The following are prepared remarks from Mike Chambers, CEO of Ridley, regarding Colorado House Bill 26-1287 and broader consumer protection issues in Colorado’s real estate system.

The testimony addresses restitution for harmed consumers, accountability for license misconduct, and the importance of maintaining independent oversight of Colorado’s standardized real estate contracts.

The hearing is scheduled for Tuesday, March 17 before the Colorado House Committee on Transportation, Housing and Local Government, beginning upon adjournment of the House floor session.

Updated: View the testimony here

Chair and members of the committee, thank you for the opportunity to speak today.

My name is Mike Chambers. I’m a Boulder resident and the founder and CEO of Ridley, a Colorado-based real estate technology company focused on giving consumers more transparency and control when buying or selling a home.

Before explaining why I’m here today, it’s important to note that I’m generally skeptical of regulation. I believe that in most industries, competition and open markets produce better outcomes for consumers.

In fact, I’ve been openly critical of certain real estate regulations in Colorado that limit consumer choice. Colorado’s Minimum Service Law is one example. In most states, a homeowner can pay a small fee to have their home listed on the MLS. In Colorado, that option doesn’t exist. Homeowners are required to pay for additional brokerage services they may not want or need, often costing thousands of dollars just to access the MLS.

I know this firsthand because I ran directly into that law when I tried to sell my own home in Boulder last year.

But what I experienced during that process also made clear why strong consumer protections are necessary in this industry.

There was documented evidence of steering. Access to information was limited. And I saw firsthand how certain industry rules can make it extremely difficult for consumers to pursue alternatives.

My experience ultimately received national attention through coverage in The New York Times, CBS, and other outlets.

But the important thing to understand is this: my story isn’t unusual.

Since founding Ridley, I hear from consumers across Colorado every day, hardworking people who have encountered conduct and practices in real estate transactions that should never occur in a properly regulated market.

That’s the backdrop for why this bill matters.

I’m here today to voice my support for HB26-1287 as introduced and to urge this committee to resist amendments that weaken its consumer protections.

The bill addresses several clear gaps in the current consumer protection framework.

First is the restitution provision.

Today, if a broker harms a consumer, the Commission can fine that broker or revoke their license. But it cannot require the broker to repay the consumer who was harmed. That leaves consumers in the unusual position of having to pursue civil litigation, even after the state has already determined wrongdoing.

If an offense is serious enough to warrant a fine or the loss of a license, it should also require the broker to make the consumer whole.

The Mortgage Loan Originator Board already has this authority. There is little reason the Real Estate Commission should not have the same tool.

Second, the bill strengthens accountability by extending the cooling-off period before someone whose license was revoked can return to the profession.

Professional licenses aren’t revoked lightly. When someone loses a license because they harmed consumers, there should be real consequences before they are allowed back into the market.

Extending the cooling-off period also serves as a deterrent. A professional license is a privilege, and abusing that privilege should carry meaningful consequences. That’s how licensing systems are meant to protect the public.

Finally, it is important that amendments to this bill do not reintroduce conflicts of interest into Colorado’s real estate forms process.

Colorado has long been a national leader in standardized real estate contracts designed to protect consumers. But that system only works if oversight of those forms is independent and free from conflicts of interest.

When industry participants influence that process, there is a real risk that proposed changes prioritize limiting broker liability rather than strengthening protections for consumers.

I want to end by acknowledging that the vast majority of real estate brokers in Colorado are ethical professionals who work hard for their clients. Strong consumer protections support those professionals as well, by ensuring that the small number of bad actors do not undermine trust in the entire profession.

At its core, this bill is about making sure that when consumers are harmed, the regulatory system actually protects them. This bill gives regulators the tools to do that. Weakening it with amendments would send the opposite message. Thank you.

Testimony on Colorado Real Estate Consumer Protection Bill (HB26-1287)