Landlord Tenant Owner Occupancy in Colorado

Table of Contents
ToggleUnderstanding landlord-tenant owner occupancy in Colorado begins with understanding that there are specific laws which determine how many tenants can be in one building. There are also regulations which allow landlords to move themselves or their family into a unit.
Whether you’re a landlord seeking to understand your legal obligations or a tenant looking to know your rights, understanding these rules helps you protect your rights. If you find yourself in a dispute over laws concerning landlord-tenant owner occupancy in Colorado, contact the Denver office of Flaxman Law Group for a consultation. You can reach us at any time at 970-999-0530.
Understanding Occupancy Limits in Colorado
In Colorado, occupancy limits specify how many individuals can legally reside in a rental unit. While there are no state-wide laws enforcing the number of occupants per unit, landlords should be aware that local governments may set occupancy restrictions based on health and safety concerns, including building codes and environmental standards.
A recent change in the law, effective July 1, 2024, prohibits local governments from setting occupancy limits based on familial relationships, meaning municipalities cannot restrict the number of people in a rental solely due to family structure. This prevents larger families with multiple children from facing discrimination when they seek housing.
However, local authorities are allowed to implement regulations that reflect health and safety considerations such as fire codes, plumbing standards, and overall housing conditions. For instance, Colorado Springs has no restrictions on long-term rentals, but short-term rental occupancy is capped at two individuals per bedroom.
Landlords should also include clear and reasonable occupancy rules in lease agreements, including the maximum number of residents per unit or set limits for guests, particularly for consecutive stays exceeding a set number of days. This helps ensure compliance with local ordinances and maintains quality and safety of the rental property.
Lease Agreement Requirements
There are two main types of residential leases under state law: term leases and month-to-month leases. Term leases are set for a specific duration, with a clear starting and ending date, while month-to-month leases automatically renew each month unless either party provides notice of termination.
Whatever kind of lease agreement you have, as a landlord you’ll want to clearly outline the terms of occupancy, rental amounts, and responsibilities in these agreements. In particular, occupancy limits, based on local regulations or personal preferences, should be specified to avoid disputes. For example, a lease may state that no more than two individuals can occupy a one-bedroom unit for more than seven consecutive days, ensuring that tenants have the flexibility to have guests without violating the terms. If you allow subletting or allow your tenants to place the unit on short-term rental sites, you may want to specify how many occupants can stay in the property. For example, if you allow your tenants to lease to short-term renters while they’re away on vacation, you may want to cap the number of visitors to two to prevent large groups of partiers in the unit.
Limiting the number of occupants not only ensures you stay compliant with local laws, but it also protects from excessive damage to the building. It’s also important to understand fire codes in your area and your building’s limits. All buildings have maximum weight limits for elevators, balconies, and floors. If your tenants allow too many into the rental, even on a temporary basis, it could cause serious damage. There have been tragic cases of balcony collapses, for example, caused by big parties where too many people have crowded into one space. Giving your tenants information about safety protects you from liability and helps your renters stay safe, too.
Owner Occupancy Requirements
In Colorado, some property owners live in the same residence as the tenants or occupies one of the rental units in a multi-unit property. When a property is designated as “owner-occupied,” it can affect the types of rules and obligations that apply to both the landlord and the tenants.
For example, if a landlord decides to occupy a unit within a multi-unit property, there may be fewer tenant protections and regulations compared to a fully rented property. Additionally, some local zoning ordinances may offer exemptions or special provisions for owner-occupied rental properties, such as more flexibility regarding occupancy limits.
However, the landlord must still comply with state and federal laws. If you’re a landlord in this type of arrangement, it is important for your lease agreements to specify any requirements regarding shared living spaces, maintenance responsibilities, and the interaction between the owner and tenants. When you are living so close to tenants, it is possible for landlord-tenant disputes to arise and clear leases can reduce the risk of disagreements, since everyone is clear about their rights and obligations.
