Tenants will benefit from significant improvements to Arizona’s rental laws for 2025. You may safeguard your rights and prepare for any changes in your housing costs by being aware of these regulations.
No Statewide Cap or Rent Control
- No Statewide Rent Control: Neither rent control legislation nor statewide rent rise limitations apply in Arizona.
- Local Governments: Rent control laws cannot be adopted by counties or cities on their own. In Arizona, all rental properties are subject to the same statewide regulations.
Notification Requirements for Increases in Rent
- Month-to-Month Leases: Before raising rent, landlords are required to give at least 30 days’ written notice.
- Week-to-Week Leases: Written notice of at least 10 days is necessary.
- Fixed-Term Leases (e.g., 1 year): Unless the contract expressly permits it, rent cannot be raised throughout the lease term. Otherwise, any increase must be properly announced and implemented once the lease expires.
Tenant Legal Protections
- No Retaliation or Discrimination: Landlords are not allowed to increase rent in response to tenants exercising their legal rights, such as reporting code violations or demanding repairs, or for discriminatory reasons (such as gender, race, or religion).
- Contesting Illegal Increases: If tenants feel that a rent increase is discriminatory, retaliatory, or in violation of the terms of the lease, they have the right to contest it in court.
Updated in 2025: Rental Tax Prohibition
- Rental Tax Repealed: The Transaction Privilege Tax, sometimes known as the municipal rental tax, was eliminated in Arizona on January 1, 2025, for residential leases lasting 30 days or longer. This tax should no longer show up on your rent payment; it used to average about 2.5% of your monthly rent.
- Registration is still necessary. In addition to adhering to all landlord-tenant regulations, property owners are still required to register rental units with the county assessor.
Read Also: Louisiana Rent Hike Laws for 2025: What Tenants Need to Know
Reasonably Priced Housing and Exclusions
- Most Rentals Have No Cap: For the majority of private rentals, rent increases are uncapped.
- Subsidized Housing: Rent caps and notice requirements may differ for properties included in state or federal affordable housing programs (such as Section 8).
Important Lessons for Tenants
- With the exception of fixed-term leases, landlords are free to increase rent by any amount after giving adequate notice.
- Any increase in rent must be announced in writing before it becomes effective.
- Increases in rent cannot be discriminatory or retaliatory.
- As of 2025, home leases of 30 days or longer are exempt from municipal rental tax.
- If you reside in affordable or subsidized housing, look for any unique regulations.
Tenants in Arizona can protect their rights and prepare for the upcoming year by being aware of these laws.