The Seller Must Provide An Affidavit Of Disclosure When The Property Is Not Subdivided In An Unincorporated Area
Reviewed January 2020
FACTS:
The seller owns a 36-acre parcel of land located in an un-incorporated area of Maricopa County, Arizona.
ISSUE:
Is the seller required to provide an Affidavit of Disclosure?
ANSWER:
Yes. A.R.S. § 33-422(A) provides that a seller of five or fewer parcels of land, other than subdivided land, in an unincorporated area of a county must furnish a written affidavit of disclosure to the buyer, at least seven days before the transfer of the property, and the buyer shall acknowledge receipt. Simply put, a seller is required to provide an affidavit of disclosure in accordance with § 33-422 if: (i) the seller is selling five or fewer parcels, (ii) the parcels are not subdivided land, and (iii) the parcels are located in an unincorporated area of the county.
In this instance, the seller is selling a single a 36-acre parcel located in an unincorporated area of Maricopa County, Arizona. That being said, the only issue left to resolve is whether the parcel is subdivided. Pursuant to A.R.S. § 32-2101(56)(a) subdivided land means “improved or unimproved land or lands divided or proposed to be divided for the purpose of sale or lease, whether immediate or future, into six or more lots, parcels or fractional interests.” In this case, the seller owns one 36-acre parcel that has not been divided into six or more lots or parcels. As such, the parcel is considered un-subdivided and therefore an Affidavit of Disclosure is required.
NOTE: Effective August 27, 2019, the Affidavit of Disclosure includes disclosure of additional items (water adjudication and solar panels) pursuant to HB 2443 and HB 2485.