Colorado Rent Increase Laws: A Comprehensive Guide for Renters

Colorado Rent Increase Laws: A Comprehensive Guide for Renters

With Colorado’s rent prices nearly 10% higher than the national average in several cities, understanding Colorado’s rent increase laws is a big part of how you can protect your finances and ensure fair treatment from your landlord.

Just like navigating a hike in the Rocky Mountains requires the right gear and know-how, understanding Colorado’s rent increase laws equips you with the understanding to answer every question with confidence.

In this guide, we’ll dive deep into Colorado’s rent increase laws and explore everything from notice requirements to negotiation strategies. Plus, we’ll give you tips on determining if a rent increase is reasonable and negotiating a better deal in the Centennial State.

  • Understanding Colorado’s Rent Increase Laws
  • City-Specific Rules for Colorado Rent Increase Laws
  • Is Your Rent Increase Reasonable?
  • How To Negotiate a Rent Increase
  • What To Do If Negotiations Fail
  • Protecting Yourself as a Renter in Colorado
  • Resources for Colorado Renters

Understanding Colorado’s Rent Increase Laws

Colorado’s rent increase laws are designed to balance the rights of landlords and tenants. Even so, renters often feel like landlords have all the power. Let’s go over the most common questions about renting in Colorado and some of the important rules you need to know to protect yourself and level the playing field.

How Much Can a Landlord Raise Rent in Colorado?

Colorado doesn’t have statewide rent control laws, so there’s technically no limit on how much a landlord can raise the rent. Colorado law also forbids cities from creating their own rent control laws, but the state regulations expect rent increases to be reasonable and based on market conditions.

Standard housing

  • No legal limit on rent increase amounts
  • Expected to be reasonable and align with market conditions
  • Limited to once per 12-month period

Subsidized housing

  • Low-Income Housing Tax Credit buildings have limits on rent increases
  • Section 8 housing requires administrator approval for rent hikes
  • Rent may be a fixed percentage of your income, limiting increases
  • Low-Income Housing Tax Credit buildings are subject to limits on how much Colorado landlords can raise rent, and Section 8 housing administrators have to grant permission for rent increases

Mobile home parks

  • Rent increases must be justified and notice given 60 days in advance
  • Subject to specific additional regulations under the Mobile Home Park Act

Does Colorado Require Written Notice Before Rent Increases?

Colorado law takes a nuanced approach to rent increase notifications to ensure renters have reasonable notice to make decisions or alternate living arrangements. For situations where no formal rental agreement exists, landlords are typically required to provide a 60-day written notice before implementing a rent increase. 

However, if you have a lease agreement, the landlord should follow the terms of the lease. This means that if your lease specifies a different notice period for rent increases, or that notice doesn’t have to be in writing, your landlord has the right to adhere to those terms instead of the default rule. 

Checklist for Colorado renters to verify rent increase notice rules are followed by landlords.  

The key takeaway here is the importance of clear documentation. Whether it’s the state-mandated required notice or the terms in your lease, having written proof of the rent increase process protects both you and your landlord from misunderstandings and disputes.

How Much Notice Do Landlords Have To Give Before Raising Rent in Colorado?

The notice period for rent increases in Colorado varies depending on your tenancy type. For month-to-month leases, landlords must provide at least 21 days’ notice before implementing a rent increase. This gives short-term tenants enough time to decide whether to accept the new rent or find alternative housing. 

For longer fixed-term leases, the rules are a bit different. Since rent can’t be increased during the lease term unless the agreement specifically allows for it, rent increases would usually take effect when renewing the lease, and the lease terms would dictate the notice period. 

If the lease is silent on notices, landlords are generally expected to provide a reasonable notice before the lease renewal date. If you live in an apartment in a multi-unit building, you can often get an early warning of possible rent increases by watching the rates for apartments in your building on websites like apartments.com.

When Can a Landlord Raise Rent in Colorado?

The timing of Colorado rent increases depends on your lease type and must adhere to state law. For Colorado tenants with fixed-term leases, landlords must wait until the end of the lease and before the new lease begins to raise rent unless the current lease terms say otherwise. So, if you’re concerned about rising rent and plan to stay put for a while, a multi-year lease may be to your advantage.

For month-to-month renters, landlords can increase rent between terms. If you don’t have a written lease agreement, your landlord must give you 60 days’ notice before increasing your rent. 

How Often Can Rent Be Increased in Colorado?

