Resale of units; information required; fees; civil penalty; definition
Sale of properties; information required; fees; civil penalty; applicability; definition 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:
A dated statement containing:
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:
Bills that change this section
Amendment history
- HB2397 · 2026 (57th, 2nd Reg.) · effective 2026-09-12