33-701. Interests which may be mortgaged; formal requirements; recording
A. Any interest in real property capable of being transferred may be mortgaged.
B. A mortgage may be created, renewed or extended only by writing executed with the formalities required of a grant of real property, and may be acknowledged, certified and recorded in like manner and with like effect.

33-702. Mortgage defined; admissibility of proof that transfer is a mortgage
A. Every transfer of an interest in real property, other than in trust, or a trust deed subject to the provisions of chapter 6.1 of this title, made only as a security for the performance of another act, is a mortgage. The fact that a transfer was made subject to defeasance on a condition may, for the purpose of showing that the transfer is a mortgage, be proved except against a subsequent purchaser or encumbrancer for value and without notice, notwithstanding that the fact does not appear by the terms of the instrument.
B. A mortgage or trust deed may provide for an assignment to the mortgagee or beneficiary of the interest of the mortgagor or trustor in leases, rents, issues, profits or income from the property covered thereby, whether effective before, upon or after a default under such mortgage or trust deed or any contract secured thereby, and such assignment may be enforced without regard to the adequacy of the security or the solvency of the mortgagor or trustor by any one or more of the following methods:
1. The appointment of a receiver.
2. The mortgagee or beneficiary taking possession of the property, or without the mortgagee or beneficiary taking possession of the property.
3. Collecting such monies directly from the parties obligated for payment.
4. Injunction.

33-703. Effect of mortgage as lien; right to possession of mortgaged property; rights of mortgagee in property acquired by mortgagor after execution of mortgage
A. A mortgage is a lien upon everything that would pass by a grant of the property, but does not entitle the mortgagee to possession of the property unless authorized by the express terms of the mortgage. After execution of the mortgage, the mortgagor may agree to a change of possession without a new consideration.
B. Title acquired by the mortgagor subsequent to the execution of the mortgage inures to the mortgagee as security as if acquired before the execution.

33-704. Performance of assessment work on mining claim by mortgagee; expense as additional debt secured by mortgage
The mortgagee, if the mortgaged property or part thereof consists of unpatented mining claims, may perform the annual labor or improvement required by law to prevent the forfeiture of the claim, and the amount expended for that purpose shall be an additional debt secured by the mortgage, and included in the judgment of foreclosure, or, if expended after judgment, but before sale, added to the amount of the execution.

33-705. Purchase money mortgage or deed of trust; priority
A mortgage or deed of trust that is given as security for a loan made to purchase the real property that is encumbered by the mortgage or deed of trust has priority over all other liens and encumbrances that are incurred against the purchaser before acquiring title to the real property.

33-706. Assignment of mortgage; recording as notice
An assignment of a mortgage may be recorded in like manner as a mortgage, and the record is notice to all persons subsequently deriving title to the mortgage from the assignor.