Another situation that sometimes happens with rentals in Colorado is that the landlord may want to move into a unit they are renting to someone else. In this case, you will need to evict the current tenant, and you will need to follow all legal requirements to do so. Under HB24-1098, you can only evict a tenant to move into the unit if there are no other reasonable vacant units for you to move into.
Fair Housing Rights and Owner Occupancy
Under both federal and Colorado state fair housing laws, it is illegal for landlords to discriminate against tenants based on protected characteristics, regardless of whether the landlord resides in the same building or unit.
The Fair Housing Act (FHA) prohibits discrimination based on race, color, national origin, religion, sex, familial status, or disability. Colorado’s Fair Housing Act extends includes sexual orientation, marital status, creed, and ancestry as well as other protected characteristics. Even if a property is owner-occupied, landlords must still ensure they are not discriminating against tenants.
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Compliance and Best Practices
Landlords must familiarize themselves with local ordinances regarding occupancy limits, zoning regulations, and building codes. It’s important to check with local authorities or legal counsel to ensure your properties meet these standards.
As a landlord, you must communicate any requirements to your tenants. Clear, detailed lease agreements can help by setting expectations. The lease should outline tenant obligations, including rent payment schedules, maintenance responsibilities, and occupancy rules. Any amendments or changes to the lease agreement should be communicated clearly and documented in writing. It is also a good idea to review the terms of the lease agreement verbally when a new tenant is moving in. Not every renter reviews the agreement and reviewing everything verbally allows the tenant to ask any clarifying questions.
Laws related to landlord-tenant relationships change often, so if you’re a landlord be sure to subscribe to industry newsletters, join landlord associations, or consult with a property attorney to keep up to date.
Keeping thorough records of leases, payments, communications, and property inspections is vital. This documentation can protect landlords in case of disputes or legal proceedings. Keep careful records of any changes to the law, any communications with tenants and your lawyer, and information about your rentals. If there is a disagreement, having documentation can help you establish your efforts to be fair and equitable.
Evictions and Owner Occupancy
If a landlord resides in one of the units of a multi-unit property and needs to evict a tenant, the process must still adhere to state law. In Colorado, a landlord must provide notice of eviction and have a valid legal reason for terminating the tenancy. Common reasons for eviction include non-payment of rent, lease violations, property damage, or other breaches of the lease agreement.
The typical eviction process begins with a written notice to the tenant, providing them with a certain amount of time to make things right—such as by paying overdue rent, for example—or vacate the property. If the tenant does not comply, the landlord may file for an official eviction through the courts. In some cases, the eviction process can take several weeks or even months.
For owner-occupied properties, landlords and tenants may see each other regularly, so it’s especially important to follow legal procedures and avoid taking actions that could be perceived as retaliation.
Even for owner-occupied properties, landlords must adhere to the notice period specified by Colorado law. For month-to-month leases, the landlord is typically required to provide at least 10 days’ notice before asking the tenant to vacate. For term leases, the notice must be given based on the lease terms or by the expiration date of the agreement.
Lastly, it’s crucial to remember that even if the landlord occupies the property, they cannot simply evict a tenant without cause. Colorado law protects tenants from unlawful evictions, so landlords must be diligent in ensuring that their actions are supported by the law.
Local Regulations and Enforcement
Many Colorado municipalities have their own rules concerning rental properties. These rules can cover a wide range of issues, including occupancy limits, building standards, noise ordinances, and specific landlord-tenant regulations. For instance, some cities may impose occupancy restrictions based on the size of the unit or the number of bedrooms, while others may have regulations governing short-term rentals or rental registration requirements.
Local zoning laws can also impact landlords, especially those who are considering renting out part of their property or making modifications to meet occupancy needs. Zoning regulations can dictate whether properties can be legally rented, the types of structures that can be built, or whether certain areas of a building can be used for residential purposes.
