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A residential lease agreement in Arizona is a contract that permits a landlord to rent property to a tenant in exchange for a monthly payment. As part of the rental application process, a landlord has the authority to conduct a background and credit check on each prospective tenant. This is standard procedure, particularly for higher-end properties, and the lessee is often informed within a week of approval.

What to Include

In general, an Arizona residential lease agreement includes all the rules that govern the lease throughout its duration. It also includes consequences should a tenant fail to adhere to the terms of the contract. A few of the most commonly included factors are:

Rent

Arizona law doesn't have a specific grace period regarding late payment for residential properties, although it does provide for a five-day grace period for manufactured homes. The lessee is responsible for paying the rent on the date agreed upon by both parties and noted in the lease.

There's no law specifying the amount of late fees for residential properties (manufactured residences have a $5 per day cap). Prior to the start of the lease, the late fees should be specified in the agreement.

Security Deposit

The landlord has 14 days after the lease has expired and the tenant has vacated the property to return the security deposit via first class mail (33-1321(D)). Property owners must offer an itemized list that details any deductions made from the money left over. If the tenant objects to any of the charges, they have 60 days from the date of receipt of the list to contest the whole assessment.

In Arizona, a landlord can only demand 1.5 months’ rent as a security deposit (33-1321(A)). This statute, however, doesn't restrict the lessee from voluntarily providing prepaid rent that is greater than the amount.

The Landlord's Access to Entry

Before entering the property, the landlord must give the tenant at least two days’ advance notice (33-1343(D)).

Free Rental Template

Do the terms of an Arizona residential lease agreement like this sound slightly complicated? Not to worry: you can download a free form to help you with the process. Here are free lease agreement templates:

Build Your Own

You're free to create your own rental agreement online. However, don't forget that certain residential lease contracts need to include specific rules due to tenant laws. This process may be necessary if the 'standard' contract doesn't include the required terms.

The online tool above includes a straightforward multiple-choice quiz that helps to identify your needs for the lease. This tool generates a fully customized Arizona rental agreement, which you can use at any time.

Mandatory Disclosure

There are certain items that property owners include in leases to inform tenants of general rules - such as the necessity of a background check, for example. However, contracts have mandatory disclosure requirements, as well. Required disclosures in Arizona, as per federal law, include:

  • Landlord's Name and Address: Anyone acting on behalf of the landlord needs to disclose their name to the tenant. This is so that demands and future legal notices from the lessee can be delivered to the landlord properly. Tenants need to be notified of any changes in ownership or address.
  • Arizona Residential Landlord or Tenant Act: Property owners need to make all resources regarding the rental process available to tenants under Arizona law. Consequently, when or before the lease commences, the lessor needs to inform the lessee that the Arizona Residential Landlord and Tenant Act is available on the Arizona Department of Housing's website (oral or written notice).
  • Move-in Checklist: When taking possession of a property in Arizona, landlords must provide a move-in checklist (along with a signed copy of the lease). This checklist (or move-in form) is used during the move-out inspection to identify damages and calculate deductions from the security deposit. This checklist doesn't have to be included in the contract; however, it should be completed within five days of moving in to guarantee that the status is accurate. Any existing damage or specific goods that must be returned in the same condition as they were at move-in must be listed on the checklist.
  • Shared Utilities Arrangements: When numerous apartments share a master meter for the entire property or building in Arizona, the landlord can charge individually for utility services by installing a submetering or ratio utility billing system.
  • Rent Adjustment: If local municipalities raise the transaction privilege tax on residential rent, an Arizona landlord may increase the monthly rent payments by the same amount for a current contract if it includes a rent adjustment disclosure. This rent increase may not commence until the new tax rate takes effect, and 30 days' notice is required before it comes into effect.
  • Bed Bugs: In Arizona, landlords are prohibited from renting out a unit with an active infestation to prevent the spread of the infestation. Arizona landlords must also provide educational materials (typically in the form of an addendum) to tenants, which includes a bed bugs component in their rental agreements.
  • Pool Enclosure: An enclosure around a swimming pool, or any other body of water designed for swimming with an 18-inch or greater depth and a minimum width of at least eight feet, must be enclosed. As per tenant laws, each person who signs a lease agreement that includes access to a pool must be given an instructional safety notice about the pool's use and upkeep that has been approved by the Department of Health Services.
  • Refundable or Non-refundable Fees: If the lease includes non-refundable fees for pets or other one-time charges, the agreement must declare that they're non-refundable. Otherwise, they're eligible for a refund at the end of the lease term.
  • Lead-based Paint: In the US, it's a federal regulation that any residential property built before 1978 must declare the risks associated with lead-based paint.

You can find the Arizona Residential Landlord and Tenant Act on the Arizona Department of Health's website.

eSignature

DoorLoop makes it easier than ever to create and sign leases. With it, it's easy to save reusable lease templates, autofilling your new tenant's details into the appropriate fields whenever needed.

Once the lease agreement is created, it just takes one click to request eSignatures from your new tenants. From there, you're good to go!

How about finding those great tenants in the first place? DoorLoop syncs with websites like Zillow, Trulia, Hotpads, Apartments.com, and others so that you can market your listings and bring in prospects on autopilot.

You can also make sure you're bringing in the most reliable tenants by screening your prospects in seconds through an integration with TransUnion.

To see if DoorLoop is right for you, learn more or schedule a free demo.

Using DoorLoop

DoorLoop can be an extremely useful resource when it comes to managing the complicated process of renting your Arizona residential unit. 

When it comes to customizing everything from an original lease agreement to eviction notices , you can automatically fill in all the required forms promptly and lawfully using DoorLoop. You can also use the software to run background and credit checks on prospective tenants in seconds. 

This property management software lets you automatically fill in your lease agreement templates with the tenant's information, the lease term, and details of the lease, such as payment date, risk factors, administrative fees, etc. Furthermore, you can send this template to your potential tenant in one click and get it signed electronically.

DoorLoop understands that preparing for a new tenant can be stressful, which is why we simplify the process as much as possible for you.

FAQs

Are lease contracts binding in Arizona?

In Arizona, a lease contract is legally binding. If the lease needs to be written (for a period of one year or more), both the landlord and tenant have to sign it for it to be regarded as legal and binding.

How long can lease agreements be in Arizona?

A standard Arizona lease agreement can last up to one year. Leases can be for more than a year; however, they have to be in writing (not oral).

Can leases automatically renew in Arizona?

Yes, you can automatically renew leases in Arizona. The lease automatically renews at the end of the initial leasing period if neither the landlord nor the tenant gives notice of their desire to cancel the lease.

Do you need to notarize leases in Arizona?

No, lease agreements don't have to be notarized in Arizona. A lease can be notarized if the tenant and landlord want it to be. It is not, however, required by law for the rental agreement to be legally binding.

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David Bitton

David is the co-founder & CMO of DoorLoop, a best-selling author, legal CLE speaker, and real estate investor. When he's not hanging with his three children, he's writing articles here!