The Arizona residential lease agreement (“rental agreement”) outlines the terms and conditions of the residential use of real estate in exchange for rent payments. This contract may also require an additional fee (“security deposit”) due on or before the move-in date.
Arizona Lease Agreement Disclosures
The below disclosures are required for some or all residential lease agreements in Arizona.
| Disclosure | Applicable to |
|---|---|
| Landlord’s Name/Address | All Units |
| Move-In Checklist | All Units |
| Residential Landlord/Tenant Act | All Units |
| Shared Utilities Arrangements | All Units With Shared Utility Meters |
| Bed Bugs | Non-Single Family Residence |
| Rent Adjustment | All Units That Will Adjust Rent |
| Non-Refundable Fees | All Units that Charge Non-Refundable Fees |
| Pool Enclosure | All Units With a Pool |
| Lead-Based Paint | All Units Built Prior to 1978 |
Landlord’s Name & Address
Applicable to all rental units in Arizona.
Landlords, owners, or authorized individuals who may act on the landlord’s behalf shall provide their name and address to the tenant in writing. This information should be provided in writing at or before the commencement of the tenancy.
This information is disclosed in the rental agreement so future legal notices and demands that are sent by the tenant can be properly delivered to the landlord. If there is any change of ownership or address changes, the tenant should be notified immediately.
Move-In Checklist
Applicable to all rental units in Arizona.
Arizona landlords are required to provide a move-in checklist (alongside a signed copy of the lease) upon taking possession of the property. The checklist should be completed within five days of move-in and can be used to identify existing damages to help itemize deductions from the security deposit during the move out inspection.
Download: Arizona Move-In Checklist Disclosure Form (PDF)
Residential/Landlord Tenant Act
Applicable to all rental units in Arizona.
In Arizona, the landlord must inform the tenant (in the lease or separately) that The Arizona Residential Landlord and Tenant Act can be found on the Arizona Department of Health website. The tenant should be notified of the Act at or before the commencement of the tenancy.
Shared Utilities Arrangements
Applicable to any rental units with shared utility meter in Arizona.
In Arizona, when multiple units share a master meter for the whole building or property, the landlord may charge separately for utilities through the installation of a submetering system or ratio billing system. For ratio billing, the breakdown must include the specific method used to allocate and calculate costs to the tenant.
Ratio billing can use strategies like charging by:
- Number of tenants.
- Unit square footage.
- Number of outlets or water fixtures.
- Even split between tenants.
- Any other method outlined in the lease.
For sub metered systems, this breakdown must include:
- Beginning and ending meter reading for the term.
- The dates of beginning and ending readings.
- Breakdown of charges for each utility.
- Administrative fee charged (if applicable).
The following is an example of a shared utility agreement section:
UTILITIES: This rental unit shares the following utilities with another unit or common area:
[ ] Electricity
[ ] Water
[ ] Gas
[ ] Sewage
[ ] Other: ______________________________This lease uses the following method for calculating utility charges between Tenant(s):
[ ] Home Square Footage
[ ] Number of Tenants
[ ] Even Split Between Tenants
[ ] Other:___________________________Tenant agrees to pay the monthly utility charge to Landlord, plus a $__ service charge as part of each month’s rental payment.
Download: Arizona Shared Utility Arrangement Disclosure Form (PDF)
Bed Bug Disclosure
Applies to any non-single family residence in Arizona.
This disclosure is used to protect against the contraction and spread of an infestation, landlords may not rent out a unit with an active infestation in Arizona.
Additionally, landlords in Arizona must provide educational materials (usually an addendum) and include a bed bug section in their lease agreements. A bed bug addendum provides educational information about the following:
- A description of measures that should be taken to prevent and control bedbugs.
- Information on bed bugs, including their appearance.
- The risk factors for attracting bed bugs (such as the risk of purchasing used or leased furniture and clothing).
- Preventing infestations and the proper protocol if one arises so that the landlord can minimize the potential damage.
- Information provided by state, local agencies and the Centers for Disease Control and Prevention.
- The information provided by federal, state, local or non-profit housing agencies.
- Information provided by the landlord.
It also helps to limit liability for the landlord by establishing an understanding of the current status of the property and protects in the case of an infestation occurring later in the lease term.
