The Arizona Legislature passed, and the Governor signed on June 5, 2020 SB1096 amending ARS 32-2175 Property management records; requirements; audits.
Property Managers have always been required to maintain and keep records, but the amendments to ARS 32-2175 expand and clarify some of those requirements.
The statute now requires property managers to keep the lease (including any lease addenda and amendments) and related documents for one year after the termination of the lease. Related documents are defined as including rental applications, move in forms and default notices. If a lease continues a month to month basis the lease is not terminated until the tenant vacates the property.
These records may be kept either in hard form or electronically at the Broker’s main or branch office or at an off-site storage location. If the documents are stored at an Off-Site Storage location (a multi-family leasing office is classified in the statute as an Off-Site Storage location) the Broker must provide the Department prior written notification and a street address of the off-site storage location.
Property Managers continue to be required to hold financial records for three years from the date of the financial transaction.

Text of SB1096

Leave a Reply

Your email address will not be published.