ARTICLES & NEWS

REAL ESTATE CONTRACTS ARTICLES

Anthem, AZ

Conversion of Three Rental Homes to Short-Term Rentals

By Christopher Combs | February 9, 2020

Question: We went to a short-term rental seminar last fall at Scottsdale Community College. There were excellent speakers such as Paradise Valley broker Greg Hague, Scottsdale Realtors CEO Rebecca Grossman, Scottsdale Councilwoman Kathy Littlefield, and the Paradise Valley police chief. The reason that we went to this seminar is that we have owned three rental homes in Anthem for more than 20 years, and we were wanting to convert these three rental homes to short-term rentals. Although this seminar was excellent, this seminar primarily discussed the effect of short-term rentals on a community. We are still confused, however, as to…

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golf course

Golf Course Must be Operated by New Owner of Golf Course

By Christopher Combs | January 26, 2020

Question: My husband and I are looking to buy a new home in the Southeast Valley. We looked at a Chandler development, and the CC&Rs said that an 18-hole championship golf course would be built on land not far from our new home. My husband loves to play golf but I have no interest in golf. I would rather buy a new home in a Gilbert community with access to the shops and restaurants in downtown Gilbert. Will the Chandler developer have to build the golf course because of the representations in the CC&Rs? If so, how long does the…

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burglary

Seller and Brokers Must Disclose Burglaries in Neighborhood Homes

By Christopher Combs | January 19, 2020

Question: After we purchased our Sun City home we learned from neighbors that our home had been burglarized at least three times in the preceding eight months, plus there had been several burglaries at other homes in our neighborhood. We are elderly people, and had we known of these burglaries we would not have purchased our home. The money we paid for our home went to the seller, the seller’s listing broker, and the broker that represented us. Shouldn’t someone have told us about these burglaries? If so, how do we calculate our damages? Answer: First, sellers and brokers in…

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short-term rental sites

Short-Term Rental Can Significantly Boost Income

By Christopher Combs | January 12, 2020

Question: We own a rental home in Scottsdale that is not in an HOA community. We have had a good tenant for the last two years who pays us $2,000 a month rent. We have been reading so much recently about short-term rentals in Scottsdale. If we refuse to renew the lease with our good tenant, and we convert this rental home to a short-term rental home, what are the advantages and disadvantages? What if the law is changed by Scottsdale to require minimum 6-month leases? Will we have lost our good tenant for nothing? Answer: The Arizona state legislature…

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Constitutional Amendment Needed to Allow Regulation by Cities and Towns of Short-Term Rentals

By Christopher Combs | January 5, 2020

Question: In a recent column you said that if twelve Sedona homeowners wanted to prohibit Airbnb and VRBO short-term rentals in their small community of twelve homes, the twelve Sedona homeowners could form their own HOA to prohibit short-term rentals. In other words, if a group of homeowners already lives in an HOA community, or forms an HOA, the HOA can prohibit short-term rentals. If you don’t live in an HOA community, however, all of your neighbors can sell their homes to investors, and turn their homes into short-term rentals for up to 365 days a year. Why doesn’t our…

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partition lawsuit

Partition of Home if Co-Owners Cannot Agree to Sell Home

By Christopher Combs | December 22, 2019

Question: Two years ago my boyfriend and I bought a home together in Chandler. Both of our names are on the deed and the mortgage as tenants in common. We are no longer happy living together, and I plan to move into an apartment. My boyfriend wants to continue to live in the home and doesn’t want to sell the home. He says that under the law I am required to continue to pay one-half of the mortgage. Can I require my boyfriend to sell the home now and split the sale proceeds? Answer: Yes. If you and your boyfriend…

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affidavit of disclosure

Disclosure Requirement for Parcels of Land

By Christopher Combs | December 8, 2019

Question: We recently signed a contract to sell our three-acre parcel of land in Coconino County near Flagstaff. The title company says that we will be required to furnish the buyer with an Affidavit of Disclosure relating to the condition of this three-acre parcel. What is this Affidavit of Disclosure? Answer: Under A.R.S. §33-422 a seller of five or less parcels of land in an unincorporated area of a county is required to furnish an Affidavit of Disclosure to the buyer. Similar to a Seller’s Property Disclosure Statement in home sales, in the Affidavit of Disclosure a seller is required…

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lease-option

Pros and Cons of Lease-Option if Home Doesn’t Sell

By Christopher Combs | November 24, 2019

Question: We own a condominium in south Scottsdale which we have been trying to sell. Our listing broker has said that we should consider a “lease-option,” e.g., we rent to a tenant who has the option to buy our condominium at the end of the lease. What are the advantages and disadvantages of a lease-option? Answer: The advantage of a lease-option is that, if you are having trouble selling your condominium, a lease-option can “stop the bleeding.” In other words, you will receive rental income from the tenant that can be applied to the mortgage and other expenses of your…

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