A tenant may not move any items that are infested with bedbugs into the rental unit and if the tenant has knowledge of bed bugs, they must provide the landlord with a written or electronic notice.
The below is an example of a bed bug disclosure section and addendum:
BED BUGS. At the time of presenting this agreement, Landlord certifies:
[ ] There is no known current infestation or history of bed bugs in this property.
[ ] No known current infestation, but there is a history of infestation in this property.
[ ] There is no known current infestation, but there is a nearby infestation or history of infestations which may place the property at risk.
Download: Arizona Bed Bug Disclosure Form (PDF)
Rent Adjustments
Applicable to any unit where the landlord wishes to adjust rent in Arizona.
If taxes charged on residential rent are increased by local municipalities, an Arizona landlord may increase the rent by the same figure for an existing lease if there is a rent adjustment disclosure. This increase in rent may not begin until the new tax comes into effect and 30 days of notice must be provided before it is enforced.
Below is a sample disclosure requirement for a rent adjustment in Arizona:
RENT INCREASES. The Rent due is subject to an increase directly proportionate to the increase in any municipal taxes levied upon Landlord for the collection of residential rent charges. Written notice will be provided thirty (30) days before enforcement of rent increases.
Non-Refundable Fees
Applicable to any unit where the landlord imposes nonrefundable fees in Arizona.
If nonrefundable fees are charged in the lease for pets or other one-time expenses like access to amenities, they must be stated to be nonrefundable in the lease. Otherwise, they are subject to a refund upon termination of the lease.
Pool Enclosure Disclosure
Applicable to any rental units with pool access in Arizona
Properties with an aboveground or belowground pool or any other body of water intended for swimming that is 18 inches or more in depth and at least eight feet wide shall be protected by an enclosure surrounding the swimming area. According to Arizona law any tenant entering a lease agreement with access to a pool shall be provided with an educational safety notice approved by the Department of the Health Services about the use and maintenance of the pool.
Download: Arizona Pool Enclosure Disclosure Form (PDF)
Lead-Based Paint Disclosure
Applicable to any rental units built prior to 1978.
It is a federal law in the United States that any home built prior to 1978 must disclose the risks posed by lead-based paints. This law requires landlords in Arizona to:
- Fill out and attach this lead-based paint disclosure form to the lease agreement.
- Provide the tenant with an Environmental Protection Agency (EPA)-approved pamphlet about the dangers of lead-based paint.
- Provide additional records or reports about the presence or hazards of any known lead-based paint in the unit. For multi-unit buildings with common areas, this includes information from building-wide evaluations.
Download: Arizona Lead-Based Paint Disclosure Form (PDF)
Optional Disclosures & Addendums (Recommended)
The following lease agreement disclosures and addendums are not required by Arizona law in residential lease agreements, but either help reduce future conflicts with tenants or reduce legal liability for landlords.
| Optional Disclosure | How the Disclosure is Helpful |
|---|---|
| Asbestos | This disclosure informs tenants if there is asbestos at the property. If there is asbestos a tenant can take certain precautions to minimize the chance of disturbing the asbestos fibers. |
| Late/Returned Check Fees | Landlords should disclose if they will charge a late fee or a returned check fee in the lease agreement. In Arizona the late fees must be reasonable and there is a $25 limit on bounced checks. |
| Medical Marijuana Use | Inform tenants if medical marijuana use on the property is permittable. Some state laws allow landlords to restrict marijuana usage to non-smoking methods only or inform tenants of designated smoking areas to not interfere with other tenants’ enjoyment of the premises. |
| Mold Disclosure | Informing the tenant of the current mold status of a property protects the landlord against future liability of mold damages. |
| Smoking | Inform tenants of designated smoking areas to not interfere with other tenants’ enjoyment of the premises. |
Consequences of Not Including Mandatory Disclosures
Disclosures outline the important health, safety, and property information and vary by state. If a landlord does not provide the tenant with the federally or state-mandated disclosures, they could face legal repercussions or monetary penalties.
In Arizona, tenants can sue for non-compliance by the landlord. This can include infestations (e.g., bed bugs, pests or vermin) and the tenant could potentially recover damages and obtain injunctive relief. (ARS 33-1361)
If a landlord fails to provide the pool enclosure disclosure or violates the disclosure, they could be found guilty of a petty offense. (ARS 36-1681).
