Bradford Publishing Blog | Colorado Law Articles & Topics

The rent is late.  Your tenant is smoking in a non-smoking house.  Whatever the cause, the first step in the eviction process is to serve your tenant a 3-day notice (also called an eviction notice, pre-litigation notice or notice to pay or quit). Under Colorado law it is technically called the “Demand for Compliance or Possession.”

It gives your tenant three days to fix the problem or move out.

For instance, if you find unauthorized pets living in the house, your tenant has three days to relocate these animals to a new home. If the problem is overdue rent, your tenant has three days to pay or move out.

And, while you might not plan on evicting your tenant right now, if you don’t  serve the demand, you won’t later be able to proceed in an eviction until you do thus delaying the process even more.

Also: while 3 days is the default deadline set forth in Colorado law, please review your lease agreement and see if it requires a longer notice deadline. Note that the notice period can be no less than 3 days, no matter what your lease says.

What’s in the 3-Day Notice, aka Demand for Compliance or Possession? Continue reading “The 3-Day Notice: How To Start A Colorado Eviction” »

In light of the recent federal crackdown on medical marijuana dispensaries near Colorado schools, landlords may be wondering if they can and should bar pot smoking on their property.

In Colorado, patients with a medical need can possess up to two ounces of marijuana. Individuals deemed “caregivers” can also possess up to six plants. As of last November, more than 161,000 Coloradans had applied for state cards as certified marijuana users. So what does this mean for residential landlords?

Q. Because of the law – and the number of people with “certified user” cards – am I now required to rent to medical marijuana users?

A. No. First, just because something is legal under Colorado law doesn’t mean you have to allow it in your property – for instance, you can prohibit smoking, or dogs and cats, or loud parties.

The only thing you must do is follow the federal Fair Housing Act, and local ordinances in specific Colorado counties, that bar landlords from discriminating against potential tenants because of race, color, sex, marital status, family status, disabilities or religion. Continue reading “What Landlords Need to Know About Medical Marijuana in Colorado” »

Unless you were alive during World War II, you’ve likely never seen or experienced Cimex lectularius – the common bedbug.  Due to international travel and reduced use of DDT, bedbugs are back. Small, reddish-brown and oval, these bloodsucking pests are showing up in apartment units, movie theatres, hotels and college campuses nationwide. 

Not only do bedbugs bite and leave red bumps that swell and itch for up to a week, they are difficult and expensive to eradicate.  Once they are in a property, they can migrate from unit to unit. 

As a landlord, your first concern should be preventing bedbugs’ arrival.  And, if your tenant reports bedbugs, you should take immediate steps to eradicate them. A second concern may be creating a framework that limits legal liability in the event of an infestation and requires tenants to take preventive measures against bedbugs.

Pests and Colorado’s Warranty of Habitability Law

Colorado’s Implied Warranty of Habitability Act  says, in essence, that when you sign a lease, you promise that your unit is fit to be lived in.  These requirements call for extermination services if there is any sign of pests, rodents or other infestation.

If you suspect bedbugs on your property, schedule a proactive extermination.  Some pest control firms use dogs to sniff out the bugs and can provide a certificate attesting that your unit is pest-free. Continue reading “Bedbugs in Your Colorado Rental Properties” »

For many landlords, perfect records are an ideal to be aimed for, perhaps not ever achieved. We know how it is. You’re busy; things get lost; and you have a generally good relationship with your tenants. In two previous posts, we talked about keeping property maintenance records, landlord-tenant correspondence, a rent ledger and rental criteria/property showing records.

In this final post on landlord record-keeping, we focused on something that directly affects your bottom line: a record of income and rental tax deductions.

Income and expense records

Even the most laid-back landlords can appreciate the importance of tracking income and expenses–because doing so can help you pay fewer taxes. For best results, track rental income and expenses every month. Don’t wait until the end of the year to do this because you’re likely to forget about small outlays.
Some common landlord rental tax deductions include: Continue reading “Real Estate Record-Keeping for Colorado Landlords<BR>(Part III)” »

In an earlier post, we talked about why it is important for landlords to keep accurate records.  Using records, you can keep track of repairs and prepare for upcoming expenses.  You can defend against discrimination claims. And you can minimize your tax payments.  Of the four types of records landlords should keep, two are discussed here: individual property maintenance records and tenant correspondence.

