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Arizona HOA Laws

Can Your HOA Prohibit Short Term Rentals in Arizona?

As the popularity of short term rentals continues to grow, it is important for associations and planned communities to stay up to date on Arizona short term rental laws and how they apply to HOAs.  We put together this article as an update to our previous post on some of the most common questions we have received related to HOAs and short term rental laws in Arizona.

What tenant information can you request from a property landlord that you may suspect is renting their property?

A rental property in an Arizona HOA must comply with the requirements contained in the covenants, conditions and restrictions (CC&Rs). If rentals are permitted, tenants may only rent for the minimum period specified in the CC&R’s rental time period restrictions. An HOA can require the following information regarding the tenants: their names, contact information for any adults living in the unit, the time period of the lease (including the beginning and end dates), and the license plate numbers of the residents’ vehicles. In a 55+ community, the HOA can also require a government-issued identification with an image showing that tenant meets the age restriction requirements.

You discovered a property is being rented out. What information can you request about the tenant?

As a homeowners association in Arizona, you must follow specific rules and guidelines that protect the owner’s property values and shared community areas. HOAs are prohibited from requesting the following information from a landlord about its tenant:

  • Requiring a copy of the tenant rental application
  • Credit report
  • Lease agreement
  • Rental contract
  • Or any other personal information about any of the tenants residing on the property.

If your HOA does not have a template for tenant information requests, the board of directors should put together a simple breakdown of what details can and cannot be requested from the property owner regarding tenants. The Brown Law Group can assist with developing a standard template for the tenant information requests.

Can HOAs amend existing CC&Rs to restrict short term rentals in Arizona?

Arizona has taken a welcoming approach to short term rentals as a state that protects property rights and encourages tourism. The state, cities, and towns are forbidden from banning short-term rentals. Thus, short-term rentals are legal in any neighborhood within the state.

Any time period restriction must be in the CC&Rs. If your CC&Rs do not include a time period restriction and simply allow rentals, your HOA cannot prohibit short term rentals. To amend the CC&Rs to prohibit or restrict short term rentals, it is important to ensure that the amendment is carefully and thoughtfully drafted. It is important to have an attorney review the CC&Rs and draft the proposed language for the amendment to ensure that the amendment complies with Arizona law and will hold up to scrutiny if challenged.

Find an Experienced Arizona HOA Law Firm

If your HOA or planned community is dealing with issues related to short term rentals, it is important to work with an experienced Arizona HOA law firm. The Brown Law Group provides industry-leading general counsel for planned communities and condominiums of all types throughout Arizona. Our firm can assist with any issues related to short-term rentals in your association and help make sure that all policies and governing documents are following current state laws. Contact us today in our Phoenix office at 602-952-6925 or our Tucson office at 520-299-3377 to schedule an initial consultation. You can also make an appointment on our contact us page.

The Brown Law Group provided this article for informational purposes only, and it does not create an attorney-client relationship.