Bill > SB1494

This bill modifies Arizona's laws regarding common expense liens in homeowners associations by making several key changes. The bill increases the threshold for foreclosure from one year of delinquency to eighteen months, and raises the minimum dollar amount for foreclosure from $1,200 to $10,000. Before initiating a foreclosure, the association must make reasonable efforts to communicate with the property owner and offer a payment plan. The bill clarifies that member expenses cannot be enforced as liens until a court judgment is obtained and recorded, and such judgments can only be collected upon property transfer. The legislation also specifies that associations must provide a written notice to delinquent members at least 30 days before turning the account over to collections, which must include specific language warning about potential foreclosure. Additionally, the bill mandates that associations provide regular account statements to members, with some exceptions for smaller planned communities, and allows associations to collect payments through various methods, including electronic means, with potential convenience fees. The changes aim to provide more transparency and procedural fairness in how homeowners associations handle unpaid assessments and potential property liens.

Business and Industry, Government Affairs

https://apps.azleg.gov/BillStatus/BillOverview/82918