DISCLOSURE ISSUES

Under Arizona law a seller is required to disclose any material and adverse fact relating to the condition of the property that a reasonable buyer would want to know, e.g., Commercial traffic, neighborhood odor problems, etc.

No.  Under common law disclosure principles a seller of real property must disclose to a buyer any material, adverse fact affecting the value of the real property.  Unlike some states, in Arizona a formal SPDS is not required by statute.  Note: the seller’s SPDS, however, is valuable for disclosure of more than just the material, adverse facts, e.g., the identities of utility providers and any transferable termite warranty.

Answer: No.  Under A.R.S. §32-2156 a landlord is not required to disclose that leased property is “located in the vicinity of a sex offender.”  Therefore, a property manager has no liability for failing to disclose this registered sex offender to future tenants in the apartment complex.

Yes.  The seller has a duty to disclose known facts that materially affect the value of the home that are not readily observable and that are not known to the buyer. In addition, if a buyer asks a seller a specific question about the home, the seller has a duty to disclose all information, i.e., answer honestly, regardless of whether or not the seller considers the information material.

No. The recovering alcoholics in the halfway house are "disabled," and therefore are members of a protected class under the fair housing laws.  See A.R.S. § 41-1491(5). Therefore, the seller and the real estate brokers are prohibited from disclosing the existence of this halfway house, similar to the prohibition against disclosing individuals in the neighborhood of a certain race, religion, sex, or any other protected class.