Colorado Declaration of Homestead

DECLARATION OF HOMESTEAD

RECORDING REQUESTED BY AND, WHEN RECORDED, RETURN TO:

[___________________________________]

[___________________________________]

[___________________________________]

[___________________________________]

APN / Schedule No.: [_______________________]

Reception No. (assigned by Recorder): [_____________]

Space above this line for Recorder's use only.

DECLARATION OF HOMESTEAD UNDER C.R.S. § 38-41-201 et seq.

COUNTY OF [____________________________________], STATE OF COLORADO

I (we), the undersigned [DECLARANT FULL LEGAL NAME] [, and [DECLARANT FULL LEGAL NAME — SPOUSE],] being duly sworn, declare and state under oath as follows:

1. Identity of Declarant(s)

2. Property Subject to Homestead

3. Legal Description

The Property that is the subject of this Declaration is more particularly described as follows:

[______________________________________________________________________________]

[______________________________________________________________________________]

[______________________________________________________________________________]

[______________________________________________________________________________]

(If insufficient space, attach legal description as Exhibit A, incorporated by reference.)

4. Nature and Source of Declarant's Interest — C.R.S. § 38-41-202(2)

The nature and source of the Declarant(s)' interest in the Property is:

5. Occupancy as Principal Residence — C.R.S. § 38-41-201

The Declarant(s) declare that:

☐ The Property is occupied as a home by the Declarant(s) and/or the Declarant's family.

☐ The Property is not used as a vacation residence, second home, rental, or investment property.

☐ The Declarant(s) do not claim a homestead exemption on any other property in Colorado or in any other state.

☐ Date Declarant(s) commenced and have continuously occupied the Property as a principal residence: [__/__/____]

6. Claim of Homestead — Standard or Elderly/Disabled Cap

The Declarant(s) hereby declare(s) the Property described above to be the homestead of the Declarant(s) and claim the homestead exemption authorized by C.R.S. § 38-41-201 in the following amount (check one):

☐ Standard Homestead — $250,000. The Property is occupied as a home by an owner or an owner's family. C.R.S. § 38-41-201(1)(a).

☐ Elderly/Disabled Homestead — $350,000. The Property is occupied as a home by an owner who is sixty (60) years of age or older, by an owner's spouse who is sixty (60) years of age or older, by an owner who is "disabled" as defined in C.R.S. § 38-41-201.5, by an owner's spouse who is so disabled, or by an owner's dependent who is so disabled. C.R.S. § 38-41-201(1)(b).

If the elderly/disabled cap is claimed, complete the following:

7. Marital Status and Spousal Signature Requirement — C.R.S. § 38-41-202(2)

If both spouses or civil-union partners sign and acknowledge this Declaration and it is recorded, the signatures of both spouses are required to convey or encumber the Property under C.R.S. § 38-41-202(2).

☐ Both spouses/civil-union partners are signing this Declaration and intend the dual-signature rule to apply.

☐ Only one spouse is on title; the non-titled spouse is signing for purposes of § 38-41-202(2).

☐ Declarant is unmarried; this paragraph is inapplicable.

8. Liens and Obligations Not Affected by Homestead — C.R.S. § 38-41-201(2)

Declarant(s) acknowledge that the homestead exemption does NOT apply to:

• Consensual liens including purchase-money mortgages and deeds of trust;
• Mechanic's liens, materialman's liens, and labor-and-materials claims under C.R.S. § 38-22-101 et seq.;
• Liens for taxes, special assessments, and governmental charges;
• Court-ordered liens for child support, spousal maintenance, or restitution;
• Federal tax liens (26 U.S.C. § 6321);
• Liens that arose before July 1, 1975 (where statutory carve-outs apply); and
• Other liens specifically excepted by Colorado or federal law.

9. Proceeds of Sale, Insurance, or Condemnation — C.R.S. § 38-41-201.6, § 38-41-207, § 38-41-209

Declarant(s) acknowledge that:

• Proceeds from the voluntary sale of the homestead remain exempt for two (2) years after receipt to the extent reinvested in a new homestead. C.R.S. § 38-41-207.
• Insurance proceeds and condemnation awards arising from involuntary loss of the homestead remain exempt for one (1) year after receipt. C.R.S. § 38-41-209.

10. No Multiple Homesteads

Declarant(s) certify that no other Declaration of Homestead has been executed or recorded by any Declarant on any other property and that this is the only homestead claimed.

11. Federal Bankruptcy Disclosures — 11 U.S.C. § 522

Declarant(s) acknowledge that Colorado has opted out of federal bankruptcy exemptions under C.R.S. § 13-54-107 and that, in any bankruptcy filed by Declarant, only Colorado statutory exemptions and applicable non-bankruptcy federal exemptions are available. Declarant(s) further acknowledge:

• 11 U.S.C. § 522(p) caps homestead protection at the amount specified by the Bankruptcy Code (currently $214,000, effective April 1, 2025; subject to triennial adjustment) for any interest in a homestead acquired during the 1,215 days before a bankruptcy petition; and
• 11 U.S.C. § 522(q) further caps homestead protection upon certain misconduct findings.

