For Colorado residents concerned about home foreclosures, there is some good news. According to recent state reports, filings for home foreclosures for January 2012 are lower than they have been for the previous five Januaries.

There has been a 28.2 percent drop in home foreclosure filings and a 23.3 percent drop in foreclosure sales for this month alone, along with an overall 14 month trend of declining foreclosures. Considering these statistics, there is hope that the worst of the Colorado housing foreclosures may be over.

Yet this optimistic trend will provide little comfort to those who are still struggling to make a difficult mortgage payment or save their homes from foreclosure. For homeowners in need of debt relief who are also trying to keep their homes, finding ways to stop their foreclosure can be a daily problem. For some of these people, filing for Chapter 13 bankruptcy may be a solution.

Filing for Chapter 13 bankruptcy can be difficult, but the results of doing so can significantly reduce financial burden. For example, filing for Chapter 13 bankruptcy can result in:

• Discharge of debt

• Prevention of foreclosure

• Reorganization of debt into manageable payments

• Reduction of vehicle payments

While the results of filing for Chapter 13 bankruptcy are different for everyone depending on their finances and the extent of their debt, it can be considered as an option for debtors fearful of losing their homes.

Since the results of any Chapter 13 bankruptcy filing are determined largely by what criteria your financial situation meets, taking your debt problems to a knowledgeable legal source could help provide insight as to what the specific results of a Chapter 13 bankruptcy filing could be for you.

Source: startribune.com, "Colorado foreclosures filings, sales drop in January; Filings down for 14 months in a row," Feb. 16, 2012