It’s essential for landlords to research and stay updated on their specific locality’s regulations. Failing to comply with these local laws can result in fines, penalties, or even the revocation of rental licenses.
Owner occupancy rules are a common cause of landlord-tenant disputes. Disputes can arise in many situations:
- A landlord may want to move into a rental unit, and a tenant may object to the eviction.
- Close contact between tenants and landlords in owner occupied rentals can create tensions, especially if renters feel their privacy is not respected.
- Landlords may have concerns about the number of guests a tenant has in their unit.
- Tenants may try to sublet or allow multiple people to stay in the unit.
In many cases, local housing authorities, city or county building departments, and even health departments are responsible for ensuring compliance with local codes. Tenants also have the right to file complaints with local authorities, who can investigate and impose penalties or force landlords to make necessary repairs or updates. For example, if a rental unit is found to be in violation of fire safety codes or is deemed uninhabitable, the local building inspector may issue a citation or order that repairs be made within a specific timeframe. Tenants further have the right to pursue a civil claim in some cases if a landlord’s actions have caused losses and harm.
If disputes arise between landlords and tenants regarding local regulations or violations, both parties typically have access to mediation. Mediation can help both parties come to a fair resolution on issues such as security deposits, rent disputes, and maintenance concerns.
If a landlord or tenant cannot resolve a conflict through mediation, recourse is available through the courts. Colorado has a specific process for evictions and landlord-tenant disputes, with each county having a small claims court or civil court to hear these cases.
If you have a dispute over owner occupancy rules in Colorado, contact the Denver offices of Flaxman Law Group at 970-999-0530 for a consultation.
Leading the firm’s Denver office, Steven Flaxman continues the Flaxman family legacy of delivering compassionate and dedicated legal representation. Steven is committed to helping both landlords and tenants gain clarity and protect their rights. He brings a hands-on approach to each case, ensuring that every client receives personalized attention and direct access to their attorney, from the initial consultation to the final resolution. When you work with Steven, you will have his personal cell phone number, so you can always reach him when you need to. Steven will also work to bring resolution to your case quickly.
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These Important Questions
A landlord can typically keep all or part of your security deposit to cover unpaid rent, damage beyond normal wear and tear, or other lease violations. However, they must provide an itemized list of deductions and return any remaining amount within a specific timeframe, as required by local laws.
With a proven track record and a client-focused approach, we strive to make the legal process as stress-free as possible. Trust our offices in Colorado and Florida to provide honest representation throughout your landlord-tenant dispute. Contact Flaxman Law Group today so we can assist you with your landlord-tenant issue.
Landlords must always provide notice and cannot evict without going through proper court process, unless the lease or local laws specify otherwise. For example, in cases of criminal activity or immediate danger to the property, the landlord may proceed with an expedited eviction. Always check your lease and local tenant laws for specific requirements.
If your landlord fails to address necessary repairs after you've notified them in writing, you may have options such as:
Withholding rent (where allowed by law).
Making the repair yourself and deducting the cost from your rent. Reporting the issue to local housing authorities.
Seeking legal remedies in court. Document all communication and the condition of the property to strengthen your case.
The length of the eviction process varies depending on local laws and the circumstances of the case. It can take anywhere from a few weeks to several months. Generally, the process involves:
- A formal notice period.
- Filing of an eviction lawsuit.
- A court hearing.
- Enforcement of the eviction by local authorities, if necessary.
- Tenants may appeal or request delays, which can extend the timeline.
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Skillfully navigated complex landlord-tenant conflicts, advocating for fair resolutions and protecting clients’ rights in rental and lease agreements.
Protecting Tenant Rights:
Helped hundreds of tenants recover withheld security deposits, terminate leases, transfer units, or obtain alternative housing in cases involving habitability issues.
Preventing Wrongful Evictions:
Represented tenants to successfully block unlawful eviction attempts, ensuring their housing rights were upheld.
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Assisted landlords in evicting problematic tenants and recovering compensation for property damages, lost income, and other related losses.