The Arizona Revised Statutes have been updated to include the revised sections from the 57th Legislature, 2nd Regular Session. Please note that the next update of this compilation will not take place until after the conclusion of the 58th Legislature, 1st Regular Session, which convenes in January 2027.
This online version of the Arizona Revised Statutes is primarily maintained for legislative drafting purposes and reflects the version of law that is effective on January 1st of the year following the most recent legislative session. The official version of the Arizona Revised Statutes is published by Thomson Reuters.
33-1806. Sale of properties; information required; fees; civil penalty; applicability; definition
A. For planned communities with fewer than fifty properties, a member shall electronically transmit or deliver to a purchaser or a purchaser's designated agent the information required by this subsection within ten days after acceptance of the purchaser's offer to purchase. For planned communities with fifty or more properties, the member shall provide a written notice to the association of the member's acceptance of the purchaser's offer to purchase that contains the name, email address and mailing address of the purchaser or the purchaser's designated agent. The association shall electronically transmit or deliver to the purchaser or the purchaser's designated agent within ten days after receipt of the written notice of a pending purchase offer all of the following in either paper or electronic format:
1. A copy of the current bylaws and the current rules of the association.
2. A copy of the current declaration and final plat or an electronic copy of the final plat, if available.
3. A copy of the board-approved minutes for the previous three open meetings of the board of directors.
4. A dated statement containing:
(a) The telephone number and address of a principal contact for the association, which may be an association manager, an association management company, an officer of the association or any other person designated by the board of directors.
(b) The amount of and payment schedule for the annual common regular assessment and the remaining installments and payment schedules on any approved and assessed special assessment, if any.
(c) The amount and purpose of any special assessment approved by the board of directors but not yet assessed or any special assessment submitted by the board for member approval within the previous four months, if any.
(d) The current amount of any unpaid common regular assessment lien or judgment lien on the property due to the association pursuant to section 33-1807 and any lis pendens recorded by the association against the property.
(e) The amount and purpose of any title transfer fee or other similar fee, however denominated, that is authorized in the declaration.
(f) A copy of the association's most recent income and expenses financial statement for all operating and reserve accounts, as applicable.
(g) Any outstanding and unresolved violation of the association's community documents that was cited against the property, if any.
5. A copy of the current operating budget of the association.
6. A copy of the most recent annual audit, review or compilation report of the association pursuant to section 33-1810. If the report is more than ten pages, a summary of the report may be provided in place of the entire report.
7. A copy of the most recent reserve study of the association, if any. If the report is more than ten pages, the association may provide a summary of the report in place of the entire report.
8. A statement summarizing any pending lawsuits, except those relating to the collection of assessments owed by members other than the selling member, in which the association is a named party, including the amount of any money claimed.
9. A statement as to whether the planned community is under declarant control and the approximate percentage of lots identified on the recorded plat that are currently owned by the declarant.
10. A statement that, for any report provided in summary format pursuant to this subsection, the purchaser may request to view the entire report from the association directly, and the association shall provide access to that report within ten days after a written request.
11. A statement to be signed by the purchaser at the close of escrow that provides "I hereby acknowledge that with the purchase of this home or property, I will be contractually bound to the valid covenants, conditions and restrictions of the recorded declaration, and will be contractually bound to pay all common expense assessments applied to my home or property as authorized in the declaration and title 33, chapter 9 or 16, Arizona Revised Statutes, as applicable. If I fail to pay common expense assessments, I may be subject to collection activity by the association up to and including foreclosure action, without the equity protection of the homestead act pursuant to title 33, chapter 8, Arizona Revised Statutes."
12. If the property is governed by multiple associations, a statement identifying that the property is subject to each association's disclosure report and corresponding resale disclosure fee authorized under subsection D of this section.
B. All information that is provided under subsection A of this section shall be based on the good faith reliance on association records or information, without the need for independent investigation or validation.
C. A purchaser or seller who is damaged by the member or the association knowingly or recklessly failing to disclose the information required by subsection A of this section or knowingly or recklessly providing materially false or misleading statements in the disclosure may pursue all remedies at law or in equity against the member or the association, whichever failed to comply with subsection A of this section, including the recovery of reasonable attorney fees as awarded by the court.
D. The association may charge the member a fee of not more than an aggregate of $400 to compensate the association for the costs incurred in the preparation and delivery of a report or other documents furnished by the association pursuant to this section for purposes of resale disclosure, lien estoppel and any other services related to the transfer or use of the property. In addition, the association may charge a rush fee of not more than $100 if the rush services are required to be performed within seventy-two hours after the request for rush services. The member may request the association to update the report if thirty days or more have passed since the date of the original disclosure report. The association may charge a document update fee of not more than $50. The association shall make available to any interested party the amount of any fee established from time to time by the association. The association may charge the same fee without regard to whether the association is furnishing the statement or other documents in paper or electronic format.
E. The fees prescribed by this section shall be collected not earlier than at the close of escrow and may only be charged once to a member for that transaction between the parties. An association shall not charge or collect a fee relating to services for resale disclosure, lien estoppel and any other services related to the transfer or use of a property except as specifically authorized in this section. An association that charges or collects a fee in violation of this section is subject to a civil penalty of not more than $1,200.
F. This section applies to a managing agent for an association that is acting on behalf of the association.
G. The following are exempt from this section:
1. A sale in which a public report is issued pursuant to section 32-2183 or 32-2197.02.
2. A sale pursuant to section 32-2181.02.
3. A conveyance by recorded deed that bears an exemption listed in section 11-1134, subsection B, paragraph 3 or 7. On recordation of the deed, the purchaser shall provide the association with the changes in ownership, including the member's name, billing address and phone number. Failure to provide the information shall not prevent the member from qualifying for the exemption pursuant to this section.
H. For the purposes of this section, unless the context otherwise requires, "member":
1. Means the seller of the property title.
2. Does not include:
(a) Any real estate salesperson or real estate broker who is licensed under title 32, chapter 20 and who is acting as a salesperson or broker.
(b) Any escrow agent who is licensed under title 6, chapter 7 and who is acting as an escrow agent.
(c) A trustee of a deed of trust who is selling the property in a trustee's sale pursuant to chapter 6.1 of this title.