Leasing or managing real estate for others for compensation is regulated brokerage. Property management firms must be licensed and supervised by a designated broker.
AZ · Researched October 7, 2026
Arizona rules for property managers
Arizona's Residential Landlord and Tenant Act (A.R.S. Title 33, Chapter 10) caps deposits at one and a half months' rent and requires an itemized refund within 14 business days. Nonpayment notices are 5 days and eviction trials are set 3 to 6 days after filing. Cities cannot impose rent control, and since January 1, 2025 they cannot tax residential rent.
Licensing to manage rentals in Arizona
Checked against the official sourceOwners managing their own property without special compensation; on-site managers and leasing agents employed by the owner or a licensed management firm at one location who get no special compensation; clerical and bookkeeping staff of a broker; attorneys; court-ordered receivers and trustees.
All property management accounts must be designated trust accounts on the broker's records, and owner money must go in a broker trust account unless the owner directs deposit to the owner's own account. Undisputed money must be deposited within three banking days.
Money
A tenant may choose to prepay more rent. State the purpose of every nonrefundable fee or deposit in writing. Any fee not labeled nonrefundable must be refunded.
Mail an itemized list of deductions and any refund to the last known address unless the tenant arranged otherwise in writing. Wrongful withholding can cost twice the amount withheld. If the tenant does not dispute within 60 days, the accounting becomes final.
The deposit statute does not require interest. At move-in, give the tenant a signed lease copy, a move-in condition form, and written notice that they may attend the move-out inspection. Licensed property management firms must hold owner and tenant money in trust accounts.
The statute lets a tenant reinstate by paying past due rent plus a reasonable late fee set in a written rental agreement. Courts can also award late charges stated in the lease.
State in writing whether a fee is nonrefundable and what it is for. Fees not labeled nonrefundable are refundable.
Rent cannot change during a fixed term unless the lease allows it. For month-to-month tenants, give at least 30 days' written notice before the rental date, matching the termination notice period.
The ban covers charter cities too. It does not apply to housing owned, financed, insured, or subsidized by a state agency or city.
Notices and eviction
Before filing, the tenant can reinstate by paying all past due rent and a reasonable late fee from the written lease. After filing, the tenant must also pay attorney fees and court costs. After judgment, reinstatement is up to the landlord.
Material falsification on the application (occupants, pets, income, criminal or eviction history) cannot be cured. A second similar breach during the lease allows filing 10 days after a written notice. Material and irreparable breaches, such as illegal weapon discharge or serious violence, allow immediate termination.
Either side may end a periodic tenancy this way. A willful holdover can cost up to two months' rent or twice actual damages, whichever is greater.
The summons must be served at least 2 days before trial. Trials can be postponed only up to 3 days in justice court or 5 days in superior court. For material and irreparable breaches, trial is set within 3 days and the writ can issue 12 to 24 hours after judgment.
A unit is abandoned after 7 days' absence with rent 10 days unpaid, or 5 days' absence with rent 5 days unpaid and no belongings left. Post the abandonment notice on the door and send it by certified mail, then wait 5 days. Inventory and store the property. Tenants may collect clothing, work tools, and identity or financial documents without paying storage. The same rules apply after a writ is executed.
Access and condition
A tenant's maintenance request counts as permission to enter for that work, with no separate notice needed. Abuse of access is not allowed.
Tenants may end the lease if a material breach is not fixed within 10 days of notice (5 days for health and safety). For minor defects costing up to $300 or half a month's rent, whichever is greater, a tenant may use a licensed contractor and deduct the cost if the landlord does not act within 10 days.
Also give bedbug educational materials, a move-in condition form, written notice of the right to attend the move-out inspection, and the purpose of any nonrefundable fees. Federal lead paint disclosure applies to pre-1978 housing.
Fair housing
The Arizona Fair Housing Act covers race, color, religion, sex, familial status, national origin, and disability. Several cities add local protections, so check the city code where the property sits.
Recent and upcoming changes
Cities and towns can no longer levy transaction privilege tax on residential rentals after December 31, 2024, and landlords must stop charging tenants that tax. Hotels and other transient lodging are not covered.
Managing rentals in Arizona?
Walk through how these rules fit your renewal, collections and maintenance process with Julian. 20 minutes.
With Julian Calvo, who works with property management companies at LeadSimple.
Arizona directory
Sources
- Arizona Revised Statutes Title 33 Chapter 10 (azleg.gov)
- A.R.S. § 12-1178
- A.R.S. §§ 32-2121, 32-2174
- A.R.S. § 33-1902
- Arizona Department of Revenue: residential rental tax changes
- Arizona Department of Real Estate
- SB 1131 (2023), Laws 2023, ch. 204, chaptered text
Compare with other states: security deposit limit, deposit return deadline, deposit interest and holding rules, late fees, application and screening fees, rent increase notice, rent control, notice for unpaid rent, notice for lease violations, ending a month-to-month, eviction timeline, abandoned property, landlord entry, repairs and habitability, required disclosures, state fair housing protections.