While there’s no state-imposed cap on how much rent can be raised, landlords are limited to implementing only one increase within any 12-month period. This rule applies regardless of the type of tenancy, whether it's a fixed-term lease or a month-to-month arrangement. 

The once-per-year limit gives you some predictability and financial security, allowing you to budget effectively without thinking about multiple rent hikes in quick succession. So, if you have a short-term lease, you won’t have to worry about a rent increase at every end-of-lease period.

It’s worth noting that this doesn’t prevent landlords from proposing significant increases when they do occur, since your landlord needs to plan for having to keep rent level for the next year. So, you should still be prepared to negotiate or consider other options if faced with a rent increase.

City-Specific Rules for Colorado Rent Increase Laws

While Colorado state law provides a framework for rent increases, some cities have implemented additional protections or programs for renters. 

Let’s explore the specific rules in major Colorado cities.

Denver

The Mile-High City follows state law for notice requirements, mandating 60 days’ notice for tenants without a written lease agreement. Denver also enhances other renter protections, particularly for low-income tenants. 

The city recently passed ordinances requiring landlords to provide information about tenant rights with each lease, including details about rent increases. Denver also offers an Eviction Legal Defense Program, providing free legal representation to income-qualified tenants facing an eviction process, which can be crucial when dealing with significant rent hikes.

Boulder

Boulder also adheres to the 60-day notice requirement for tenants without a lease agreement. What sets Boulder apart is its Landlord-Tenant Mediation Program, available to all city residents. 

This free service helps resolve disputes between landlords and tenants, including disagreements over rent increases. The program can be a valuable resource for negotiating fair rent adjustments and maintaining positive landlord-tenant relationships in a city with the largest college in the state (CU Boulder).

Colorado Springs

While Colorado Springs primarily follows state law regarding rent increases, the city recently passed additional legislation to help protect renters. In 2024, they changed landlord-tenant laws to prohibit nearly all forms of eviction without cause.

Additionally, landlords can no longer increase rents or price gouge (more than 10%) during a declared or natural disaster. So, if your landlord raised rent more than 10% after a disaster, it would likely be considered unlawful.

Aurora 

Aurora, like many Colorado cities, adheres to state laws on rent increases. Plus, the city has been proactive in providing resources for renters. The Aurora Housing Authority offers counseling services that can help tenants understand their rights regarding rent increases and negotiate with landlords effectively.

Fort Collins

Fort Collins, home to Colorado State University, also follows state law regarding rent increases and adds additional help for renters. The city's Rental Housing Program, while not directly regulating rent increases, aims to ensure the quality and safety of rental properties. 

Additionally, Fort Collins offers mediation services through a Community Mediation Program. This free service can help tenants and landlords resolve disputes, including those related to rent increases, in a collaborative manner without resorting to legal action.

Is Your Rent Increase Reasonable?

While there’s no legal definition of an “excessive” rent increase in Colorado, some increases might be considered unreasonable. 

Large, sudden increases, such as dramatic jumps in rates of 20% or more without clear justification, could be seen as excessive, considering the average increase year over year in Colorado is 5% to 7%.  

It’s also important to remember that rent can only be increased once per year in Colorado, so frequent increases would likely be against the law.

However, if your landlord can justify a rent increase and complies with the state and city laws, then the rent increase is likely to be reasonable. For instance, if rental prices in your area are generally increasing, your landlord might justify a rent hike to keep up with the market.

Safety can also play a role. In Colorado, where the property crime rate is 3,148 per 100,000 residents, renting in a particularly safe area might justify higher rent rates.

Property upgrades, increased taxes, rising utility costs, or general real estate market inflation can all lead to reasonable rent increases. Your landlord might need to recoup costs for improvements that benefit you as a tenant as well.

Be wary of retaliatory rent increases, though. If you've recently complained about repairs or exercised other tenant rights, and your landlord responds with a rent hike, that could be illegal retaliation.

How To Negotiate a Rent Increase

If you’ve received notice of a rent increase that you feel is unreasonable, don’t panic. You have options, including negotiation.

Prepare Your Case

Before approaching your landlord, it’s important to do your homework. Start by checking current market rates for renting on websites like Zillow or Rentometer

Next, document relevant items about your time as a renter, such as on-time payments and any home improvements you’ve made to your home.

Lastly, review your lease agreement. Understanding the lease terms helps you verify if your rent increase is reasonable (or unreasonable).