33-707. Acknowledgment of satisfaction; recording
A. If a mortgagee, trustee or person entitled to payment receives full satisfaction of a mortgage or deed of trust, he shall acknowledge satisfaction of the mortgage or deed of trust by delivering to the person making satisfaction or by recording a sufficient release or satisfaction of mortgage or deed of release and reconveyance of the deed of trust, which release, satisfaction of mortgage or deed of release and reconveyance shall contain the docket and page number or recording number of the mortgage or deed of trust. It shall not be necessary for the trustee to join in the acknowledgment or satisfaction, or in the release, satisfaction of mortgage or deed of release and reconveyance. The recorded release or satisfaction of mortgage or deed of release and reconveyance constitutes conclusive evidence of full or partial satisfaction and release of the mortgage or deed of trust in favor of purchasers and encumbrancers for value and without actual notice.
B. When a mortgage or deed of trust is satisfied by a release or satisfaction of mortgage or deed of release and reconveyance, except where the record of such deed of trust or mortgage has been destroyed or reduced to microfilm, the recorder shall record the release or satisfaction of the deed of trust or mortgage showing the book and page or recording number where the deed of trust or mortgage is recorded.
C. If the record of such mortgage or deed of trust has been destroyed and the record thereof reduced to microfilm, it shall be sufficient evidence of satisfaction of any such mortgage or deed of trust for the release or satisfaction of mortgage or deed of release and reconveyance to be recorded and indexed as such. The instrument shall sufficiently identify the mortgage or deed of trust by parties and by book and page or recording number of the official records. Such instrument shall be treated as a release or satisfaction of mortgage or deed of release and reconveyance and recorded.
D. If the note secured by a mortgage or deed of trust has been lost or destroyed, the assignee, mortgagee or beneficiary shall, before acknowledging satisfaction, make an affidavit that he is the lawful owner of the note and that it has been paid, but cannot be produced for the reason that it has been lost or destroyed, and the affidavit shall be recorded. If the record of such mortgage or deed of trust has been destroyed and the record thereof reduced to microfilm, such affidavit shall be recorded and indexed as releases, satisfactions of mortgage and deeds of release and reconveyance are recorded and indexed and shall have the same force and effect as a release or satisfaction of a mortgage or deed of release and reconveyance as provided in subsection A of this section.
E. If a full release or satisfaction of mortgage or deed of release and reconveyance of deed of trust that, according to its terms, recites that it secures an obligation having a stated indebtedness not greater than five hundred thousand dollars exclusive of interest, or a partial release or satisfaction of mortgage or partial deed of release and reconveyance of deed of trust that, according to its terms, recites that the payment required for the partial satisfaction or release does not exceed five hundred thousand dollars exclusive of interest, has not been executed and recorded pursuant to subsection A or C of this section within sixty days of full or partial satisfaction of the obligation secured by such mortgage or deed of trust, a title insurer as defined in section 20-1562 may prepare, execute and record a full or partial release or satisfaction of mortgage or deed of full or partial release and reconveyance of deed of trust. No earlier than sixty days after full or partial satisfaction and at least thirty days prior to the issuance and recording of any such release or satisfaction of mortgage or deed of release and reconveyance pursuant to this subsection, the title insurer shall mail by certified mail with postage prepaid, return receipt requested, to the mortgagee of record or to the trustee and beneficiary of record and their respective successors in interest of record at their last known address shown of record and to any persons who according to the records of the title insurer received payment of the obligation at the address shown in such records, a notice of its intention to release the mortgage or deed of trust accompanied by a copy of the release or satisfaction of mortgage or deed of release and reconveyance to be recorded which shall set forth:
1. The name of the beneficiary or mortgagee or any successors in interest of record of such mortgagee or beneficiary and, if known, the name of any servicing agent.
2. The name of the original mortgagor or trustor.
3. The name of the current record owner of the property and if the release or satisfaction of mortgage or deed of release and reconveyance is a partial release, the name of the current record owner of the parcel described in the partial release or satisfaction of mortgage or deed of partial release and reconveyance of deed of trust.
4. The recording reference to the deed of trust or mortgage.
5. The date and amount of payment, if known.
6. A statement that the title insurer has actual knowledge that the obligation secured by the mortgage or deed of trust has been paid in full, or if the release or satisfaction of mortgage or deed of release and reconveyance of deed of trust is a partial release, a statement that the title insurer has actual knowledge that the partial payment required for the release of the parcel described in the partial release or satisfaction has been paid.
F. The release or satisfaction of mortgage or release and reconveyance of deed of trust may be executed by a duly appointed attorney-in-fact of the title insurer, but such delegation shall not relieve the title insurer from any liability pursuant to this section.
G. A full or partial release or satisfaction of mortgage or deed of full or partial release and reconveyance of deed of trust issued pursuant to subsection E of this section shall be entitled to recordation and, when recorded, shall constitute a full or partial release or satisfaction of mortgage or deed of release and reconveyance of deed of trust issued pursuant to subsection A or C of this section.
H. Where an obligation secured by a deed of trust or mortgage was paid in full prior to September 21, 1991, and no release or satisfaction of mortgage or deed of release and reconveyance of deed of trust was issued and recorded by November 20, 1991, a release or satisfaction of mortgage or deed of release and reconveyance of deed of trust as provided for in subsection E of this section may be prepared and recorded without the notice prescribed by subsection E of this section.
I. A release or satisfaction of mortgage or a release and reconveyance of deed of trust by a title insurer under the provisions of subsection E of this section shall not constitute a defense nor release any person from compliance with subsections A through D of this section or from liability under section 33-712.
J. In addition to any other remedy provided by law, a title insurer preparing or recording the release and satisfaction of mortgage or the release and reconveyance of deed of trust pursuant to subsection E of this section shall be liable to any party for actual damage, including attorney fees, which any person may sustain by reason of the issuance and recording of the release and satisfaction of mortgage or release and reconveyance of deed of trust.
K. The title insurer shall not record a release and satisfaction of mortgage or release and reconveyance of deed of trust if, prior to the expiration of the thirty day period specified in subsection E of this section, the title insurer receives a notice from the mortgagee, trustee, beneficiary, holder or servicing agent which states that the mortgage or deed of trust continues to secure an obligation, or in the case of a partial release or satisfaction of mortgage or deed of partial release and reconveyance of deed of trust, a notice that states that the partial payment required to release the parcel described in the partial release or satisfaction has not been paid.
L. The title insurer may charge a reasonable fee to the owner of the land or other person requesting a release and satisfaction of mortgage or release and reconveyance of deed of trust for services, including but not limited to search of title, document preparation and mailing services rendered, and may in addition collect official fees.