Continue reading “Real Estate Record-Keeping for Colorado Landlords (Part II)” »

Owning a rental property is like running a business.  Keeping accurate records is key to measuring return on investment. It’s also crucial as a means to keep track of repairs and to defend against discrimination claims. Here is the first of four types of records landlords need to keep: a record of showing and leasing an individual property.

Federal, state, and local laws bar discrimination

When it’s time to find a tenant, savvy landlords know to show and rent their properties fairly and without discrimination. This is because federal, state, and local laws prohibit certain discriminatory acts in the leasing process. For instance, the Federal Fair Housing Act prohibits discrimination against tenants on the basis of race or color, national origin, religion, sex, family status, and disability.   This means you can’t advertise your property as “great for families” or decide you only want to rent to married couples.

What’s more, Colorado law prohibits discrimination against potential tenants on the basis of ancestry, creed, or marital status.  And local city and county ordinances may grant additional protections to potential tenants. For example the City of Boulder also prohibits discrimination based on: “race, creed, color, sex, sexual orientation, gender variance, genetic characteristics, marital status, religion, national origin, ancestry, pregnancy, parenthood, custody of a minor child, or mental or physical disability of the individual or such individual’s friends or associates. . . .”

But landlords can use objective, non-discriminatory tenant criteria

At the same time, landlords are allowed to develop some criteria for tenants. In other words, landlords can be selective based on objective non-discriminatory criteria.  In selecting tenants, you can consider their bankruptcy history and FICO scores, criminal history, job history, and/or income. 

The problem is, how do you prove you’re not discriminating against tenants while still maintaining some rental criteria?

Important records to keep

One possible approach is to write down your rental criteria before you list the property for rent. You could keep these criteria in a document in your computer and files. Then, once the property is listed, keep scrupulous records of:

•    who contacted you;
•    when they contacted you (in chronological order);
•    when you called potential renters back;
•    when a potential renter saw the property;
•    who filled out a rental application and when;
•    the results of any rental screening report;
•    and, if someone was rejected, why the tenant did not meet your rental criteria.

Keeping such records will allow you to prove that you are, indeed, not discriminating.  In the next post of this series, learn about three other kinds of records that are important to keep.

For more information, see the Landlord & Tenant Guide to Colorado Leases and Evictions, 4th Edition, by Victor M. Grimm, Esq. and Denise E. Grimm.

With Denver metro area residential vacancy rates at a ten-year low, many Colorado landlords are dreaming of raising the rent.  But many might wonder, when and how?

When you can raise the rent depends upon the type of tenancy you have. If there is a lease, the lease typically will not let you change the rent until after the term expires.  In fact, some leases contain specific language as to when and how much you can increase the rent. So, assuming there are no specific provisions regarding this matter, you may want to talk about the rent 30 days before the lease ends. 

It’s best to have an in-person conversation with your tenant followed by written notice.  At the same time, your tenant can let you know if he or she wants to renew for another year. If you agree on the new rent, make sure to put the amount into a new lease or an attachment to your existing lease.

What if you don’t have a written lease and are on a month-to-month basis? 

Technically speaking, you only need to give your tenant 10 days notice before the end of the rental period to terminate the tenancy (usually 10 days before the end of the month). So, the same time period would apply to increasing the rent. But it makes sense to start talking about rental matters well before this time, so that both you and your tenant can plan appropriately.

Perform a rent survey
Take some time to know exactly what’s happening in your zip code before having that talk. A little research will inform you how your property compares to market rates, making a powerful business case for a rent increase.

A rent survey is a simple tracking tool that allows you to keep up with trends in your neighborhood.  It’s best to start creating yours three to four months before the tenancy ends.

Start by defining your property. Is it a single family home or condo? How many bedrooms and baths? Does it have a finished basement and/or two-car garage?  Note amenities such as a yard, fireplace, extra family room or living room.  Is it in good, fair or poor condition?  Do you take Section 8?

When you know what you’ve got, research comparable properties.  To find comparable houses, drive around the neighborhood, look at signs and scan Craigslist. To find comparable condos, look at www.forrent.com.

Notice when new properties are put up for rent and how quickly the signs or notices go away.  If the signs don’t last very long, it means the properties are renting quickly at that price. Notice also when a property sticks around for a long time, it might not mean the price is totally wrong, but perhaps the property has a defect, like a weed-strewn front yard; on a busy street; or unfinished basement.

