Arizona Residential Purchase Agreement

An Arizona residential purchase agreement is a legally binding document that outlines the terms and conditions for the sale of residential property between a buyer and a seller. The contract details the purchase price, financing arrangements, closing date, and property condition. Both parties must negotiate and agree on these terms before the contract is signed.

Once signed, the agreement ensures the buyer will provide earnest money to demonstrate their commitment to the purchase. Additionally, the document includes mandatory disclosures and stipulations regarding inspections, contingencies, and warranties.

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State Laws

• Buyer Inquiry: Sellers must only disclose material information about the property. However, if a buyer asks about a specific aspect, the seller is obligated to provide all relevant information regarding that inquiry.
• Comprehensive Loss Underwriting Exchange (CLUE): Sellers must provide buyers with a five-year insurance claims history for the property detailing all claims, involved insurance companies, policies, and amounts paid. This report can be completed online via the LexisNexis portal. Sellers must comply with state and federal personal data laws.
• Swimming Pool: If a property has a swimming pool, the seller must disclose pool ownership responsibilities and provide educational material per Arizona Department of Health Services standards in the purchase agreement. [1]
• Soil Remediation: Sellers must notify buyers in writing if the property’s soil doesn’t meet residential remediation standards. This must be provided before transferring ownership and can be mentioned in the Property Disclosure Statement. [2][3]
• Unincorporated Areas: Sellers in unincorporated areas (not under a local municipal corporation, such as a city, county, or town) must provide a written affidavit of disclosure at least seven days before the property transfer. This form informs the buyer about property details such as access, water supply, or zoning. [4]
• Military Airport: Sellers must provide written disclosure of a property’s proximity to a military airport or facility. [5]

Required Seller Disclosures

Lead-Based Paint Disclosure

Under 42 U.S. Code § 4852d, sellers of properties built before 1978 must inform buyers about the potential presence of lead-based paint.

Property Disclosure Statement

Sellers are required to disclose any known issues or defects affecting the property's condition and value (Hill v. Jones, 725 P.2d 1115 (Ariz. Ct. App. 1986)). Sellers can also use the form provided by the Association of Realtors.

Condominium/Planned Community

For properties under 50 units, the owner provides protocols and contacts. For 50 or more units, the homeowners association provides the information within 10 days of a pending sale notification (§ 33-1260 and § 33-1806).

Do Sellers in Arizona Have to Disclose Property Defects?

Yes, Arizona requires real estate sellers to disclose material defects. Unlike some states that operate under “caveat emptor” (buyer beware), sellers in the state must inform buyers of any known issues with the property. This protects the buyer, who might otherwise have no legal recourse if they discover defects after the purchase.

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1. § 36-1681(E). https://www.azleg.gov/ars/36/01681.htm
2. § 33-434.01. https://www.azleg.gov/ars/33/00434-01.htm
3. § 49-701.02. https://www.azleg.gov/ars/49/00701-02.htm
4. § 33-422. https://www.azleg.gov/ars/33/00422.htm
5. § 28-8484. https://www.azleg.gov/ars/28/08484.htm

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