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Bill

SB 1187

rental application fees; limits

57th Legislature - First Regular Session Introduced by Anna Abeytia and 7 co-sponsors

Arizona bill caps rental application fees charged to prospective tenants to reduce housing access barriers and upfront costs.

Senate Second Reading
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WeVote Research Nonpartisan
Bill Summary · SB 1187

Legislative bill overview

SB 1187 limits the fees that landlords and property managers can charge prospective tenants when applying for rental housing in Arizona. The bill establishes a cap on application fees and likely includes provisions regarding fee refunds, transparency, or use restrictions. This measure targets what sponsors view as excessive upfront costs that create barriers to housing access.

Why is this important

Rental application fees directly affect housing affordability and access, particularly for lower-income renters who may apply to multiple properties. High or uncapped fees can accumulate into significant costs before a tenant even secures housing, potentially preventing qualified applicants from pursuing available units. The policy addresses a market practice that lacks state-level regulation in Arizona, making it relevant to both tenant advocates and the rental housing industry.

Potential points of contention

  • Landlord cost recovery concerns: Property owners argue application fees compensate for legitimate background checks, credit reports, and administrative screening costs; caps may force landlords to absorb these expenses or reduce tenant screening thoroughness
  • Market impact on availability: The rental industry may contend that fee restrictions could reduce housing supply, increase rents elsewhere, or incentivize stricter tenant selection criteria unrelated to fees
  • Definition and enforcement challenges: Disagreement may arise over what constitutes an "application fee" versus deposits or other charges, and how to enforce compliance across diverse property management entities

Compiled from official sources — confirm details with the bill’s official record.

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