Colorado State Representative Manny Rutinel has introduced a bill that would allow county clerks and recorders to allocate documentary fees to fund short and long-term housing for the homeless.
Whether it’s refining your business model, mastering new technologies, or discovering strategies to capitalize on the next market surge, Inman Connect New York will prepare you to take bold steps forward. The Next Chapter is about to begin. Be part of it. Join us and thousands of real estate leaders Jan. 22-24, 2025.
Colorado is facing a mile-high problem with homelessness, with a 134% increase in homeless families from 2023 to 2024 in the state (source).
To address the funding gap for homeless services, Colorado State Representative Manny Rutinel has proposed using real estate transfer fees to support the construction, renovation, or purchase of short or long-term housing for homeless individuals and families.
The bill, Improving Infrastructure to Reduce Homelessness, would authorize county clerks and recorders to designate part of documentary filing fees to finance affordable housing projects within their county. Currently, the statewide documentary filing fee is 0.01% of the property value, resulting in a $50 fee for a $500,000 home purchase. The Colorado Fiscal Institute’s report estimated that clerk and recorder’s offices collected $10 million in documentary filing fees in 2020.
Rep. Manny Rutinel | Credit: Colorado General Assembly
“As the volume of real estate transactions has increased significantly, real estate prices and costs have also increased, impacting the availability and affordability of housing in Colorado,” the bill states. “Local governments should be allowed to use the documentary fee to offset the administrative costs associated with recording and maintaining real estate records and the costs of building and maintaining affordable housing.”
In addition to reallocating documentary filing fees, the bill proposes the formation of an interagency homelessness council, which would include various government departments and agencies to address homelessness issues effectively.
The bill also requires the councils to submit an annual report to the legislature, including recommendations for further action.
Representative Rutinel emphasized the need for improved coordination and funding to tackle Colorado’s homelessness problem effectively.
To ensure that the data we collect is effectively used to implement successful programs and discontinue ineffective ones, we aim to better address the needs of these populations. Without sufficient resources or a supportive network, individuals may find themselves without shelter during tough times, ultimately leading to homelessness. Please contact Marian McPherson via email.