Current Colorado late fee restrictions for my rental agreement?

2 Replies

Hey BP!

I rent out a room in my owner-occupied home. I’m currently editing the rental agreement before the new tenant signs and moves in. I had a former tenant from before, and throughout, all of these COVID-19 shenanigans. I’m still in my novice stages as an investor, so the only “unit” I’m renting is this one (for now), therefore, I don’t currently need a majorly extensive rental agreement. My current attorney is an out-of-state, semi-retired family member and isn’t necessarily as privy to the latest updates on Colorado renter’s rights as one might hope. I’ve done quite a bit of my own research, but there’s a lot to read out there between proposed bills, rejected bills, passed bills, state bills, executive orders, and misleading news articles...

Anyway, I thought I’d ask you all for some insight and resources on the topic.

My major questions are as follows:

* What are the current limits on late fee charges?

* What are the restrictions regarding grace period for late fees?

* Where is the best/your favorite place to go for the most accurate and up-to-date information on these topics?

Bare in mind this is for a tenant renting a room in the house that I live in.

If there are any details or other recommendations you have for me don’t hesitate to mention them. I’m an open book.

Thanks in advance!

Andrew

@Andrew Dincola I would definitely dig into this further because the rules for owner occupied properties are a bit different than if you were not occupying with your tenant(s). In CO right now, there is a moratorium in place on late fees through the end of April but I expect it will get extended. We charge 10% of the total rent amount. In terms of grace period, our lease says rent is due on the 1st and late as of the 4th but some PM's follow a different set of dates. Our go-to source for legal matters is THSLAWFIRM.COM; I would check them out. Some of their resources/documents are free and others require you to be a registered client.