An Overview of Arizona Fair Housing Law

Fair Housing Overview

In Arizona, as throughout the United States and its territories, real estate transactions and the activities and relationships which lead to such transactions are governed by a multitude of federal, state and local laws, rules, regulations and ordinances. For example, the Arizona Department of Real Estate (ADRE) licenses real estate agents. The ADRE may revoke or suspend the licenses of real estate agents who violate, among other things, the federal Fair Housing Act or Arizona’s state Fair Housing Act.
The Fair Housing Act was enacted in 1968 and amended in 1988. Under this federal law, seven protected classes are created: Familial Status, Race, Color, Disability, National Origin, Religion, and Sex. Arizona also has a Fair Housing Act, A.R.S. § 41-1441. The protected classes under Arizona law also include Age .
The objective of the laws is to ensure that people can find shelter regardless of certain characteristics such as race, color, national origin, age, gender or familial status (whether or not a person has children). These laws were designed as response to past practices which essentially prevented some groups of people from housing opportunities. To illustrate, for many years after World War II, real estate sales and rentals to African Americans were effectively prohibited in Phoenix and Tucson. Further, even after these prohibitions went away, there were still subtle and, at times, not so subtle restrictions on sales to minorities in certain neighborhoods.
The Fair Housing Act and the reliance upon it by Congress, state legislatures and municipalities can be viewed as an answer to an unethical, unjust and unfair business practice (as well as societal standards) which existed prior to its enactment in the 1960s and ’70s.

Key Protections Under the Arizona Fair Housing Act

Arizona’s Fair Housing Act (AFHA) sets out very similar protections as those of federally protected classes. That means that like the Fair Housing Act (FHA), Housing and Urban Development (HUD), specific discriminatory practices and procedures are prohibited under AFHA. That also means that under AFHA, those with disabilities, being familial status (which covers those with children under 18), and certain types of owner-occupied housing must also be covered for the most part. AFHA also prohibits specific practices that would discriminate by race, color, religion, sex, handicap and familial status or national origin. In addition to those listed, the Arizona Attorney General’s Office further prohibits discrimination on the following bases: Groups with limited English proficiency aren’t specifically protected under AFHA, but HUD has made it clear that they are included under national origin. Discriminatory practices that are prohibited under Arizona’s Fair Housing Act include: The above practices are also prohibited under Title VI of the Civil Rights Act of 1964 and Title VIII of the Civil Rights Act of 1968. The Fair Housing Amendments Act of 1988 and the Desert Waters Housing Resource Center v. City of Tucson case expanded housing discrimination law, requiring reasonable accommodations for persons with disabilities and providing the disabled with equal housing opportunities. Coverage and protections under AFHA and the FHA do not necessarily align identically. One way they diverge is that Arizona enforces its Fair Housing Act through the Arizona Attorney General’s Office. Therefore, unlike the FHA and HUD, AFHA doesn’t require a federal investigation and grievance procedure be exhausted before a complaint is filed for a discrimination claim.

Enforcement and Compliance Mechanisms

Fair housing laws in Arizona are enforced by the Arizona Department of Housing ("Department") and the Department of Housing and Urban Development ("HUD"). Under the Fair Housing Act, both HUD and designated state agencies in Arizona have the authority to receive allegations of housing discrimination after which a preliminary investigation is conducted. The Department will conduct a prompt investigation of every complaint and if you find yourself as a company or individual that is the subject of a housing discrimination complaint, you are entitled to a copy of the complaint filed against you. The Department notifies the parties when a complaint is received within ten days of filing and if a response to the complaint is necessary, the party must submit their answer to the Department within 14 days.
Once a response to the complaint is received, the Department has 100 days to investigate the case or determine whether an action will be subsequently brought against the party alleged to have committed housing discrimination. In the informal investigation process, the Department will request documentation from both parties and allow each party to submit any additional evidence or documents they wish the Department to consider with respect to the investigation.
Upon conclusion of the investigation, the Department will make its determination to resolve the complaint through conciliation between the parties. If an agreement cannot be reached then the Department will issue a determination or "finding" with recommendations on how to proceed. An "educative conciliation" will give the parties the opportunity to resolve a complaint before it becomes a formal hearing. If the Department cannot make a finding that reasonable grounds exist to support the belief that unlawful discrimination has occurred, then it will issue a "no reasonable grounds finding" or "administrative closure" of the investigation. This finding means the Department either could not locate the respondent, could not contact the complainant or respondents, or information provided by the complainant or respondent indicates that the investigation should be closed.
In contrast, a "reasonable cause" finding means that the Department has determined that a violation of fair housing laws has occurred. The Department will then issue a "charging document" in the form of a "charge of discrimination" or "administrative complaint" which requires allegations of discrimination to be proven at a public hearing conducted by the Office of Administrative Hearings. Alternatively, HUD will investigate the complaint and may choose to file a charge of discrimination if a conciliation of the complaint is not possible.
If the complaint is amorphous, HUD will also seek assistance from a state or local agency that enforces laws that are substantially equivalent to the federal Fair Housing Act. The Department may also refer a complaint to a substantially equivalent fair housing law enforcement agency if: (1) the respondent is located outside of Arizona or the housing involved is not located in Arizona; (2) the complaint arises under the Arizona discrimination laws and the complainant and respondent do not consent to the referral; or (3) the respondent is not in substantial noncompliance with an effort to eliminate discriminatory housing practices.

