Arizona is an excellent real estate market to invest in, as it is one of the fastest-growing western states in the U.S. However, it differs from many of its neighboring states in the laws and regulations surrounding renter and landlord rights. If you want to make your rental successful, use this guide to better understand the different regulations surrounding renting in Arizona.
General Precepts for Renting in Arizona
Both landlords and tenants are granted certain rights when renting in Arizona, such as the right to collect rent on time and the right to a safe and habitable unit, respectively. Some of these rights are expressly outlined in Arizona law. For example, landlords must respond to maintenance requests within ten days, or else the tenant may make repairs and deduct them from the rental cost. However, these deductions are limited to $300 or half of the monthly rent.
While tenants are limited to how much they can deduct for repairs, landlords are also limited to how much they can charge for late fees. They cannot exceed $5 per day after a five-day grace period. If the landlord does not receive rent, they must start the formal eviction process rather than charge more in late fees. Landlords must also give a two-day notice before entering any property regardless of the reason—except in emergencies or criminal cases in which the police are involved.
Rent Increase Laws
Arizona does not have a rent control policy, but landlords are limited to when they can raise the rent and how much notice they need to provide. Arizona landlords are not allowed to raise the rent during a lease term, but they can raise it as much as they would like once the lease is up for renewal. Landlords must also provide 30 days' notice for any raise in rent.
Can Cities Control Rent in Arizona?
Arizona state laws preempt city or county rights to rent control policies. Therefore, no area in Arizona has controlled rent, which is one of the top reasons landlords choose Arizona for their next property investments. While there is no limit to rental increases in Arizona, landlords want to stay at the competitive edge, which is why they use the RentSpree Rent Estimator tool when it's time to change their pricing strategy.
Average Rent in Arizona
Arizona falls in the mid-range for rental prices in the U.S., as the 22nd highest in the country for average rental rates. The fair market rate in Arizona averages at $970 per month, with ranges currently between $754 and $1,315 for a 2-bedroom unit, depending on the city.
In Flagstaff, Arizona's most populous city, studio apartments are priced around $1,026 per month, while four-bedroom apartments and homes go for approximately $2,058 per month.
Improve Your Pricing Strategy With RentSpree
RentSpree makes pricing your Arizona rental unit easy. Our Rent Estimator tool, along with tenant screening, listing, and agent tools, ensure you get the best tenants in your area and can price your rental for a competitive rate. Contact us today to learn more about how RentSpree can improve your property management princess in one all-inclusive platform.