Although many issues are associated with real estate law in Arizona, the following may be of particular importance:
A person’s interest in real property can be either: possessory or future, i.e. they may have a right to enjoy and use the land currently or in the future. This right is called an “estate”.
In Arizona, title to real property can exist in various forms, including but not limited to: (1) joint tenancy, (2) tenancy in common, or (3) community property with right of survivorship.
A person’s or company’s right to occupy land that they do not own is called a leasehold. In general, the term of a leasehold estate can vary significantly and can be either: (1) a term of years, (2) a periodic tenancy, (3) a tenancy at will, or (4) a tenancy at sufferance. In Arizona, leaseholds for residential property are governed by Arizona’s Residential Landlord Tenant Act.
The use of real property can be limited through various legal controls, including but not limited to: (1) zoning law, (2) nuisance law, (3) easement law, or (4) eminent domain.
Limited Liability Entitles
The limited liability entity, or lack thereof, through which title to real property is held can significantly reduce the liability exposure of the real property’s owners. While there are various types of limited liability entities that are used to own real property in Arizona, the following are often used to do so: (1) limited liability company or “LLC”, (2) revocable trust, (3) irrevocable trust, or (4) corporation.
In Arizona, a transfer of real property generally occurs via any one of various types of deeds, including but not limited to a: (1) warranty deed, (2) special warranty deed, or (3) beneficiary deed.
This brief overview of some important considerations associated with Arizona's Transaction Privilege Tax is by no means comprehensive. Always seek the advice of a competent professional when making important financial and legal decisions.
Douglas K Cook is an Arizona real estate lawyer with over 40 years of experience as a practicing attorney. Although Douglas K Cook's office is located in Mesa, Arizona, he represents clients throughout the Phoenix, Arizona Metropolitan area including the following east valley cities: Scottsdale, Paradise Valley, Tempe, Chandler, & Gilbert.