12. Effective Date

This Declaration is effective upon execution and is intended to be recorded in the office of the [_______________________] County Clerk and Recorder, State of Colorado, in accordance with C.R.S. § 38-35-122.

EXECUTION

Executed this [____] day of [_______________________], 20[____], at [_______________________], Colorado.

NOTARIAL ACKNOWLEDGMENT — DECLARANT 1

The foregoing Declaration of Homestead was acknowledged before me this [____] day of [_______________________], 20[____], by [DECLARANT 1 FULL LEGAL NAME].

Witness my hand and official seal.

Notary Public Signature: _______________________________

Printed Name: [____________________________________]

My commission expires: [__/__/____]

Notary ID No.: [_______________________]

(Affix notary seal)

NOTARIAL ACKNOWLEDGMENT — DECLARANT 2 (if applicable)

The foregoing Declaration of Homestead was acknowledged before me this [____] day of [_______________________], 20[____], by [DECLARANT 2 FULL LEGAL NAME].

Witness my hand and official seal.

Notary Public Signature: _______________________________

Printed Name: [____________________________________]

My commission expires: [__/__/____]

Notary ID No.: [_______________________]

(Affix notary seal)

EXHIBIT A — LEGAL DESCRIPTION

[______________________________________________________________________________]

[______________________________________________________________________________]

[______________________________________________________________________________]

[______________________________________________________________________________]

[______________________________________________________________________________]

Together with all improvements, easements, appurtenances, and after-acquired interests appertaining thereto.

INSTRUCTIONS FOR USE AND RECORDING

Why Record?

Colorado homestead protection arises automatically under C.R.S. § 38-41-202(1) the moment the owner (or owner's family) occupies the property as a principal residence. Recording is NOT required to invoke the exemption. Reasons clients still record include:

1. Memorialization. Creates a publicly recorded date evidencing occupancy as a principal residence.
2. Dual-spousal-signature rule. Recording activates the requirement that both spouses sign on a conveyance or encumbrance under § 38-41-202(2).
3. Elderly/disabled enhanced cap. Memorializes the basis for the $350,000 cap under § 38-41-201(1)(b).
4. Pre-petition planning. Some bankruptcy practitioners advise recording before filing to clarify the homestead claim if the debtor's principal residence is later contested.
5. Multi-property owners. Where a debtor owns more than one residential property, recording on the actual principal residence helps rebut a creditor's claim that another property is the homestead.

Recording Steps

1. Confirm the legal description matches the vesting deed (Exhibit A).
2. Obtain notarized signatures of all owners and the owner's spouse, if applicable.
3. Verify the document has the recording-information block under C.R.S. § 38-35-122 (return-to address; APN/schedule number; legal description on first page or first reference page).
4. Submit to the County Clerk and Recorder of the county where the property is located.
5. Pay recording fees (typically $13 first page, $5 each additional page, $3 documentary fee surcharge — verify with the county).
6. Retain the conformed copy with the recorded reception number for the client's records and, if applicable, file with bankruptcy counsel.

What This Declaration Does NOT Do

• Does not extend the statutory cap ($250,000 / $350,000).
• Does not cure the 1,215-day federal homestead cap under 11 U.S.C. § 522(p).
• Does not defeat consensual liens (mortgages, deeds of trust, mechanic's liens).
• Does not exempt non-residential or vacation property.
• Does not retroactively create a homestead on property the owner does not occupy.
• Does not prevent a Chapter 7 trustee from administering equity above the cap.

When to Re-Record

Re-record (or record a supplemental declaration) when:

• The owner becomes 60 years of age and now qualifies for the enhanced $350,000 cap;
• A previously non-disabled owner becomes disabled within § 38-41-201.5;
• A spouse is added to title or becomes a resident;
• The property's legal description is amended (lot split, condo amendment).

SOURCES AND REFERENCES

• C.R.S. § 38-41-201 (Homestead Exemption — Amounts and Definitions)
• C.R.S. § 38-41-201.5 (Definition of "Disabled")
• C.R.S. § 38-41-201.6 (Proceeds — Sale, Insurance, Condemnation)
• C.R.S. § 38-41-202 (Automatic Creation; Recording for Pre-1975 Debts; Spousal Signature Effect)
• C.R.S. § 38-41-203 (Property Subject to Homestead)
• C.R.S. § 38-41-204 (Homestead in Trust Property)
• C.R.S. § 38-41-207 (Voluntary Sale Proceeds — Two-Year Reinvestment Window)
• C.R.S. § 38-41-209 (Insurance and Condemnation Proceeds — One-Year Window)
• C.R.S. § 38-35-101 et seq. (Recording — Title Documents)
• C.R.S. § 38-35-109 (Recording — Constructive Notice)
• C.R.S. § 38-35-122 (Real Property Documents — Required Information)
• C.R.S. § 38-30-101 et seq. (Acknowledgments)
• C.R.S. § 13-54-107 (Colorado Opt-Out from Federal Bankruptcy Exemptions)
• 11 U.S.C. § 522(b)(3), (p), (q) (Federal Homestead Caps)
• Senate Bill 22-086 (2022 amendments increasing homestead amounts)
• County Clerk and Recorder fees: verify with the Colorado County Clerks Association (ccca.coclerks.org)