Over time, you’ll build a database of comparable properties and prices. Data in hand, you can more comfortably broach a rent increase.

For more information, see the Landlord & Tenant Guide to Colorado Leases and Evictions, 4th Edition, by Victor M. Grimm, Esq. and Denise E. Grimm.

At the beginning of a tenancy or rental period, most Colorado landlords and their tenants are amiable and hopeful about the relationship.  Both believe that any issues not discussed or contained in the lease will be reasonably addressed in the future.

Unfortunately, it doesn’t always work out this way. In fact, some of those “unspoken assumptions” become disagreements that later give rise to bitter court disputes.

Better safe than sorry

Given these realities, it’s wise to document the condition of your rental property before your tenant moves in. You can use any and all of these methods:

•    A walk-through inspection paired with a written inspection report .  Your tenant should accompany you on the walk-through and sign the report.  You can use the same report when you return the security deposit  or need to keep a portion of the deposit for repairs.  The advantage of this method is that your tenant signs it, and the court likes documents.
•    Videotaping or photographing the premises. (Most good phones have video capability).  The advantage of this method in court is the adage, “pictures never lie.”

                 Documenting damage and repair

Any damage to your rental property should also be documented before your tenant moves in and, if necessary, fixed. Plumbing leaks, mold, carpet damage (a major source of contention in security deposit damage disputes), and marred hardwood flooring should all be documented and fixed before your tenant moves in. That way, it’s clear that you have taken steps to fix any problems before the rental period starts.

When your tenant moves out, bring the original inspection report  into the rental, and do another walk-through. Discuss any damage that occurred beyond normal wear and tear. Remind your tenant that you will be deducting the cost of repairs from the security deposit .

For more information, see the Landlord & Tenant Guide to Colorado Leases and Evictions, 4th Edition , by Victor M. Grimm, Esq. and Denise E. Grimm.

Colorado landlords are sometimes confused about security deposits. They wonder when to return them and what they can withhold.

Here are some basics you need to know

• Unless the lease says otherwise, you have 30 days to return the security deposit and/or provide a written detail of the amounts withheld. (The longest a Colorado lease can extend that period is 60 days). The clock begins ticking when the lease ends or when the tenant surrenders (and landlord accepts) the property, whichever comes last.

• You can only keep money from the security deposit for: Continue reading “Colorado Landlords: When and How to Return Security Deposits” »

“Normal wear and tear” is one of those fuzzy legal terms that begs for clarification.

When it comes to security deposits, Colorado landlords can keep money for repairs, cleaning, unpaid utility charges at the end of a tenancy, and even back rent and other expenses if a tenant moves out unexpectedly. But landlords are NOT allowed to deduct money for normal wear and tear of the property.

The problem is what one landlord calls rock star level damage, a tenant considers as normal wear and tear.

Colorado law defines normal wear and tear as “that deterioration which occurs, based upon the use for which the rental unit is intended, without negligence, carelessness, accident, or abuse of the premises or equipment or chattels by the tenant or members of his household, or their invitees or guests.”

Useful life

Since the legal definition doesn’t offer much guidance, here’s another way to think of normal wear and tear: Consider it the reasonable amount of wear that a given appliance, household item, or piece of furnishing should incur for every year of its useful life. (A useful life is how long you can expect something to live or work.)

So, if a carpet’s useful life is 10 years, then every year, it should deteriorate about 1/10^th. One place you can find such information is an advisory guide to useful life, found on the city of Longmont’s web site and republished below:

Item Lifespan Item Lifespan

You can also find useful life information from product manufacturers. (Such projections likely assume the appliances and household furnishing are regularly maintained and/or cleaned.)

Still confused? The city of Longmont provides this framework for weighing normal wear and tear vs. abnormal use.

Normal Wear and Tear                  Abnormal Wear and Tear

Worn and dirty carpet                  Torn, stained, or burned carpet

Faded curtains                            Torn or missing curtains

Worn out keys                             Lost keys

Dirty window screens                   Torn or missing screens

Faded, chipped paint                   Hole in the wall

For more information, see the Landlord & Tenant Guide to Colorado Leases and Evictions, 4^th Edition, by Victor M. Grimm, Esq. and Denise E. Grimm.