Property Management

A Colorado property manager who collects security deposits must:

AA. Deposit them in the property manager's personal checking account
BB. Hold them in a separate trust or escrow account, not commingled with the manager's personal or business funds✓ Correct
CC. Return them immediately if the tenant requests
DD. Invest them in securities for the owner's benefit

Explanation

Colorado law and real estate commission rules require that tenant security deposits be held in a trust account separate from the property manager's or broker's personal funds. Commingling client funds with personal funds is a serious violation that can result in license revocation.

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