Colorado HB25-1236: What Landlords Need to Know in 2026

The short answer

Colorado HB25-1236 explained for landlords: what you must accept, what you can still require, and how Settl makes PTSR compliance effortless in 2026.

Colorado's House Bill 25-1236 introduced Portable Tenant Screening Reports (PTSR) as a formal part of the state's rental application process. If you own or manage rental property in Colorado, this law affects how you screen applicants and what fees you can charge. Here's everything you need to know.

What Is HB25-1236?

HB25-1236 is a Colorado law that gives tenants the right to submit a portable, tenant-paid screening report when applying for rental housing. The law requires qualifying landlords to accept these reports rather than forcing applicants to pay for a new background check at every property they apply to.

The goal is to reduce the cumulative cost of apartment hunting — where renters previously could spend $100–$200 or more in nonrefundable application fees just to find a place to live.

Who Does the Law Apply To?

HB25-1236 applies to landlords and property managers renting residential units in Colorado. The law has the broadest application to:

• Property management companies overseeing multiple units
• Individual landlords with two or more rental properties
• Any landlord who charges an application or screening fee

There are limited exceptions for landlords renting a single unit within their own primary residence. If you're unsure whether the law applies to you, consult a Colorado real estate attorney.

What Must You Accept?

Under HB25-1236, if a prospective tenant presents a compliant PTSR, you must:

• Accept the report as satisfying your screening requirement
• Waive any screening fee that you would otherwise charge
• Not require the applicant to submit to a separate background check

A compliant PTSR must include identity verification, criminal background, eviction history, and income/employment information. It must have been issued within the past 30 days.

What Can You Still Require?

The law doesn't remove your ability to screen tenants — it changes who pays for the screening and how it's delivered. You can still:

• Set your own minimum income, credit score, and rental history standards
• Reject an applicant whose PTSR shows disqualifying information (criminal history, prior evictions, insufficient income)
• Require a completed rental application with household information and references
• Require renter's insurance
• Conduct an in-person or virtual showing before accepting an application

The key distinction: you can evaluate the information in a PTSR according to your own standards. You cannot charge the applicant for the privilege of being evaluated.

What Happens If You Don't Comply?

Landlords who refuse to accept a valid PTSR or who continue to charge screening fees after a PTSR has been presented may face civil liability under Colorado law. Tenants who believe their rights have been violated can seek legal remedies, including recovery of improperly charged fees.

This is a real risk — particularly as tenant advocacy organizations in Colorado are actively educating renters about their rights under HB25-1236.

How Settl Makes Compliance Effortless

Rather than treating HB25-1236 as a compliance burden, forward-thinking landlords are using it as an opportunity to streamline their screening process. Settl's PTSR framework means:

• No screening vendor account needed: Applicants bring their own verified report
• No waiting for results: Reports are pre-run before the applicant even contacts you
• No disputes about accuracy: Applicants have already reviewed their own report
• Full compliance documentation: Each Settl report is timestamped and includes all legally required data fields

The Settl landlord dashboard is free to use. When an applicant shares their Settl verification link with you, you view their complete report in seconds — identity, income, employment, background — all in one place.

What to Tell Applicants

You can add the following to your rental listings and application instructions:

In compliance with Colorado HB25-1236, we accept Portable Tenant Screening Reports. We recommend Settl (settlhome.com) as a compliant PTSR provider. Please include a current Settl report (dated within 30 days) with your application. No additional screening fee will be charged to applicants who provide a compliant PTSR.

The Bottom Line

HB25-1236 is now part of Colorado's rental landscape. Landlords who adapt quickly will find it reduces their screening workload and costs. Those who ignore it face legal risk. Setting up a PTSR-friendly application process takes about 15 minutes and creates a better experience for everyone — including you.

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