Present Your Value as a Tenant

When negotiating, highlight why you’re a valuable tenant. For example, if you’ve always paid rent on time and kept the property clean. 

Point out that you care for the property. If you’ve maintained the property or made approved improvements, bringing this up can remind your landlord that you are a proven tenant who reduces their repair costs.

You might want to consider mentioning the cost of turnover. In the United States, the average cost of tenant turnover was $3,872 in 2023.

Finally, noting that you have quality renters insurance with personal liability coverage is a big plus for your landlord and helps put their mind at ease. At Goodcover, we offer liability coverage starting at $50,000 for just a few bucks a month.

 How to negotiate rent increases with your landlord. 

Propose Alternatives

If your landlord seems set in stone about the rent increase, you could propose alternatives such as:

  • A longer lease term to lock in your rate longer without additional increases
  • Taking on extra responsibilities such as light maintenance

Remember, the key to successful negotiation is finding a solution that works for both you and your landlord while maintaining a positive relationship.

What To Do If Negotiations Fail

If you don’t like the results of your negotiation, you still have several options:

Know Your Rights

Ensure that your landlord is following all legal requirements for rent increases, including proper notice and frequency. Remember, in Colorado, landlords can only raise rent once in a 12-month period, and they must provide adequate notice based on your lease type. 

If you suspect your landlord is violating these rules, you may have grounds to contest the increase.

Explore Alternative Housing Options

If the new rent is truly unaffordable, you may need to consider moving. Research other rental options in your area and nearby neighborhoods that might offer better value. 

Consider factors like location, amenities, and potential savings on utilities or transportation costs when comparing rental rates. Sometimes, a move can result in overall savings and a better living situation, even if the base rent is a little higher.

Sometimes, a landlord deals in bad faith or acts illegally. In that case, consider seeking legal advice. Organizations like Colorado Legal Services offer free legal assistance to low-income residents. 

These organizations help you work through complex topics. They help you understand your rights, review your lease, and advise you on potential courses of action. Even if you don’t qualify for free services, a consultation with a tenant rights attorney can provide clarity on your situation and potential next steps.

Protecting Yourself as a Renter in Colorado

Understanding rent increase laws is just the first step to protecting yourself as a renter in Colorado.

Understanding Fair Housing Laws in Colorado

Colorado has strong fair housing laws that protect renters from discrimination. It’s illegal for landlords to discriminate based on race, color, national origin, religion, sex, familial status, or disability. 

But Colorado goes a step further, extending protections to cover sexual orientation, gender identity, and source of income. This means that whether you’re part of the LGBTQ+ community or receive housing assistance, you’re protected under state law. 

If you believe you’ve experienced housing discrimination, you can file a complaint with the Colorado Civil Rights Division or seek assistance from local fair housing organizations.

The Importance of Renters Insurance

Often required by your landlord, renters insurance is a crucial form of protection as a Colorado renter. Renters insurance includes three main types of coverage: personal property, liability, and loss of use.

With Goodcover, you can get comprehensive renters insurance tailored to your needs. Our policies start with as little as $5,000 in personal property coverage, ensuring that you can protect your belongings without paying for coverage you don’t need. We also provide Replacement Cost Value (RCV) coverage, meaning if your items are damaged or stolen, we'll reimburse you for the cost of buying new ones, not just their depreciated value.

A great, unique feature of Goodcover’s policies is that all roommates listed on your lease are automatically covered under one policy at no extra cost. So, we encourage splitting your insurance costs with your roommates for more savings!

We also understand that your needs may change over time. That’s why we offer easy online adjustments, allowing you to modify your coverage as needed. Plus, our compare and switch capabilities make it simple to ensure you're always getting the best value for your insurance dollar.

Resources for Colorado Renters

Plan ahead for rent increases with these Colorado renters' resources:

From understanding the legal requirements for rent increases to knowing how to negotiate effectively, having the facts equips you to handle whatever rental challenges come your way. Remember, while landlords have the right to increase rent, they must do so within the bounds of the law and with proper notice.

As you interpret your unique situation, don’t forget the importance of protecting your belongings. Goodcover offers comprehensive Colorado renters insurance tailored to your needs, with affordable plans starting at just a few bucks a month. 

Visit www.goodcover.com to get a free quote to compare your current coverage today.


Note: This post is for informational purposes; insurance regulation and coverage specifics vary by location and person. Check your policy for exact coverage information.

For additional questions, 
reach out to us – we’re happy to help.

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