Rent to Own Homes for Sale in Arizona | ZeroDown (2024)

FAQs

What is the rent to own law in Arizona? ›

An Arizona rent-to-own agreement is a combined residential lease and purchase addendum that gives the tenant the right to buy the residence during the option term. Under the contract, the tenant commits to a fixed rental term with the potential for a portion of the rent to go towards the purchase price.

Good Credit & No Criminal History. Good Rental History. Verifiable employment through pay stubs and / or tax returns. Minimum income requirements are as follows: Monthly income must be 3 times the monthly rent amount.

Arizona exemplifies the stress over housing. Over the past decade, the allure of suburban life under cloudless skies has swelled the population of greater Phoenix to five million from 4.2 million, according to census data. The influx pushed housing prices steadily higher.

Phoenix, AZ housing market

In March 2024, the median listing home price in Phoenix, AZ was $524.9K, trending up 8.2% year-over-year. The median listing home price per square foot was $305. The median home sold price was $463.3K.

Looking for a Rent-to-Own Home in Arizona? While there are exceptions to every rule, there are some basic characteristics of the types of homes that qualify for rent to own. Typically, these homes fall within a price range of +- 30% of the median home value.

No, there aren't any rent control laws in Arizona at the moment. Arizona laws prevent local governments to impose rent control laws, which gives landlords much more freedom when managing their week-to-week or month-to-month tenancy agreements.

No credit history or a credit score of NA will require a copy of the applicant's social security card and security deposits in the amount of one and a half times the monthly rent.

FHA loans are insured by the Federal Housing Administration and offer looser requirements than conventional loans. An FHA loan allows borrowers with a credit score of 580 or higher to make a down payment as small as 3.5%. Borrowers with a credit rating of 500 to 579 must make a down payment of 10%.

Obtain Necessary Licenses and Permits

In order to be a landlord in Arizona, there are certain licenses and permits that you need to obtain. This includes a business license and a residential rental license from the City of Phoenix.

Is it worth buying a house in Arizona right now? ›

The current real estate market conditions in Arizona are becoming favorable for home buyers. Here's how: Lower Mortgage Rates: The interest rates for home loans have decreased to 7.01%, marking a decline from approximately 8% in the preceding year of 2023.

Show Low is expected to experience a 0.2% increase in housing prices by February 29, 2024, followed by a 1.4% rise by April 30, 2024, and a notable 7.1% surge by January 31, 2025.

Mortgage Interest Rates: Predicted to stabilize in the second half of 2024. Home Buyers: Likely to increase as mortgage rates stabilize. Home Prices: Set to continue rising due to the low supply-high demand dynamic. New Home Construction Sales: Expected to increase by 3.5% in 2024.

Is Phoenix, AZ a buyer's or seller's market? Since last year, Phoenix has remained a Seller's Market.

Zoom in: Zillow senior economist Nicole Bachaud predicts that home prices may decrease marginally during the first half of the year as consumers come to terms with interest rates that are unlikely to drop to the historic lows we saw during the pandemic.

Self Rental Rule. Abstract: The IRS regulation on self rental provides that when a taxpayer rents property to his or her own business, the rental profit is not treated as passive activity income.

A tenant cannot withhold rent unless it is authorized by the act. A.R.S. § 33-1368(B).

Arizona stands out as a landlord-friendly state due to its advantageous legal framework for property owners. In Arizona, landlords benefit from a swift eviction process. If a tenant fails to pay rent, landlords can issue a five-day notice before proceeding with eviction.

Arizona is a landlord-friendly state, which is good news when you want to invest in properties without worrying about rent control and other strict provisions found in other states. There are laws that must be followed, however.