Obligations of Residential Landlords and Tenants

In Arizona, both landlords and tenants have distinct obligations under federal, state, and local fair housing laws. These responsibilities are important to understand as failure to comply can lead to legal trouble for a landlord.
Obligations for Landlords
Our job as landlords is to effectively manage property in accordance with the law. To do so, it is vital that we stay current with the various state and federal laws that affect tenant rights, and that we make every effort to avoid blatant discrimination and/or the appearance of favoritism. In fact, the penalty for blatant discrimination should be enough to discourage even the most cavalier would-be landlord. A fair housing violation can cost up to $100,000.00, depending on the severity of the offense.
Here are some specific obligations for landlords:
• List all properties through fair housing compliant internet sites
• Provide equal consideration in the form/application fee and rental agreement to all applicants
• Use standard (not personalized or customized) application forms
• License, bond, and register apartments and condo communities with the state
• Issue the same notice and follow the same protocol when preparing to enter property
• Consistently use the same process when showing the rental property
• Provide handicapped parking when none is available in the area of the unit
• Provide written notice to renters regarding lead-based paint upon moving in
• Give reasonable accommodation to any language barriers through the use of a translator, etc.
• Do not encourage some tenants over others to ask for reasonable accommodations
• Set aside spaces for service animals
• Be careful about making exceptions to no-pet rules
Obligations for Tenants
Likewise, tenants, too, have obligations to fulfill. If they’re not met, landlords are not obligated to keep them on as tenants. Here are some of the obligations for tenants:
• Allow the landlord or their agent egress and ingress through common areas of apartment and any other areas for access to apartments
• Pay rent in accordance with the lease agreement
• Minimally maintain order and sanitary conditions in and about the apartment
• Keep patios and balconies free of debris or spills
• Remove trash from patios and balconies
• Allow landlord to enter to repair water heater, washer, dryer and any other appliances that belong to them
Specifically, tenants are prohibited under 24.210.105(B) from the following:
• Causing unreasonable interference with the comfort, convenience, safety, or welfare of other tenants or occupants, neighbors, and the community
• Damaging, destroying, or removing any common property or facilities
• Destroying or damaging any property belonging to neighbors or other occupants of the community
• Creating a nuisance
• Blocking stairs and exits, blocking stairways and hallways, and using hallways, aisles, corridors, and courts for storage or other purposes
• Creating, maintaining, or allowing noxious, offensive, or unsafe condition in or about the apartment or grounds of the community
• Hazardous activities such as creating a public or private nuisance
• Failing to rectify any conditions in the apartment for which damages were incorrectly claimed against the landlord.
A landlord is also entitled to reasonable legal and collection costs to recover any amounts owed by tenants.

Arizona Fair Housing Training Materials

Fair housing training programs and resources are available for landlords, real estate professionals, and tenants alike. The City of Phoenix, for example, provides both segregated and combined education programs in Regarding Fair Housing in English and Spanish. There is also the Arizona Multihousing Association, which provides training regarding your duties under the Fair Housing Act and state law.
HUD is also a leader in efforts to bring together local, state and community stakeholders to examine fair housing issues locally, build capacity and expertise in fair housing, and develop and implement strategies to address barriers to equal housing opportunity . This includes the production of fair housing materials, through which they have produced free bilingual regulatory text, graphic materials, videos, and promotional items that include information on all aspects of the Fair Housing Act for HUD regional centers and offices.
Education and outreach campaigns are provided to promote knowledge of and compliance with the Fair Housing Act through mailings, pamphlets, brochures, exhibits, videos, and other printed material. HUD also develops training programs for fair housing outreach and enforcement personnel at the state and local level.

