A.R.S. 33-1002: Arizona's Lien Exemption for Owner-Occupied Homes

The full title of A.R.S. 33-1002 is "Definitions; inapplicability of certain liens to owner-occupied dwelling; waiver void." It sits inside Arizona's mechanics' and materialmen's lien laws. Those laws let contractors, subcontractors, and suppliers record a lien on a property when they are not paid for their work or materials. A.R.S. 33-1002 carves out a large exception for homes that people actually live in.

Here is the core rule. The statute says "No lien provided for in this article shall be allowed or recorded" against a dwelling that a person owns and occupies, with one main exception. A lien is allowed only if the claimant "had executed in writing a contract directly with the owner-occupant." In plain terms: someone can lien your home only if you signed a contract with that person yourself.

The statute also blocks fine print that tries to take this protection away. It says any agreement in which an owner-occupant waives this section is "void." So a contractor cannot bury a waiver of your rights inside a work order.

Picture a whole-house repipe. You hire one plumbing company. That company buys $4,000 in pipe and fittings from a supply house. You pay the plumber in full. Then the plumber never pays the supply house.

Normally the supplier could record a mechanics' lien to get paid. But you never signed a contract with the supplier. Under A.R.S. 33-1002, that supplier generally cannot lien your owner-occupied home. The same shield covers subcontractors your main contractor brought in.

The plumber you hired directly is different. Because you signed a contract with them, they keep their normal lien rights if you fail to pay. So the statute shrinks the risk from parties down the chain, not from the company you actually hired.

Do not confuse A.R.S. 33-1002 with two other things.

First is the 20-day preliminary notice under A.R.S. 33-992.01. That is the notice contractors and suppliers send early in a job to keep their lien rights alive. Our page on the preliminary 20-day notice explains it. A supplier can send you that notice and still be barred from a lien on your owner-occupied home by 33-1002.

Second is the homestead exemption in A.R.S. 33-1101. People often call 33-1002 a "homestead" rule, but the true homestead exemption is a separate statute. It protects up to $400,000 of home equity from many judgment creditors. It does not stop a mortgage or a properly perfected mechanics' lien. So 33-1002 (whether a lien can attach) and 33-1101 (protecting equity from creditors) solve different problems.

Keep proof of what you paid and to whom. Ask for lien waivers or paid receipts when you settle up. If a subcontractor or supplier you never hired threatens a lien on the home you live in, A.R.S. 33-1002 may bar it. Before you rely on this, confirm the current statute text and talk to an attorney, since lien law is detailed and fact-specific. See also how to choose a plumber and financing a big plumbing repair.

A.R.S. 33-1002 is public-domain Arizona law. Read the full section, including every exception, on the Arizona Legislature's site: A.R.S. 33-1002 on azleg.gov. The separate homestead equity exemption is at A.R.S. 33-1101. This page is general information, not legal advice.