Is your Subdivision Legal?

By
Real Estate Agent with Value Added Service, 602-620-2699 SA5376460000

You're fulfilling a dream that you've had for years - building a new home out in the county.  You're in an area that is all new with neighbors far apart and the setting feels ideal.  But is it legal? 

 

In Arizona, parcels of land that are subdivided into more 6 lots or more and resold become subdivisions.  THE MOST IMPORTANT thing to watch for is a Public Report.  

 

If you are building a new home and have not received a public report, the subdivider of your subdivision of over 6 lots is building an illegal subdivision.  

 

Illegal subdivisons are known as "wildcat subdivisions" in Arizona. 

 

Wildcat subdivisions don't provide the regular protections because the public report is not included and you haven't received enough disclosure about the area.   

 

A public report includes the following disclosures:

  • Utilities (100 YEAR WATER SUPPLY)
  • Streets, Roads and Drainage
  • Local Services and Facilities
  • Common, Community and Recreational Factilities, if any
  • Assurances for Completion of Improvements
  • Property Owners Associations
  • Subdivision Characteristics
  • Subdivision Use and Restrictions
  • Airports
  • Title
  • Method of Sale or Lease
  • Taxes and Assessments (just to name a few)
  •  

When an agent is involved in this sale,  the agent, builder and developer are liable and should be protecting the buyer/consumer. 

 

If you're building a new home, it's also a good idea to be represented by a realtor.

 

A realtor will be your advocate and fiduciary, providing answers and following along with the building process.  You should consider getting a separate home inspection as they will visit a new home at least 3 times during construction making sure all aspects in the walls are correct. 

 

If you're looking for a realtor in Maricopa County, please reach out to me to answer questions about home certifications and energy efficiency that might also be included in your new home.  

 

Arizona is number one in the US for production built, energy efficient homes. Make sure your home is one of them! 

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Comments (6)

Michael Jacobs
Pasadena, CA
Los Angeles Pasadena 818.516.4393

Hello Jan - the question you pose in your post title is not one that I recall seeing here or being asked but it is nonetheless an important one.  Diving deeper into inquiries from those interested in making a move can lead to a better understanding.  For everyone involved.  

Aug 12, 2021 10:13 AM
Jan Green
Value Added Service, 602-620-2699 - Scottsdale, AZ
HomeSmart Elite Group, REALTOR®, EcoBroker, GREEN

I guess this "way out west" state has some intricacies!  Would you believe this one of Arizona's hot topics?!  Our office meeting yesterday included the Real Estate Commissioner speaking on this topic, which is where I got my inspiration Michael Jacobs

Aug 12, 2021 11:05 AM
Michael Jacobs

Real life in our daily lives is an excellent source of blogging fuel.

Aug 12, 2021 11:17 AM
Ed Silva
Mapleridge Realty, CT 203-206-0754 - Waterbury, CT
Central CT Real Estate Broker Serving all equally

This is not anything i have heard of before but definitely a concern for someone looking to build, especially the water issue

Aug 12, 2021 11:07 AM
Jan Green
Value Added Service, 602-620-2699 - Scottsdale, AZ
HomeSmart Elite Group, REALTOR®, EcoBroker, GREEN

I bet you've never heard of it before in your area Ed Silva !  But it's a problem here in Arizona - the way out west!  Thank you for commenting!

Aug 12, 2021 11:12 AM
Will Hamm
Hamm Homes - Aurora, CO
"Where There's a Will, There's a Way!"

Hello Jan and thanks for the information in this great post.  Hope all is going good with you.

 

Aug 17, 2021 11:04 AM
Jan Green
Value Added Service, 602-620-2699 - Scottsdale, AZ
HomeSmart Elite Group, REALTOR®, EcoBroker, GREEN

Hello Will Hamm !  Likewise - hope all is well.  Do you guys have laws in Colorado protecting home buyers from illegal lot splits?  

Aug 17, 2021 02:50 PM