Typical Fair Housing Violations

The most common fair housing violations that I see in Arizona involve limits on the number of occupants allowed in a rental property or in a property association. Occupancy limits are commonly based on the size of the property and typically increase over time with the addition of each bedroom. For example, the occupancy limit for a one bedroom condo may be two; the limit for a two bedroom unit may rise to three individuals, and so forth. While some owners, managers, and associations may impose these limits for good reasons including increased insurance costs or the potential for occupant crowding, exclusions based on familial status and related to the inclusion of children have been found to constitute discrimination.
The consequence for individuals violating fair housing laws is often a simple reprimand by the HOA board or an individual home owner. For individuals renting property however, the consequence can be eviction. For business entities, the consequences of this kind of violation are more severe. For example, an onerous occupancy policy could result in lost business for a management company as lessors seek employment of competitors who are more sensitive to perceived discriminatory practices.
Similarly, restricting access to facilities such as pools, exercise rooms, clubhouses, and other common areas based on race, color, religion, sex, handicap, familial status, or national origin, also violate fair housing laws. For owners, managers, or board members, the consequence is usually an investigation into their conduct by HUD and/or local fair housing enforcement agencies. In many cases, the owner, manager, or board member will be required to attend sensitivity training provided by a local fair housing agency. But in some more egregious cases, offenders face increased fines and even personal liability in a civil lawsuit.

Recent Developments in Arizona Law

While the Fair Housing Act is primarily a creation of federal law, Arizona law implements its principles and contains specific provisions. For example, such provisions prohibit housing discrimination based on color, race, religion, sex/gender, national origin and disability. In addition to federal Fair Housing laws, Arizona Statutes impose additional requirements on housing providers in Arizona. This article highlight several of the more commonly overlooked or misunderstood provisions. These include including prohibitions on discrimination based on; marital status and sexual orientation and prohibitions on limits on rental availability or unequal terms or conditions based on familial status. Recent legislative changes impacting Arizona’s fair housing laws include:
Lawmakers agreed to boost the value that can be collected for "compensatory" damages (losses incurred by the plaintiffs) when someone violates a state law that forbids discrimination against people based on their race, color, religion, sex, disability, national origin, familial status or marital status.
Under the new law, which went into effect on August 9, the maximum amount for compensatory damages is $350,000 – up from $200,000 – and the bill also provides for $250,000 in punitive damages if the act was willful. There is no cap for attorney fees.
The law only applies to situations when the discrimination is done by housing providers or lenders against members of protected classes under the state law.
The increase had not been done since the law was passed in 1990, and lawmakers thought it was time to increase the cap.
It was seen as a way to hold owners accountable in cases where they unlawfully deny housing based on those factors.
With the increase, the law puts Arizona in line with federal law, which allows for even greater recoveries.

Where to Get Help

If you have determined, either on your own or with the help of a housing counselor, that you have been the victim of housing discrimination – or perceived discrimination – or have questions about your housing rights in Arizona, there are several resources available to provide assistance. First, the Arizona Fair Housing Center (AFHC) is a private, non-profit civil rights organization dedicated to eliminating housing discrimination throughout the state of Arizona. With offices in Tucson and Phoenix, AFHC serves as a clearinghouse of information on fair housing laws and provides assistance in filing discrimination complaints with the appropriate administrative agencies, including the Arizona Attorney General’s Office and the Department of Housing and Urban Development (HUD). AFHC also has programs to test for housing discrimination, mediate disputes, educate the community on fair housing issues and conduct investigations. AFHC may be contacted at 520.798.1567 in Tucson or 602.548.5762 in Phoenix. Additional fair housing resources and information from HUD and the Arizona Attorney General’s Office are also available online at:
If you are not able to resolve your discrimination complaint by using AFHC, or similar organizations, you should contact a qualified attorney . You can find an attorney through private referral services, such as the State Bar of Arizona or your local bar association, as well as by conducting an internet search. Attorneys with experience in fair housing matters are familiar with the Arizona Fair Housing Act and its federal counterparts and will be able to make specific recommendations based on your individual circumstances. The key thing is to act immediately to protect your rights and find a lawyer who is familiar with the law. Fair housing cases in Arizona must be commenced within one year of the date of the alleged discriminatory act or practice. A delay beyond this time frame may result in your administrative complaint being dismissed as untimely. If you decide to pursue your fair housing complaint with an attorney, you may want to consider the following:
When meeting with an attorney, obtain all information in writing, preferably in the form of a retainer agreement. The retainer agreement should contain details about the lawyer’s fees and costs for carrying out specific activities such as filing administrative complaints, conducting settlement negotiations or pursuing litigation.