33-708. Release by attorney in fact
An attorney in fact to whom the money due on a mortgage or deed of trust is paid may execute the release provided for in this article. Such acknowledgment of satisfaction or deed of release, duly acknowledged and recorded, showing the docket and page or recording number, releases the mortgage or deed of trust and revests in the mortgagor or person who executed the deed of trust, or his legal representatives, all title to the property affected by the mortgage or deed of trust.

33-709. Acknowledgment of satisfaction by personal representative of mortgagee to whom indebtedness was paid before death
The executor or administrator of a mortgagee or of the holder or owner of an indebtedness secured by a mortgage or deed of trust shall, if the indebtedness was paid to the decedent in his lifetime, acknowledge satisfaction thereof by delivering to such person a sufficient release, satisfaction of mortgage or deed of release of the mortgage or deed of trust or acknowledge satisfaction as provided in subsection C of section 33-707. If the executor or administrator, upon proof to him of the payment of the indebtedness to his decedent, does not, within thirty days, acknowledge satisfaction by delivering to the person owning the property a sufficient release, satisfaction of mortgage or deed of release, or acknowledge satisfaction as provided in subsection C of section 33-707, he shall personally forfeit to the party aggrieved one hundred dollars and be personally liable for the damages thereby sustained. The executor or administrator shall not be liable to the estate of which he is executor or administrator for any indebtedness by mortgage or deed of trust released by him in accordance with this section.

33-710. Release by foreign personal representative, administrator, guardian or conservator
When a personal representative or administrator of the estate of a person not a resident of this state at the time of his death has been appointed in another state or foreign country, and no personal representative or administrator has been appointed in this state, or when a guardian or conservator of a minor has been appointed in another state or foreign country, such foreign personal representative, administrator, guardian or conservator, upon recording an authenticated copy of his appointment in the recorder's office of the county in which the mortgage held by the estate of the deceased person or minor is recorded, may execute satisfaction or deeds of release of mortgages upon property located in this state in the same manner as personal representatives, administrators, guardians or conservators appointed in this state.

33-711. Release by heir or legatee
An heir or legatee of a deceased person, residing within or without the state, upon recording in the office of the county recorder sufficient proof of his ownership of a mortgage or deed of trust may, in the same manner as a personal representative of a deceased mortgagee or owner of the indebtedness secured by a mortgage or deed of trust, release such instruments by recording a release of mortgage or deed of trust.

