Rent Deposits and Fees

The following deposits and fees are customary when renting a place to live in Arizona:

Security Deposit: This is a refundable deposit that is returned to you after move-out, less any charges for damages. Average apartment / condo rent deposit is $200, average house rent deposit is from $500 to one month’s rent. Security deposits may also be based on credit and rental history, but are not to exceed 1.5 month’s rent.

Personal Experience: I’ve only had one returned once to me, even after leaving an apartment in excellent condition. Every tiny scratch, and even normal wear, is deducted at an outrageous itemized cost. Don’t plan on getting it all back, and if you do, count yourself lucky. One way to protect yourself is to request a damage sheet when you sign the lease, and then go over the place with a fine tooth comb and note every scratch on the counter, worn spot, mark, etc. This will give you some ammo when move-out time arrives. They are supposed to offer you this sheet when you pick up your keys, but they don’t always do so.

Administration/Redecoration Fee: This is a non-refundable fee (also called a cleaning or preparation fee) that is applied to the cost of cleaning and redecorating the rental. Average fee runs about $200.00 dollars for both apartments and homes.

Application Fee: This is a non-refundable fee that is charged when you apply for a lease. Average fee is $25.00 to $50.00 per person and covers the cost of processing your application, including a credit check, and often a criminal background check. Applications can take anywhere from 15 minutes to 72 hours to process for approval.

Arizona House Rent Tax: In Arizona, tax is charged on all non-refundable fees (administration, application, pet sanitization fees) as well as on unit and pet rent. The rates vary from city to city, but the average rate is about 1.5%.

Pets: Most Arizona apartment communities will accept a pet of less than 20 pounds full grown, with a deposit and monthly pet rent. The total deposit averages $300.00 per pet, and pet rent averages $20.00 per month, per pet. Generally, about half of the pet deposit is refundable after move-out, based on the condition of the apartment.

The non-refundable portion is applied to cleaning after a pet has lived in the house or apartment rental. Some AZ apartments will accept pets up to 100 pounds, but this will require a larger deposit. Most apartments and houses in AZ that accept larger dogs have breed specific restrictions in place. This includes some mixed breeds.

Personal Experience: Again, don’t plan on getting your deposit back. My dog never leaves a stain or mark, but it doesn’t really matter. Most apartments put a 50 lb limit on dogs. I always guestimate my dog at 50 lbs and no one has ever said a word It’s amazing how many very large dogs only weigh 50 lbs! Regarding cats: my experience has been that no one claims to have a cat prior to move-in, and nothing is ever said when one appears. I think every apartment in my community has an unclaimed cat.

AZ Home & Apartment Lease Terms: The standard lease terms range from six to eighteen months in length. Shorter leases are available, but there will be a premium rent charge (around $200 per month) applied. Short term leases vary based on availability and the season.

Most AZ apartment communities only offer move-ins specials on long-term (twelve months or longer) leases. Home buyers and lease break clauses may be available, but can be quite expensive. Most Arizona houses will require a twelve month lease, but the leasor may consider 6 months with a higher rate.

Personal Experience: Breaking a lease will cost you big time! Besides losing all deposits automatically, plan on paying an amount equivalent to 2 months rent.

The Rental Process: When you find your new Arizona home, you will need to leave a deposit to hold the rental until your move-in. This “holding deposit” is usually refundable for a short time and is applied to your total move-in cost. In most cases all occupants over the age of 18 will need to complete an application. Some will accept one application per married couple with the same last name.

The application process will now begin and can take anywhere from 15 minutes to 3 days. It is standard to review/evaluate applications based upon 4 areas:

• credit history – typically 75% positive
• rental history – typically 6 months of positive rental or mortgage history
• gross monthly income – 2.5 to 3.5 times the monthly rent
• criminal background – most properties will not lease to you if you have a felony

A co-signer or guarantor may be accepted for lack of any of the above criteria, but usually not for poor rental history. A prior eviction or rental judgment will result in the denial of your application.

A credit report is always run, so if you’re uncertain about your credit rating, you may want to check it and correct any issues first. You can get a credit report from Lifelock and get identity theft protection at the same time:

Most of the communities in the Metro Phoenix area participate in the Crime Free Multi-Housing Program (CFMHP). As such, you will be required to grant permission during the application process for a criminal background check; any felonies, violent, property or drug related convictions would result in immediate denial of the application. When you move in you will be required to sign a “Crime-Free” lease addendum stating that you and your guests will not participate in criminal activity. Violations of this addendum result in immediate evictions.

Personal Experience: They do run these checks, and will not rent to felons.

What to bring when you are ready to look:

• You’ll need a government issued photo ID to tour communities. A driver’s license, state identification card or passports are acceptable. Some properties require that all adults in the touring party have ID while others only require one.
• Copies of your current pay stubs or other proof of employment. This will be required during the application process.
• A checkbook or the availability to purchase money orders will be needed to hold the apartment of your choice. Many properties will accept a personal check for the application fee and holding deposit. The holding deposit secures a specific unit, and locks in rental rates and any move in specials. The holding deposit is usually refundable for 24 to 72 hours.

Welcome!

We want to welcome you to your Arizona home. All the cities and towns within the metro Phoenix area are wonderful places to live and play!

Check out some of the Arizona activities you’ll want to see and do. Remember, you’re only an hour away from the mountains, less than that from lakes, and don’t forget to go tubing down the Salt River!