The Colorado Division of Housing is stating that first quarter foreclosures in the state of Colorado should be below 2008 levels.

A tactic used in Colorado, as well as other states, is a foreclosure hotline and may be a contributing factor in the decrease of new foreclosures. Another key factor is the fact that many lenders are now more open to working with borrowers on loan modifications. This has not been the case in the recent past.

Another huge plus for slowing the foreclosure crisis has been the fact that several major U.S. banks, as well as mortgage giants Fannie Mae and Freddie Mac, have temporarily paused mortgage foreclosures nationwide.

Although it will still be a few weeks until final numbers are in, through the first two months of 2009, the level of foreclosures were about half of the 2008 levels. And with the new programs hitting full stride, it was unlikely that the number would grow enough in the month of March to beat the 2008 numbers.