If you need to move unexpectedly and don't want to terminate your lease agreement prematurely and lose your security deposit, you can choose to sublet the rental property instead.
However, it is important to remember that there are laws governing these agreements, which you will need to consider when planning to sublease a rental unit. We will provide the information you need to sublet a property in this article.
A Colorado sublease agreement is a legal document that allows current tenants to lease or “sublet” all or a portion of a rental property to someone else (often referred to as a “subtenant”). Subletting a property is only permissible if the original lease doesn’t prohibit it.
Moreover, it is a smart strategy to ensure that your rental unit is occupied while you are away for a prolonged period or to generate some extra money by taking in a roommate. However, it does come with a few legal risks, so it's important to be aware of the laws, guidelines, and standards that apply to sublease agreements in Colorado.
What to Include
It is essential to include certain information in your sublease agreement to stipulate the terms and conditions of the lease. Here are some important details to add:
- The names and contact details of all parties involved
- A description of the rental unit
- Details about the monthly rent (how much is due and when the subtenant will need to pay rent)
- Security deposit requirements
- Policies (this includes your rules for smoking, pets, noise, etc.)
- A section for all parties to sign the agreement (you may need to have an additional area for the landlord to provide their written consent for the arrangement)
How To Write One
Even if the lease agreement permits subleasing, all renters in Colorado must first obtain the landlord's approval before doing so.
Before signing a contract, the landlord must receive the information listed below. This information enables the landlord to understand the terms of the rental agreement and the subtenants you would like to have. Here's how to write your sublease agreement:
- Provide the address and a description of the rental unit
- List the names of all the parties involved
- State the name of the landlord (it might be a good idea to attach a copy of the original lease)
- Provide information about the security deposit, rental amount, and due dates for these payments
- Detail the terms and conditions for the sublease
- List any restrictions that aren't mentioned in the original lease
If you want to know if you can sublet the property you're living in, you can turn to the original lease. In Colorado, a renter is advised to obtain written consent from their landlord before subletting a rental unit. You will be accountable for your sublessee and responsible for any lease infringements once you have signed a Colorado sublease agreement.
Moreover, as a sublessor, you must adhere to all Colorado laws governing the eviction procedure, security deposit, and any other landlord-tenant issues, as well as the terms and conditions of the sublease contract and the original lease. According to Colorado law, the original tenant must:
- Provide a new tenant with a documented three-day notice to pay the rent or vacate.
- Unless otherwise specified, the security deposit must be returned within one month of the sublease's termination and no later than 60 days.
- Give written notice to renew the original lease or sublease based on how long the subtenant has occupied the unit.
Renewing the Sublease Agreement
As mentioned above, the number of days you will need to provide written notice when renewing an agreement will depend on the duration of the sublease. Here are some excerpts from tenant law in Colorado to take note of:
- Occupancy less than a week - 1 day’s notice
- Tenancy between one to four weeks - 3 days
- One month or more (but under a year) - a 21-day notice
- Six months to a year - 28 days
- Tenancy of one year or longer - 91 days' notice
Sublessors have a responsibility to:
- Obtain written consent from the landlord before subletting the unit
- Return the security deposit within one month
- Provide written notice when renewing the original lease or sublease within the designated timeframe
- Give the subtenant a three-day notice to vacate the premises or pay rent
Build Your Own
Now that you know what to include in your Colorado sublease agreement, it's time to build your own. To save time, you can use our free Colorado sublease agreement template:
Alternatively, you can use our intuitive property management software to run a credit and background check on the new tenant and receive rent payments. Book your free demo today to try it out!
What Is DoorLoop?
DoorLoop was created in response to a growing need for a platform to help manage rental businesses. You can use the software to run background checks, create professional leases, and track rental payments on one intuitive platform.
To see it at work for yourself, schedule a free demo.
Lease signing is your biggest opportunity to lay the foundation for a pleasant tenant experience, and that relies on making the process as easy and efficient as possible.
With DoorLoop, you can get your subleases eSigned in a few seconds. You can also get to the eSignature step much more easily by creating reusable sublease templates that are autofilled with tenants' information.
DoorLoop also makes it so simple to find the best tenants in the first place by syndicating your lisitngs on popular websites Zillow, Trulia, Hotpads, Apartments.com, and more. You can also make sure you're bringing in the best tenants by screening your prospects in seconds through DoorLoop.
For more information about DoorLoop, learn more or schedule a free demo.
When used correctly, a Colorado sublease agreement can offer a number of benefits. However, it is important to take the relevant laws into consideration when drawing up these legal documents. You can use DoorLoop to help you create flawless sublease agreements or manage a sublet arrangement. Contact us today for more information!
Is subletting legal in Colorado?
Yes! Subletting a rental property is 10 percent legal in the state, provided the original tenant obtains consent from the landlord. If the new tenant has a poor credit score or doesn't meet certain requirements, a landlord is within their right to reject your application to sublease the property to that tenant, according to Colorado law.
Is it okay for a tenant in Colorado to sublet a rental unit without obtaining permission from the landlord?
No, all renters must obtain the landlord's written consent before subletting a rental home. Furthermore, suppose the original rental agreement forbids subletting. In that case, the landlord may refuse an application for a sublease for any reason, regardless of how irrational it may sound, as long as the original lease explicitly forbids it.
How can a tenant terminate a sublease?
The initial tenant must pursue the same eviction process that the landlord would have to use to remove them to evict a sublessee or end a sublease contract.