Colorado HOA Notice of Intent to Foreclose

What this letter does

A Colorado HOA notice of intent to foreclose is the final warning before an association files a lawsuit to foreclose its lien. C.R.S. 38-33.3-316 requires several notices at least thirty days before a legal action is started, and it limits when an association may foreclose at all. The letter above reflects the statements section 316(10.8)(c) requires.

Notices that must come before filing

• Notice of intent to foreclose (10.8). At least thirty days before starting legal action, the association must give the unit owner notice of its intent to foreclose, in addition to the notifications required by section 38-33.3-209.5.
• How it must be sent (10.8)(b). To the owner or the owner's designated contact, in the preferred language if one was identified. It must be sent by certified mail, return receipt requested, and by at least two of these means: a telephone call, a text message, an email (to numbers and addresses the owner or contact provided), or regular mail if none were provided. The association must request a phone number, a cell number and an email address if it does not already have them.
• What it must say (10.8)(c). That the association intends to file a lawsuit against the property and, if the court forecloses, the court will order the unit sold at auction; that the owner could lose some or all equity; that the owner has a right to credit counseling; that the owner has a right to mediation; and that the owner has access to free online information through the HOA information and resource center.
• Credit counseling notice (10.3). At least thirty days before initiating a legal action to foreclose, written and electronic notice of the right to credit counseling at the owner's expense, with information through the HOA information and resource center or the HUD link, and what counseling may cover.
• Mediation notice (10.7). At least thirty days before legal action, written and electronic notice of the right to engage in mediation before litigation. To start it, the owner must respond within thirty days. Both parties then choose a mutually agreeable mediator knowledgeable about the Act and schedule a session within thirty days of the notice. If the owner does not comply, the notice does not bar the association from filing, subject to the rest of the section. The association must also give lienholders notice of the pending foreclosure at least thirty days before initiating action.

Conditions that limit foreclosure

• Six months threshold and board vote (11). The association may foreclose only if the balance of assessments and charges secured by the lien equals or exceeds six months of common expense assessments based on the periodic budget, and the executive board has formally resolved, by a recorded vote, to authorize the legal action against the specific unit. The board may not delegate that decision, and a suit filed without evidence of the recorded vote must be dismissed, with no fees or costs assessed against the owner.
• Judgment first, for owner-occupied homes (10.5, 10.6). For a unit owned by an individual who occupies it as a principal residence, the association generally must first obtain a personal judgment in a civil action to collect the amounts due, unless it was prevented by the owner's death or incapacity, could not serve the owner within 180 days after a reasonable attempt, or the owner is in bankruptcy. These rules do not apply to units owned by entities or not occupied as the principal residence, unless used for workforce housing.
• Lienholder notice (11.2). Within five business days after starting legal action, written and electronic notice to lienholders of the right to cure and the owner's right to move to stay the sale.
• Fees limits. Fees, charges, late charges, attorney fees, fines and certain interest may be subject to a lien but are not subject to foreclosure under the Act. An association cannot recover attorney fees incurred before it complied with the notice requirements of section 209.5(1.7)(a).
• Installments. For assessments payable in installments, an installment may be subject to a lien if unpaid fifteen days after it is due, but the association may not pursue legal action for unpaid monthly installments until at least three have gone unpaid.

Other Colorado rules in the section

• Priority. An association's lien generally has priority over other liens, with listed exceptions, and is also prior to certain security interests to the extent of six months of assessments.
• Limit. A lien for unpaid assessments is extinguished unless proceedings to enforce it start within six years after the full amount became due.
• Statement of assessments. The association must furnish a statement of unpaid assessments within fourteen calendar days of a proper request. See the Colorado statement request.
• No buying by insiders. Board members, management company employees, law firm employees and their immediate family cannot purchase a foreclosed unit.

The statute includes 2025 amendments effective October 1, 2025 that apply to enforcement actions instituted on or after that date. Confirm the current text of C.R.S. 38-33.3-316 on the Colorado General Assembly's website, and have an attorney review any notice before it is sent.

Related letters

See the delinquent dues letter, the pre-lien letter sample and the hardship letter that owners can use to ask for a payment plan. How HOA liens and foreclosure work compares Colorado with other states, the Colorado payment plan request is the owner's usual response, and the HOA lien release letter confirms payment.

Common questions

How long before suing must a Colorado HOA send notice?

At least thirty days, with notices of intent to foreclose, credit counseling and mediation.

Can a Colorado HOA foreclose over a small balance?

Generally the lien balance must equal or exceed six months of common expense assessments, and the board must approve the specific action by recorded vote.

This page gives general information and sample wording. It is not legal advice, and requirements differ by state and by association.