If a landlord fails to disclose the lead-based paint hazard disclosure, they can face fines of up to $18,364 per violation. (24 CFR § 30.65)
It’s best to check with your local laws on which disclosures are required to provide to your tenant.
Sources
- 1 AZ Rev Stat § 33-1322(A) (2019)
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…A. The landlord or any person authorized to enter into a rental agreement on his behalf shall disclose to the tenant in writing at or before the commencement of the tenancy the name and address of each of the following:
1. The person authorized to manage the premises.
2. An owner of the premises or a person authorized to act for and on behalf of the owner for the purpose of service of process and for the purpose of receiving and receipting for notices and demands…
- 2 AZ Rev Stat § 33-1321(C) (2019)
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…C. On move in, a landlord shall furnish the tenant with a signed copy of the lease, a move-in form for specifying any existing damages to the dwelling unit and written notification to the tenant that the tenant may be present at the move-out inspection. On request by the tenant, the landlord shall notify the tenant when the landlord’s move-out inspection will occur…
- 3 AZ Rev Stat § 33-1321(D) (2019)
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…D. On termination of the tenancy, property or money held by the landlord as prepaid rent and security may be applied to the payment of all rent, and subject to a landlord’s duty to mitigate, all charges as specified in the signed lease agreement… Within fourteen [business] days… after termination of the tenancy and delivery of possession and demand by the tenant the landlord shall provide the tenant an itemized list of all deductions together with the amount due and payable to the tenant, if any…
- 4 AZ Rev Stat § 33-1322(B) (2019)
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…B. At or before the commencement of the tenancy, the landlord shall inform the tenant in writing that the Arizona residential landlord and tenant act is available on the Arizona department of housing’s website…
- 5 AZ Rev Stat § 33-1314.01(A) (2019
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…A. A landlord may charge separately for gas, water, wastewater, solid waste removal or electricity by installing a submetering system or by allocating the charges separately through a ratio utility billing system…
- 6 AZ Rev Stat § 33-1314.01(G) (2019
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…E. If a landlord uses an allocation or submetering system, the bill format for each billing period shall:
1. Separately state the cost of the charges for the period together with the opening and the closing meter readings and the dates of the meter readings.
2. Show the amount of any administrative fee charged.
F. If a landlord does not use a submetering system and allocates charges separately for gas, water, wastewater, solid waste removal or electricity, the landlord may allocate the costs to each tenant by using one or more of the following ratio utility billing system methods…
- 7 AZ Rev Stat § 33-1319(A) (2019)
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…A. A landlord has the following obligations with respect to a bedbug infestation:
1. The landlord shall provide bedbug educational materials to existing and new tenants. Educational materials may include:
(a) A description of measures that may be taken to prevent and control bedbugs.
(b) Information about bedbugs, including a description of their appearance.
(c) A description of behaviors that are risk factors for attracting bedbugs such as purchasing renovated mattresses, using discarded mattresses and furniture, using used or leased furniture, purchasing pre-owned clothing and traveling without proper precautions.
(d) Information provided by the United States centers for disease control and prevention and other federal, state or local health agencies.
(e) Information provided by federal, state or local housing agencies.
(f) Information provided by nonprofit housing organizations.
(g) Information developed by the landlord…
- 8 AZ Rev Stat § 33-1314(E) (2019)
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…E. If a municipality that levies a transaction privilege tax on residential rent changes the percentage of that tax, the landlord on thirty days’ written notice to the tenant may adjust the amount of rent due to equal the difference caused by the new percentage amount of the tax. The adjustment to rent shall not occur before the date upon which the new tax is effective. In order for a landlord to adjust rent pursuant to this subsection, the landlord’s right to adjust rent pursuant to this subsection shall be disclosed in the rental agreement…
- 9 AZ Rev Stat § 33-1321(b) (2019)
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…B. The purpose of all nonrefundable fees or deposits shall be stated in writing by the landlord. Any fee or deposit not designated as nonrefundable is refundable…
- 10 AZ Rev Stat § 36-1681 (2019)
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…E. A person on entering into an agreement to build a swimming pool or contained body of water or sell, rent or lease a dwelling with a swimming pool or contained body of water shall give the buyer, lessee or renter a notice explaining safety education and responsibilities of pool ownership as approved by the department of health services…