33-712. Liability for failure to acknowledge satisfaction
A. If any person receiving satisfaction of a mortgage or deed of trust shall, within thirty days, fail to record or cause to be recorded, with the recorder of the county in which the mortgage or deed of trust was recorded, a sufficient release, satisfaction of mortgage or deed of release or acknowledge satisfaction as provided in section 33-707, subsection C, he shall be liable to the mortgagor, trustor or current property owner for actual damages occasioned by the neglect or refusal.
B. If, after the expiration of the time provided in subsection A of this section, the person fails to record or cause to be recorded a sufficient release and continues to do so for more than thirty days after receiving a written request which identifies a certain mortgage or deed of trust by certified mail from the mortgagor, trustor, current property owner or his agent, he shall be liable to the mortgagor, trustor or current property owner for one thousand dollars, in addition to any actual damage occasioned by the neglect or refusal.
C. Any action to enforce the provisions of this section, including any action to recover amounts due under this section, shall be brought and maintained in the individual names of, and shall be prosecuted by, persons entitled to recover under the terms thereof, and not in a representative capacity or otherwise. This subsection shall apply to all actions under this section, whether brought before or after July 13, 1988.

33-713. Discharge by order of court; proof required; effect
The superior court of the county in which a mortgage is legally recorded may make an order discharging the mortgage of record on proof that the mortgage has been fully paid and satisfied and that the mortgagee or his assignee is a nonresident of the county where the mortgage is recorded, or is deceased, and that there is no personal representative of the estate appointed under the authority of this state. Upon proof that the same circumstances exist with respect to a deed of trust, the superior court in the county in which a deed of trust is legally recorded may make an order releasing the deed of trust and directing reconveyance of the property. The county recorder shall record a certified copy of the order showing the docket and page or recording number of the recorded mortgage or deed of trust, and the record shall have the same effect as the record of discharge by the mortgagee or a release and reconveyance for the deed of trust.

33-714. Expiration of mortgage and deed of trust; applicability
A. The lien of any mortgage or deed of trust on any real property that is not otherwise satisfied or discharged expires at the later of the following times:
1. If the final maturity date or the last date fixed for payment of the debt or performance of the obligation is ascertainable from the county recorder's records, ten years after that date.
2. If the final maturity date or the last date fixed for payment of the debt or performance of the obligation is not ascertainable from the county recorder's records or if there is no final maturity date or last date fixed for payment of the debt or performance of the obligation, fifty years after the date the mortgage or deed of trust was recorded.
3. If a notice of intent to preserve mortgage or deed of trust is recorded within the time prescribed in paragraph 1 or 2, ten years after the date the notice is recorded.
B. The notice of intent to preserve mortgage or deed of trust shall be executed by the owner of the obligation secured by the mortgage or deed of trust and shall contain the instrument number or recorder's number of the mortgage or deed of trust.
C. Expiration of the lien of a mortgage or deed of trust pursuant to this section is equivalent for all purposes to a satisfaction, reconveyance, release or other discharge of the lien.
D. This section applies to all mortgages or deeds of trust whether created before or after the effective date of this section.

