Several new laws regulating how homeowners associations can wield their power in Arizona are now in effect.
As of this week, HOAs are required to enforce their rules fairly and without favoritism. Homeowners also have several new protections, including higher thresholds for certain foreclosures and the right to be informed of potential fees before moving into a neighborhood.
MORE: How to make your apartment feel like home? 2 Phoenix creatives share their tips
The laws are part of a recent influx of legislation regulating HOAs in Arizona, which have faced scrutiny from homeowners over fees and increasingly restrictive rules. HOAs remain common in the Grand Canyon State, with more than 2.26 million Arizonans living in communities with HOAs, according to 2025 data from the Community Associations Institute.
The bulk of the laws went into effect on Sept. 12 after being passed earlier this year and signed by Gov. Katie Hobbs.
Here’s what homeowners should know about the new regulations:
Increased thresholds for HOAs to foreclose on homes
HOAs have the power to adopt community regulations and enforce those rules, as well as impose fees if a resident violates them. They also are allowed to charge assessments, which are recurring charges for community upkeep. Some fines can cost residents hundreds of dollars per month or more.
HOAs can no longer foreclose on a home over less than $10,000 in missed assessment payments from a resident under Senate Bill 1246. Previously, a home could be foreclosed on over $1,200 in missed payments. Homeowners now have 18 months to pay off those overdue bills, as opposed to the previous grace period of one year.
HOAs still have other avenues to recoup that money, including by adding late fees and garnishing wages.
Umbrellas, certain flags protected from HOA regulations
Homeowners must now be allowed to install shade structures on their property, such as umbrellas, gazebos and canopies. Under House Bill 2342, HOAs are only allowed to place restrictions on the size and location of a structure in a way that doesn’t unreasonably increase costs or interfere with functionality. Regulations on shade structures are also not allowed to be stricter than an area’s existing zoning ordinances.
Senate Bill 1808 and Senate Bill 1184 both expand the list of flags protected from HOA restrictions. The first applies to flags representing “a nation that is allied with the United States as a major non-NATO ally and that was established on May 14, 1948,” which applies only to Israel. The second protects service flags for the Army, Navy, Marine Corps, Air Force, Space Force and Coast Guard.
Several flags were already protected in state law, including federal and state flags, flags from tribal nations and flags honoring first responders.
HOAs may not enforce rules in an ‘arbitrary’ manner
House Bill 4011 declares HOAs have a responsibility to act “reasonably in the exercise of its discretionary powers.” As defined in law, that means they must implement rules “neutrally, fairly, without favoritism and in a nonarbitrary fashion.”
HOAs are also now required to disclose more information about properties to prospective buyers than before. House Bill 2397 was sponsored by Rep. Leo Biasiucci, who said some residents were not given complete information about upcoming costs before joining a neighborhood.
“Maybe an assessment is not actually in place yet,” Biasiucci said. “Maybe it hasn’t been voted on yet but the HOA knows about it. Right now they don’t have to disclose that to a potential buyer. I think that’s wrong.”
Among other changes, the new law requires prospective buyers to be informed about title transfer fees, unresolved violations the HOA has levied against the property and the minutes of previous board meetings.
Reporting by Helen Rummel, Arizona Republic
