Six New Arizona Real Estate Laws Take Effect

NEWS RELEASE Contact: July 27, 2010 Ron LaMee (602) 248-7787

PHOENIX – The Arizona Association of REALTORS® said six new state laws that take effect Thursday will resolve issues often faced by both homeowners and the real estate community. One new law will have an impact on the placement of “for sale” signs at properties covered by homeowner and condo associations. The associations will no longer be allowed to ban temporary open house signs, except in common areas. Another new law requires swimming pools and spas to be included in the list of items checked during a home inspection.

The Arizona Association of REALTORS® supported these changes during the recent legislative session. “We listened to our members about the problems they were facing in representing buyers and sellers in real estate transactions,” said Tom Farley, CEO of the Arizona Association of REALTORS®. “We are pleased lawmakers listened to us to resolve issues hurting both homeowners and REALTORS. These new laws will make a big difference for everyone involved.”

Here is a summary of the six bills that take effect July 29: HB2345: HOA; Condos; For Sale Signs – Homeowner and condo associations are prohibited from banning the display of temporary open house signs, except in common areas. The associations also are prohibited from regulating a property owner’s “for sale” sign that conforms
to the industry standards and are owned or used by the seller or the seller’s agent, nor can they require a particular sign. Further, they may not regulate open house hours except for restricting the hours to after 8 a.m. or before 6 p.m. Nor can they prohibit display of “for lease” signs unless the association does not allow leasing of units.

HB2371: Home Inspections – Swimming pools and spas are included in the list of items that a certified home inspector is to examine during a home inspection.

HB2450: Water and Wastewater Fees and Charges – Prohibits a municipality from refusing service or requiring payment for unpaid water and wastewater services from anyone other than the person contracted with the municipality.

HB2766: Tenant Notice; Foreclosures – If the landlord of a residential property of not more than four connected units that is under foreclosure leases a unit, the landlord must provide each tenant with written notice of possible foreclosure. The form of the notice is prescribed and includes, if known, the date, time and place of the foreclosure sale. If a landlord fails to comply with the notice requirement, the tenant may deliver a notice of breach of agreement and recover damages and obtain injunctive relief.

HB2768: Real Property Transfer Fee Covenants – Prohibits private transfer fees paid to developers or third-party companies on the sale of real property. This legislation targets a specific and new type of transfer fee, not those paid by homeowner associations. Government- imposed transfer fees are already prohibited by the 2008 constitutional amendment drafted by AAR and passed by the voters.

SB1219: Real Estate Licensee - Conforms the time a real estate license is valid to the time period for completing education requirements (two years). The law allows a licensee to cancel his/her license, defines business broker, and requires a valid fingerprint clearance card before applying for a license.

### The Arizona Association of REALTORS is the largest professional trade association in the state. The association is comprised of individuals involved in the real estate industry, allied industries and firms. The association’s nearly 45,000 members represent more than half of the real estate licenses in Arizona. For more information about the Arizona Association of REALTORS, including home buying and selling points, visitwww.aaronline. com