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How does water rights work in Colorado?

Colorado uses a water court adjudication system to quantify, set priority dates for, and decree water rights. A water court adjudication is required to make any changes to a water right. The State and Division Engineers Offices administer the priority and physical operation of water rights.

Does Colorado property transfer water rights?

Colorado law provides that water rights can be conveyed together with the land in the land deed without specific mention of the water right being conveyed. This is generally understood to occur under the appurtenance clause of he land deed.

Can you buy water rights in Colorado?

In Colorado, water rights are a freely transferrable real property right that can be bought and sold separately from land. Both the legal and physical availability of a water right determine the value of that right.

Do you have to have water rights to drill a well in Colorado?

By law, every new or replacement well in the state that diverts groundwater must have a well permit. To obtain a permit, a person must file an application with the State Engineer; these applications are evaluated pursuant to statutory guidelines.

What are water rights worth in Colorado?

In the past year, I have done valuations or assisted with transactions that involved water right sale prices ranging from $300 per acre-foot to nearly $90,000 per acre-foot.

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