A Colorado rental application is an invaluable document that helps landlords make informed decisions about prospective tenants before signing a lease agreement. This form simplifies the selection process when you have many applicants for your rental property.
Laws
- Application Fee – Non-refundable
- Fee Limits – No limits. However, it cannot surpass the cost of the screening process or be inconsistent with the amounts charged to other prospective tenants (§ 38-12-903)
- Security Deposit – No limit on the amount that the landlord can demand (no statute)
State Laws
Application Fees
The Colorado Rental Application Fairness Act (§ 38-12-901 to § 38-12-905) addresses explicitly how landlords are required to handle applications and any associated fees:
- Property owners charging a fee must use the collected amount and can only use the money to cover the screening process costs.
- You must provide an exact or estimated cost for the screening tools you plan to use and provide the applicant with an itemized list of actual or expected expenses and a receipt for any fees.
- Landlords cannot charge one applicant a different amount than another for the same rental unit, and you must return any unused portion of the fee within 20 days.
- You may be liable for three times the fee and court costs if you violate any of these rental application requirements.
Security Deposits
Colorado law hasn’t imposed any limits on how much to charge as a security deposit. However, for one year or fewer leases, it limits the amount landlords can charge for security deposits to one month’s rent. Landlords must return the deposit no more than 60 days after terminating a lease (§ 38-12-103).
Pet Deposits
As of 2023, the Pet Animal Ownership In Housing Law (HB23-1068) limits pet deposits to $300. Furthermore, landlords are forbidden to demand additional rent as a condition of allowing the pet at the rented premises over $35/month or 1%/month of the tenant’s monthly rent, whichever is greater.
Other Resources
Landlords have additional options for screening potential tenants and ensuring their rental applications comply with state and federal laws:
How to Conduct an Eviction Record Search
You can use the Colorado Public Records Directory to conduct your rental background check for potential tenants.
Access public records and conduct a court records search to see if any recent legal actions were taken against the applicant involving the failure to pay rent or eviction from a property.
If you decide to deny a rental application, you must provide the applicant with a rejection letter. This written notice should state the reasons for not accepting the applicant as a renter and be delivered to them within 20 calendar days. (§ 38-12-904)
If using a proprietary screening system and cannot specify the screening criteria, you must provide a copy of the report from the screening company instead.
Sample
