ARIZONA STATE SENATE
RESEARCH STAFF
TO: MEMBERS OF THE SENATE
FINANCE COMMITTEE
DATE: March 21, 2022
SUBJECT: Strike everything amendment to H.B. 2351, relating to homestead exemptions
Purpose
Increases the homestead exemption from $250,000 to $450,000, which applies to any
recorded and otherwise valid claim of homestead against any creditor who attempts to enforce a
judgement or lien on or after the effective date.
Background
Arizona's homestead exemption exempts up to $250,000 of a person’s equity in their
dwelling from attachment, execution or forced sale. The exemption applies to a person’s house
and land, condominium or cooperative, mobile home or mobile home and land. A person or
married couple may only claim one homestead exemption and must reside in the home for which
the exemption is claimed. The homestead exemption automatically attaches to a person's interest
in identifiable cash proceeds from the voluntary or involuntary sale of the property which
continues for 18 months after the date of the sale or until the person establishes a new homestead
with the proceeds, whichever is shorter. The homestead exemption does not attach to the person's
interest in identifiable cash proceeds from refinancing the homestead property (A.R.S. § 33-1101).
There is no anticipated fiscal impact to the state General Fund associated with this
legislation.
Provisions
1. Increases, from $250,000 to $450,000, the homestead exemption.
2. Applies the homestead exemption increase to any recorded and otherwise valid claim of
homestead against any creditor who attempts to enforce a judgement or lien on or after the
effective date.
3. Makes technical changes.
4. Becomes effective on the general effective date.
ANNA NGUYEN
LEGISLATIVE RESEARCH INTERN
MOLLY GRAVER
LEGISLATIVE RESEARCH ANALYST
FINANCE COMMITTEE
Telephone: (602) 926-3171