identified as non-white. Denver County generated the most calls at 240, followed by Arapahoe County at 177 and Adams County at 160.
Noonan noted that the financial exposure is especially acute for homeowners who purchased at the top of the market. Those who bought a decade ago at lower prices and rates generally have more cushion to absorb rising insurance and property tax costs, he said, while buyers from the past two to three years have far less room for error.
Zoom Out
Colorado’s situation reflects a national pattern. ATTOM data shows U.S. foreclosure filings on vacant properties — sometimes called zombie foreclosures — rose 18% from a year ago, though they dipped 8% from March, suggesting lenders are actively working through distressed inventory. Nationally, foreclosure activity remains well below pre-pandemic benchmarks, according to ATTOM CEO Rob Barber.
The broader housing affordability squeeze has drawn federal and state attention across the West. The Trump administration recently released $40 million to fund a historic Colorado River water rights purchase, a move that could affect long-term development capacity in the region’s water-constrained communities.
What’s Next
Real estate professionals and housing counselors say the coming months will be telling. If delinquency rates continue climbing toward the 120-day threshold that typically triggers formal foreclosure proceedings, the Front Range could see a more pronounced wave of distressed-property listings enter the market. For now, homeowners with equity retain options — refinancing, home-equity borrowing, or a sale — but those windows narrow as property values fluctuate and interest rates remain elevated.