Things to Know Before Becoming a Landlord in Colorado

If you’re thinking about becoming a landlord in Colorado, we know you want to do everything possible to ensure that you don’t run into any potential problems with your tenants. If you want to keep your tenants happy, you also need to familiarize yourself with the Colorado landlord-tenant law. Wondering what you’re in for? Keep reading for a quick, easy guide into what you need to know!

FAIR HOUSING ACTS

As a landlord, you are obligated to behave in accordance with the national Federal Fair Housing Act, which exists to protect potential tenants against housing-related discrimination. This means that you cannot deny a tenant the right to lease/rent your property based on that tenant’s religion, gender, race, skin color, familial status, national origin, or disabilities. However, Colorado has its own additions to that criteria. These factors include an applicant’s creed, ancestry, sexual orientation, and marital status.

WARRANTY OF HABITABILITY

 In plain English, standards of habitability are certain requirements your properties need to meet in order to be considered acceptable living conditions. Tenants can move out due to a lack of running water, plumbing, door locks, or an infestation. In these cases, tenants are required to give you notice that they are planning to end the lease agreement and move out because of a breach of the warrant of habitability. You then have five business days to make the required repairs — and if you do, the rental agreement can’t be terminated.

SECURITY DEPOSIT REGULATIONS

Under the Colorado landlord-tenant law, you as the landlord are allowed to require a security deposit, in addition to the standard monthly rent payment, in order to allow tenants to move into your properties. If you are moving to Denver here are the Best Places to Live in Colorado. However, there are a few specific rules regarding both the amounts and the deductions regarding the security deposit that you need to be aware of. There is no maximum amount for a security deposit in the state of Colorado, but you’ll want to use your common sense here. Keep it between 1-2 month’s rent.

OTHER KEY COMPONENTS

We’d strongly advise you to meet with both legal and real estate/rental property professionals to ensure that you fully understand both your rights and those of your tenants. Tenants also have certain obligations they must adhere to under the law. For example, they must agree to pay rent on time, and that they will not act in violation of the terms set out in their lease agreement. You also have rights as a landlord when it comes to dealing with difficult tenants. Colorado landlord-tenant law is pretty complex, as you can see.