As a Colorado realtor, you may have your real estate license suspended or revoked if you get convicted of a felony. If you are an aspiring real estate agent, having a criminal past can prevent you from getting a license in the first place.
Here are four key things to know:
- If you are a licensed realtor, you have to inform the Colorado Real Estate Commission after you get convicted of certain serious crimes.
- If the Commission votes to discipline you, you can request a hearing to fight it.
- If you have a suspended or revoked license, you are not allowed to work as a realtor.
- Unauthorized brokering is a class 2 misdemeanor, carrying up to 120 days in jail, and/or up to $750.
In this article, our Denver Colorado criminal defense attorneys discuss how criminal convictions affect real estate licenses in Colorado. Click on a topic to jump to that section:
- 1. Who regulates licenses
- 2. Applying for a license with a criminal record
- 3. Discipline following a criminal conviction
- 4. Fighting disciplinary penalties
- 5. Working as a realtor without a license
- 6. Other professional licenses
- Additional resources
Colorado realtors must submit to a background check in order to be licensed.
1. Who regulates real estate licenses in Colorado
The “Colorado Real Estate Commission” of the Colorado Division of Real Estate regulates who receives and keeps realtor licenses in Colorado. The Commission consists of five members appointed by the Colorado governor, and they each serve a three-year term.
The Real Estate Division is located at:
1560 Broadway, Suite 925
Denver, CO 80202
The phone number is 303-894-2166. The fax number is 303-894-2683. And the e-mail is dora_realestate_website@state.co.us.
2. Applying for a real estate license with a criminal record in Colorado
If you are applying for a realtor license in Colorado, you are required to provide fingerprints through IdentoGO Fingerprint Services. The fingerprints will then be used to conduct background checks with:
- the Colorado Bureau of Investigation (CBI) as well as
- the Federal Bureau of Investigation (FBI).
In addition, you are required to self-report all your criminal convictions from the prior 10 years as well as any pending criminal cases. You must also write an explanation of the circumstances surrounding each incident. This explanation needs to include the statement,
“I have been charged with no other criminal violations either past or pending, other than those I have stated on the application.”1
The Commission then makes case-by-case determinations regarding whether to grant a license to you if you have a criminal history. A majority of the Commission (which would be three out of its five members, called a “quorum”) is required to deny a license.2
Note that there is a way to gauge whether your criminal history will prevent you from getting a license: Before submitting the application, you have the option of requesting a “preliminary advisory opinion” from the Commission. Then depending on what the Commission says in its opinion, you can decide either to:
- continue the application process or
- decide not to pursue a license.3
Also note that the Commission may deny you a license if you have not been forthcoming about your criminal history on your application, even if the criminal history would not otherwise have been disqualifying.4 If you have an expunged or sealed record, you are encouraged to talk with an attorney to discuss whether to reveal those records on the application.
3. Discipline for real estate agents following a criminal conviction in Colorado
If you are a licensed realtor who gets convicted of any of the following offenses, you are vulnerable to disciplinary punishments by the Real Estate Commission:
- homicide
- assault
- kidnapping
- unlawful sexual behavior (including rape)
- human trafficking
- stalking
- arson
- burglary
- robbery
- theft
- forgery
- fraud in obtaining property or services (such as check fraud)
- fraudulent and deceptive sales and business practices
- bribery
- rigging of contests
- Uniform Commercial Code (UCC) crimes
- crimes under the Financial Transaction Device Crime Act
- equity skimming
- identity theft
- computer crimes
- incest
- wrongs to children (such as child abuse)
- harboring a minor
- contributing to delinquency
- domestic violence crimes
- obscenity
- public indecency
- child prostitution
- sexually explicit materials harmful to children
- visual representations containing actual violence
- sexual conduct in a correctional institution
- criminal invasion of privacy
- organized crime
- extortionate extension of credit
- criminal usury
- unlawful use of a controlled substance
- unlawful distribution, manufacturing, dispensing, or selling drugs
- marijuana crimes
- keeping a property for the unlawful distribution of drugs
- unlawful possession of materials to make methamphetamine and amphetamine
- sale or distribution of materials to manufacture controlled substances
- retail sale of methamphetamine precursor drugs
- fraud and deceit regarding controlled substances
- inducing consumption of controlled substances by fraudulent means
- crimes related to imitation controlled substances
- crimes related to counterfeit substances
- any crime similar to the ones above in any state or in federal law5
After investigating the matter, the Commission would decide whether to:
- take no action,
- issue an admonition letter,
- to censure you and impose an administrative fine of up to $2,500,
- place you on probation,
- suspend your license, or
- revoke your license6
You can request a disciplinary hearing to defend yourself, and you can have an attorney appear with you. Note that a majority vote of the Commission is required to suspend or revoke your license.7
Also note that if you have your license revoked, you are prohibited from getting a new license for one year.8
4. Fighting discipline by the Colorado Real Estate Commission
How best to fight against disciplinary measures always depends on the facts of the allegations. Possible arguments you (or your attorney) could make to the Commission include:
- the crime was not serious enough to warrant a license suspension or revocation,
- you have completed all the sentencing terms,
- you are not a threat to anyone, and
- you are well-regarded and have good character
Former clients and colleagues could also write letters to the Commission in support of you.
