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Senate Engrossed
homestead exemptions; amount |
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State of Arizona Senate Fifty-fifth Legislature Second Regular Session 2022
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SENATE BILL 1582 |
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An Act
amending section 33-1101, Arizona Revised Statutes; relating to homesteads and homestead exemption.
(TEXT OF BILL BEGINS ON NEXT PAGE)
Be it enacted by the Legislature of the State of Arizona:
Section 1. Section 33-1101, Arizona Revised Statutes, is amended to read:
33-1101. Homestead exemptions; persons entitled to hold homesteads; equity
A. Any person who is at least eighteen years of age or over, married or single, and who resides within this state may hold as a homestead exempt from execution and forced sale, not exceeding $250,000 $450,000 in value, any one of the following:
1. The person's interest in real property in one compact body on which exists a dwelling house in which the person resides.
2. The person's interest in one condominium or cooperative in which the person resides.
3. A mobile home in which the person resides.
4. A mobile home in which the person resides plus the land on which that mobile home is located.
B. Only one homestead exemption may be held by a married couple or a single person under this section. The value as specified in this section refers to the equity of a single person or married couple. If a married couple lived together in a dwelling house, a condominium or cooperative, a mobile home or a mobile home plus land on which the mobile home is located and are then divorced, the total exemption that is allowed for that residence to either or both persons shall not exceed $250,000 $450,000 in value.
C. The homestead exemption, not exceeding the value provided for in subsection A of this section, automatically attaches to the person's interest in identifiable cash proceeds from the voluntary or involuntary sale of the property. The homestead exemption in identifiable cash proceeds continues for eighteen months after the date of the sale of the property or until the person establishes a new homestead with the proceeds, whichever period is shorter. The homestead exemption does not attach to the person's interest in identifiable cash proceeds from refinancing the homestead property. Only one homestead exemption at a time may be held by a person under this section.
D. For purposes of determining the amount of equity in a homestead property that is sold or for determining whether the property owner is receiving cash back from refinancing the homestead property, the parties may rely on the valuation of the property in the final closing document disclosure that is used for that transaction.
Sec. 2. Applicability
The increase in the amount of the homestead exemption prescribed by section 33-1101, Arizona Revised Statutes, as amended by this act, applies on the effective date of this act:
1. To any recorded and otherwise valid claim of homestead, whether recorded before or after the effective date of this act, against any creditor who attempts to enforce a judgment or lien on or after the effective date of this act.
2. To any homestead exemption that is claimed by operation of law pursuant to section 33-1102, Arizona Revised Statutes, against any creditor who attempts to enforce a judgment or lien on or after the effective date of this act.