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ARIZONA HOUSE OF REPRESENTATIVES57th Legislature, 2nd Regular Session |
Senate: GOV DPA 6-0-1-0 | Third Read 18-0-2-0-0 |
SB 1246: HOAs; expense liens; special assessment
Sponsor: Senator Rogers, LD 7
Committee on Government
Overview
Increases the time period a unit owner can be delinquent in any assessment to 18 months and the amount of delinquent assessments a unit owner can have to $10,000 before the condominium unit owners' association's common expense lien can be foreclosed.
History
Currently, the unit owners' association (association) of a condominium has a common expense lien on a unit for any assessment levied against that unit from the time the assessment is due. The lien may be foreclosed in the same way as a real estate mortgage but only if the unit owner has been and remains delinquent in the payment of assessments for one year or in the amount of $1,200, whichever occurs first as determined on the date that an action is filed. The association's Board of Directors must exercise reasonable efforts to communicate with the unit owner and offer a reasonable payment plan before filing foreclosure action (A.R.S. § 33-1256).
For a planned community, an association's common expense lien can be foreclosed in the same way if the owner has been and remains delinquent for 18 months or for $10,000 or more, whichever occurs first, as determined on the date that the action is filed (A.R.S. § 33-1807).
Provisions
1. Allows a condominium association's common expense lien to be foreclosed only if the unit owner is delinquent in any assessment or portion of an assessment for 18 months or in the amount of $10,000 or more, whichever occurs first. (Sec. 1)
2. Specifies that only the 18 month delinquency threshold applies for any special assessment with an initial value of $10,000 or more for associations of a planned community or condominium. (Sec. 1, 2)
3. Makes technical and conforming changes. (Sec. 1, 2)
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7. Initials ML/MN SB 1246
8. 3/18/2026 Page 0 Government
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