5. Penalties for real estate agents without a license in Colorado
Colorado law makes it a crime to act as a realtor without a current and valid license issued by the Division of Real Estate. If you are found to be in violation of this law, you face criminal prosecution.
Acting as a real estate broker without a license is a class 2 misdemeanor. The sentence is:
- up to 120 days in jail, and/or
- up to $750 in fines9
Furthermore, a conviction for being an unlicensed realtor could cause the Colorado Real Estate Commission to permanently bar you from ever having a real estate license in the future.
6. Other professional licenses in Colorado
6.1. Medical licenses
A felony conviction or drug crime conviction could make a licensed doctor in Colorado vulnerable to discipline by the state board. Learn more about how criminal convictions affect Colorado medical licenses.
6.2. Dental licenses
As with doctors, a felony or drug conviction could make a licensed dentist or hygienist in Colorado vulnerable to discipline by the state board. Learn more about how criminal convictions affect Colorado dental licenses.
6.3. Nursing licenses
Nurses have to self-report their felony convictions to the state board. Learn more about discipline for nurses with criminal convictions in Colorado.
6.4. Contractor licenses
Electrical and plumbing contractors have to get state licenses, while general contractors usually have to get local licenses. Learn more about Colorado contractor licenses and how criminal conviction affect them.
6.5. Social work licenses
Social workers have to tell the licensing board of any felony convictions. Learn more about how a criminal record affects social work licenses in Colorado.
6.6. Accountancy licenses
CPAs face disciplinary penalties for committing a felony or fraud-related misdemeanors. Learn more about how a criminal record affects accountancy licenses in Colorado.
6.7. Law licenses
Attorneys who get disciplined by the Bar can appeal their case to the Colorado Supreme Court. Learn more about how a criminal conviction affects law licenses in Colorado.
Additional reading
For more information, see these websites at the Colorado Division of Real Estate:
- Real Estate Broker Application Instruction Guide
- Broker Application, Documents, and Fees
- Real Estate Contracts and Forms
- Broker Steps for License Reinstatement
- Broker License Partial Recognition Agreement & Reciprocity
Legal References
- 4 CCR 725-1 A-12 (a) (Commission Rules and Regulations).
- CRS 12-10-206 (formerly CRS 12-61-105).
- 4 CCR 725-1 A-12 (b)(1) (Commission Rules and Regulations).
- 4 CCR 725-1 E-24 (Commission Rules and Regulations).
- CRS 12-10-217 (formerly CRS 12-61-113(1)(m)(I)).
- Same.
- CRS 12-10-219 (formerly CRS 12-61-105).
- See note 5.
- CRS 12-10-223 (formerly CRS 12-61-119) (“Any natural person, firm, partnership, limited liability company, association, or corporation violating the provisions of this part 2 by acting as real estate broker in this state without having obtained a license or by acting as real estate broker after the broker’s license has been revoked or during any period for which the license may have been suspended commits a class 2 misdemeanor.”). Prior to March 1, 2022, a first-time violation carried up to 6 months in jail and/or up to $500 in fines, and subsequent offense carried up to 6 months in jail and/or up to $1,000 in fines. SB21-271.