Colo. Rev. Stat. § 38-38-106

Current through 11/5/2024 election

Section 38-38-106 - Bid required - form of bid

(1)

(a) The holder of the evidence of debt or the attorney for the holder shall submit a bid setting forth the holder's initial bid for the property that is received by the officer no later than 12 noon on the second business day prior to the date of sale as provided in this section. In addition, if the sale will be conducted electronically, the holder may also include a maximum bid for the property. The holder or the attorney for the holder need not personally attend the sale. If the sale will be conducted electronically and the holder has elected to include a maximum bid, the bid shall be increased electronically in increments incorporated in the electronic program used by the officer to conduct the electronic sale up to such maximum bid if one or more third parties submit competing bids for the property.

(b) If the bid is not received by the officer by the deadline, the officer shall continue the sale for one week and shall announce or post a notice of the continuance at the time and place designated for the sale.

(2) The holder of the evidence of debt shall submit a signed and acknowledged bid, or the attorney for the holder shall submit a signed bid, which must specify the following amounts, itemized in substantially the following categories and in substantially the following form:

BID

To: ___________________

Public Trustee (or Sheriff) of the County (or City and County) of ___________________, State of Colorado (hereinafter the "officer").

Date:___________________

___________________, whose mailing address is ___________________, bids the sum of $___________________ in your Sale No. ___________________ to be held on the ___________________ day of ___________________, 20___________________.

The following is an itemization of all amounts due the holder of the evidence of debt secured by the deed of trust or other lien being foreclosed.

Street address of property being

foreclosed, if known:__________

Regular [ ] / default [ ] rate of interest as of the date of

sale:__________

(Inapplicable items may be omitted):

Amounts due under the evidence of debt:

Principal $ __________

Interest __________

Late charges __________

Allowable prepayment penalties

or premiums __________

Other amounts due under the evidence of debt

(specify) __________

__________ __________

__________ __________

Category subtotal: $ __________

Other fees and costs advanced by the holder of evidence of

debt:

Property, general liability, and

casualty insurance__________

Property inspections__________

Appraisals__________

Taxes and assessments__________

Utility charges owed or incurred__________

Owner association

assessment paid__________

Permitted amounts paid on

prior liens__________

Permitted lease payments__________

Less impound/escrow account credit__________

Plus impound/escrow account deficiency __________

Other (describe) __________

Category subtotal: $ __________

Attorney fees and advances:

Attorney fees__________

Title commitments and insurances or abstractor

charges __________

Court docketing __________

Statutory notice __________

Postage __________

Electronic transmissions __________

Photocopies __________

Telephone__________

Other (describe)__________

Category subtotal: $ __________

Officer fees and costs:

Officer statutory fee__________

Publication charges__________

Certificate of purchase

recording fee__________

Confirmation deed fee__________

Confirmation deed

recording fee__________

Other (describe)__________

Category subtotal: $ __________

Total due holder of the evidence of debt __________

Initial Bid $ __________

Deficiency $ __________

I enclose herewith the following:

1. Order authorizing sale.

2. Check (if applicable) to your order in the sum of $_____ covering the balance of your fees and costs.

3. Other: ___________________.

Please send us the following:

1. Promissory note with the deficiency, if any, noted thereon

2. Refund for overpayment of officer's fees and costs, if any

3. Other: ___________________.

Name of the holder of the evidence of debt

and the attorney for the holder:

Holder: ___________________

Attorney: ___________________

By: ___________________

Attorney registration number: ___________________

Attorney address: ___________________

Attorney business telephone: ___________________

(3) Upon receipt of the initial bid from the holder of the evidence of debt or the attorney for the holder, the officer shall make such information available to the general public.

(4) The officer shall enter the bid by reading the bid amount set forth on the bid and the name of the person that submitted the bid or by posting or providing such bid information at the time and place designated for sale.

(5) Bids submitted pursuant to this section may be amended by the holder of the evidence of debt or the attorney for the holder in writing or electronically, as determined by the officer pursuant to section 38-38-112, no later than 12 noon the day prior to the sale, or orally at the time of sale if the person amending the bid is physically present at the sale or electronically during the sale if the sale is conducted by means of the internet or another electronic medium. A bid submitted pursuant to this section may be modified orally at the time of sale if the person making the modification modifies and reexecutes the bid at the sale.

(6) The holder of the evidence of debt or the attorney for the holder shall bid at least the holder's good faith estimate of the fair market value of the property being sold, less the amount of unpaid real property taxes and all amounts secured by liens against the property being sold that are senior to the deed of trust or other lien being foreclosed and less the estimated reasonable costs and expenses of holding, marketing, and selling the property, net of income received; except that the holder or the attorney for the holder need not bid more than the total amount due to the holder as specified in the bid pursuant to subsection (2) of this section. The failure of the holder to bid the amount required by this subsection (6) shall not affect the validity of the sale but may be raised as a defense by any person sued on a deficiency.

(7)

(a)

(I) Other than a bid by the holder of the evidence of debt not exceeding the total amount due shown on the bid pursuant to subsection (2) of this section, the payment of any bid amount at sale must be received by the officer no later than the date and time of the sale, or at an alternative time after the sale and on the day of the sale, as specified in writing by the officer. The payment must be in the form specified in section 38-37-108. If the officer has not received full payment of the bid amount from the highest bidder at the sale pursuant to this subsection (7), the next highest bidder who has timely tendered the full amount of the bid under this subsection (7) is deemed the successful bidder at the sale.

(II) If the holder of the evidence of debt is the highest bidder with a bid that exceeds the total amount due shown on the bid pursuant to subsection (2) of this section, the holder of the evidence of debt is only required to pay the excess of the amount bid over the amount due the holder of the evidence of debt, as shown on the bid submitted pursuant to subsection (2) of this section.

(b) The officer may establish written policies relating to all aspects of the foreclosure sale that are consistent with the provisions of this article. The written policies shall be made available to the general public.

C.R.S. § 38-38-106

Amended by 2018 Ch. 138, § 4, eff. 8/8/2018.

Amended by 2015 Ch. 113, § 4, eff. 9/1/2015.

L. 90: Entire article R&RE, p. 1658, § 2, effective October 1. L. 91: (1) and (2) amended, p. 1922, § 54, effective June 1. L. 2002: (2) amended, p. 1339, § 9, effective July 1. L. 2006: Entire section R&RE, p. 1452, § 12, effective 1/1/2008. L. 2007: (5) amended, p. 1834, § 10, effective 1/1/2008. L. 2009: (2) and (7) amended, (HB 09 -1207), ch. 164, p. 712, § 9, effective September 1. L. 2012: (1) and (2) amended, (SB 12-030), ch. 96, p. 318, § 8, effective September 1. L. 2015: (1), (2), and (5) amended, (HB 15-1142), ch. 113, p. 339, § 4, effective September 1. L. 2018: (2) and (7)(a) amended, (HB 18-1254), ch. 138, p. 903, § 4, effective August 8.

(1) This section is similar to former § 38-37-142, as it existed prior to 1990.

(2) The effective date for amendments made to this section by chapter 305, Session Laws of Colorado 2006, was changed from July 1, 2007, to January 1, 2008, by section 27 of chapter 404, Session Laws of Colorado 2007. (See L. 2007, p. 1849.)