5 Colorado Laws Landlords Need to Know (But Often Don’t!)

Hey there, fellow Denverites! Being a landlord in Colorado is like owning a Subaru: most of the time, it’s smooth sailing, but occasionally, you hit a hidden speed bump. With all the recent updates in Colorado landlord-tenant laws, even the savviest property owners can fall behind. So, here’s a fun, digestible rundown of five laws that might surprise landlords—and save everyone a headache!

1. The "For Cause" Eviction Requirement
Gone are the days when you could end a lease just because it felt like the vibe wasn’t right. Now, landlords must provide a specific reason to terminate a lease—like non-payment or lease violations. Arbitrary lease terminations? Nope, not anymore. (But hey, communication and clear terms upfront are your new best friends!)

2. Capping Those Pet Deposits
Got renters with fur babies? Colorado now limits pet deposits to $300 per unit and pet rent to $35/month or 1.5% of the monthly rent—whichever is higher. Also, deposits must be refundable. This law keeps pet-loving renters happier and prevents landlords from looking like the villain in a Hallmark Christmas movie.

3. Restrictions on Background Checks
Landlords can now only look at rental and credit history from the past seven years and criminal convictions from the last five years (with some exceptions). If you deny an applicant, you’re required to explain why in writing. Transparency is key—and it’ll keep your paperwork game strong!

4. No More Overpriced Application Fees
Rental application fees must reflect the actual cost of processing the application. A $100 fee for a $35 background check? Not anymore. Plus, renters can now submit portable screening reports to save cash. This levels the playing field and keeps you out of sticky situations with potential renters.

5. Late Fees with a Grace Period
Forget sneaky fees—late rent penalties can only kick in after 10 days and must be capped at 5% of the rent or $50, whichever is greater. If your lease doesn’t specify late fees, you can’t impose them at all. It’s a small tweak, but it ensures fairness for renters and helps avoid unnecessary drama.

Why It Matters

These changes are part of Colorado’s shift toward balancing tenant rights with landlord responsibilities. If you’re feeling overwhelmed, don’t worry! Keeping up with these laws isn’t just about compliance—it’s about fostering trust with renters. And that trust? It’s worth more than any security deposit.

Need advice navigating these laws or figuring out how they impact your rental property? Get in touch with us at the Tucker Team. We are always here to help, whether it’s legalese or the latest scoop on Denver neighborhoods. Let’s keep housing fair, fabulous, and full of good vibes!

PS- for a fun bonus here is a video with their list of five laws from our friends over at Grace Property Management!