Colorado tenant screening & landlord laws

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Colorado tenant screening

Tenant screening is the process of reviewing a rental applicant's credit, criminal, and eviction history before deciding whether to offer a lease. Colorado layers substantial state-specific law on top of the federal Fair Credit Reporting Act (FCRA) and federal Fair Housing Act, most notably through its Rental Application Fairness Act, a statewide source-of-income protection, and a 2024 just-cause eviction law. Because Colorado has active home-rule cities, landlords should check local ordinances for any additional screening laws, although the statewide rules already cover most of the ground other states leave to cities.

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How to screen a tenant in Colorado

  • Disclose portable-report rights before charging a fee. Colorado's Rental Application Fairness Act requires landlords to tell prospective tenants, in prominent bold text in ads, on the landlord's website home page, and on the application, that they may submit a portable tenant screening report instead of paying a new fee (C.R.S. § 38-12-904(1.5)).
  • Charge a compliant application fee. A Colorado application fee generally may only recoup the landlord's actual or average processing cost, must be the same amount for every applicant to the same unit, and any unused portion generally must be refunded within 20 calendar days (C.R.S. § 38-12-903).
  • Accept a portable screening report if the applicant provides one, subject to conditions (report no more than 30 days old, delivered directly by the reporting agency or a compliant third-party service, no cost to the landlord, and a tenant attestation of no material change) — landlords who never collect more than one fee at a time and promptly refund declined applicants are exempt from this requirement (C.R.S. § 38-12-904(1.5)).
  • Apply Colorado's specific lookback limits when evaluating the report: rental and credit history generally capped at 7 years; arrest records may not be considered at all; and most criminal convictions older than 5 years are off-limits, except for certain methamphetamine offenses, sex-offender-registry-triggering offenses, and specified violent or serious offenses, which carry no lookback limit (C.R.S. § 38-12-904(1)).
  • Apply income and source-of-income rules evenhandedly. A landlord generally may not require income above 200% of annual rent, and may not otherwise probe income or credit score beyond that threshold for voucher-assisted applicants (C.R.S. § 38-12-904(1)(c)-(d)). Don't discriminate based on source of income, including housing vouchers, unless the landlord owns three or fewer rental units (C.R.S. § 24-34-502(1)(l)-(p), (1.5)(a)) — a related but distinct carve-out lets landlords with five or fewer single-family rental homes decline vouchers specifically for those homes (§ 24-34-502(1.7)); confirm with counsel which threshold applies to your portfolio.
  • Send a compliant denial notice if you deny the applicant, including the reasons for denial, a copy of any consumer report used, and an advisement of dispute rights under Colorado's own consumer reporting statute (C.R.S. § 5-18-106) in addition to FCRA, generally within 20 calendar days of the decision (C.R.S. § 38-12-904(2)).

Screening rules to follow in Colorado

Screening fees

Colorado does not set a flat dollar cap, but the Rental Application Fairness Act generally requires fees to be cost-based, uniform across applicants for the same unit, receipted, and partly refundable if unused (C.R.S. §§ 38-12-903, -904).

Criminal history

Colorado generally limits criminal-history consideration to convictions within the last 5 years, bans consideration of arrest records outright, and carves out several serious-offense categories from the lookback limit entirely (C.R.S. § 38-12-904(1)(b)) — a materially more protective rule than the FCRA/federal-only baseline in many other states.

Source of income

Source of income, including public housing assistance and voucher participation, has generally been a protected class statewide since a 2020 law (HB 20-1332) took effect January 1, 2021 (C.R.S. § 24-34-502(1)(l)-(p)). Landlords with three or fewer units are exempt from these provisions, and a further narrow carve-out applies to voucher acceptance specifically for landlords with five or fewer single-family rental homes — the interaction between these two thresholds should be confirmed with counsel for edge cases.

FCRA and adverse action

Federal FCRA § 615 sets the baseline, and Colorado adds its own consumer reporting statute (C.R.S. § 5-18-106) giving applicants dispute rights, plus a state-specific denial-notice content and timing requirement (generally within 20 calendar days) that goes beyond FCRA's own timing language.

Landlord obligations beyond screening

Security deposits

Colorado sets no dollar cap on security deposits. A deposit must generally be returned within one month of lease termination or surrender, extendable up to 60 days if the lease specifies; normal wear and tear may not be deducted; a written itemized statement is required for any withholding, or the landlord generally forfeits the right to withhold; and willful wrongful withholding can expose a landlord to treble damages plus attorney fees, though the tenant must give 7 days' notice before suing (C.R.S. § 38-12-103). No statewide interest-on-deposit requirement was found in this statute.

Rent and eviction rules

Colorado law generally prohibits counties and municipalities from enacting rent control on private residential housing, aside from narrow voluntary or deed-restricted affordable-housing agreements (C.R.S. § 38-12-301) — so no enforceable citywide rent caps exist even where local interest exists. Separately, since April 19, 2024, Colorado has generally required landlords to have a statutorily defined "cause" to evict a tenant or decline to renew — including lease violations or nuisance, or defined "no-fault" grounds such as demolition, substantial renovation, an owner or family member moving in, taking the unit off the rental market to sell, or a tenant's history of nonpayment (HB24-1098). This is a significant, comparatively recent change worth building into renewal and screening workflows.

Rules that vary by city

Colorado's home-rule cities like Denver, Boulder, Colorado Springs, and Fort Collins can add local protections. While the state's Rental Application Fairness Act, source-of-income law, and just-cause eviction law apply uniformly and are comprehensive, landlords should still confirm current city code for any distinct local tenant-screening ordinances. This is an area of active legislative interest in Colorado, so it is particularly important to check current ordinances for Denver.

County layers

Colorado counties are legally distinct from municipalities, but no county-specific tenant-screening ordinance layered on top of the statewide framework described above was identified for the counties containing the cities checked.

Frequently asked questions

Does Colorado cap security deposits? No dollar cap, but return timing is generally fixed at one month (up to 60 days if the lease specifies), with treble-damages exposure for willful wrongful withholding.

Are housing vouchers protected in Colorado? Generally yes — source of income, including vouchers, is a protected class statewide, with an exemption for landlords owning three or fewer units.

How far back can a Colorado landlord look at criminal history? Generally 5 years for most convictions, with arrest records excluded entirely and a short list of serious offenses exempt from the lookback limit.

Does Colorado require "just cause" to evict a tenant? Generally yes, since April 2024 landlords need a statutorily defined reason — a lease violation, nuisance, or a specific no-fault ground — to evict or decline to renew.

Start a Colorado tenant screening with Checkr

Checkr helps landlords run FCRA- and Colorado-compliant background checks, including the lookback limits and portable-report handling this state requires. Get started at tenant.checkr.com/signup to set up your first screening.

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Disclaimer

The resources and information provided here are for educational and informational purposes only and do not constitute legal advice. Always consult your own counsel for up-to-date legal advice and guidance related to your practices, needs, and compliance with applicable laws.