33-715. Payoff demands; definitions
A. On the written demand of an entitled person or that person's authorized agent, a beneficiary or the beneficiary's authorized agent shall prepare and deliver a payoff demand statement to the person who has requested it within fourteen days after receipt of the demand.
B. The payoff demand statement shall provide the amounts required as of the date of preparation and shall include the information reasonably necessary to calculate the payoff amount on a per diem basis for the time that the per diem amount remains unchanged as provided in the note but not to exceed thirty days.
C. The entitled person or that person's authorized agent may rely on a payoff demand statement for the purpose of establishing the amount necessary to pay the obligation in full and obtain a release of the mortgage or deed of trust that secures the obligation through and including the time set forth in the payoff demand statement as provided in subsection I, paragraph 5.
D. The entitled person or that person's authorized agent may rely on an amended payoff demand statement if the beneficiary delivers that amended payoff demand statement to the entitled person or that person's authorized agent before the earlier of:
1. The transfer of title to the mortgaged or trust property or any portion of the property.
2. The recordation of a mortgage or deed of trust describing the mortgaged or trust property or any portion of the property.
E. For notes created or renegotiated after the effective date of this section, any sums that were due the beneficiary and that were not included in the payoff demand statement or in any amended statement constitute an unsecured obligation of the obligor pursuant to the terms of the note and are recoverable by the beneficiary pursuant to the terms of the note and as otherwise provided by law.
F. A beneficiary who willfully fails to prepare and deliver a payoff demand statement for fourteen or more days after receipt of a written demand is liable to the entitled person for all damages sustained for failure to deliver the statement. The beneficiary is also liable to the entitled person for five hundred dollars whether or not actual damages are sustained. Each failure of the beneficiary to prepare and deliver the payoff demand statement when required to do so pursuant to this section constitutes a separate cause of action. A judgment that awards an entitled person a forfeiture or damages or both for any failure to prepare and deliver a payoff demand statement bars recovery of any other damages or forfeiture for any other failure to prepare and deliver a statement with respect to the same obligation, if the other demand for the statement was made within six months before or after the demand was made that resulted in the award. For purposes of this subsection, "willfully" means a failure to comply with this section without just cause or excuse.
G. If the beneficiary has more than one branch, office or other place of business, the payoff statement demand shall be made to the branch or office address provided in the payment billing notice or payment book. Unless the payoff demand statement provides otherwise, the statement is deemed to apply only to the unpaid balance of the single obligation that is named in the demand and that is secured by the mortgage or deed of trust that is payable at the address that is provided in the payment billing notice or payment book.
H. The demand for and preparation and delivery of a payoff demand statement pursuant to this section does not change any date or time period that is prescribed in the note or that is otherwise provided by law.
I. The beneficiary of a mortgagee may assess a fee of no more than thirty dollars for furnishing each payoff demand statement. This is conclusively presumed to be reasonable.
J. For the purposes of this section, unless the context otherwise requires:
1. "Beneficiary" means a mortgagee or beneficiary of a mortgage or deed of trust or an assignee of a mortgagee or beneficiary.
2. "Deliver" or "delivery" means depositing or causing to be deposited into the United States mail an envelope with postage prepaid that contains a copy of the documents to be delivered and that is addressed to the person whose name and address are provided in the payoff demand. Delivery includes transmitting those documents by telefacsimile machine to the person. Delivery includes transmitting those documents electronically pursuant to title 44, chapter 26 if the payoff demand specifically requests and authorizes that the documents be transmitted in electronic form.
3. "Entitled person" means the trustor or mortgagor of the mortgaged or trust property or any part of that property, any successor in interest to the trustor or mortgagor, any person with a lien or encumbrance of record on the mortgaged or trust property and an escrow agent that is licensed pursuant to title 6.
4. "Payoff demand" means a written demand for a payoff demand statement made by an entitled person or that person's authorized agent.
5. "Payoff demand statement" means a written statement that is prepared in response to a written demand made by an entitled person or that person's authorized agent that sets forth the amounts required by the beneficiary to fully satisfy all of the obligations secured by the loan that is the subject of the demand.

33-721. Foreclosure of mortgage by court action
Mortgages of real property and deeds of trust of a type not included in the definition of deed of trust provided in section 33-801, notwithstanding any other provision in the mortgage or deed, shall be foreclosed by action in a court.

33-722. Election between action on debt or to foreclose
If separate actions are brought on the debt and to foreclose the mortgage given to secure it, the plaintiff shall elect which to prosecute and the other shall be dismissed.

33-723. Right of junior lien holder upon foreclosure action by senior lien holder
Any time after an action to foreclose a mortgage or deed of trust is brought, and prior to the sale, a person having a junior lien on the property shall be entitled to an assignment of all the interest of the holder of the mortgage or deed of trust by paying him the amount secured, with interest and costs, together with the amount of any other superior liens of the same holder. The assignee may then continue the action in his name.

33-724. State as party to foreclosure actions
A. The state may be made a party to an action to foreclose a mortgage upon real property when the state claims any estate, interest in or lien upon such real property. The complaint shall set forth the nature of the estate, interest or lien allegedly claimed by the state.
B. When the state is made defendant, a copy of the summons and complaint shall be served upon the attorney general if the action is pending in Maricopa county, or upon the county attorney of the county where the action is pending if in a county other than Maricopa, and it shall be the duty of such county attorney forthwith to transmit the summons and complaint to the attorney general and to file pleadings in the action as directed by the attorney general.
C. If after appropriate investigation, it appears to the attorney general that the proceeds from the sale of the property would be insufficient to wholly or partly satisfy any inferior lien of the state, or that the claim of the state has been satisfied or by lapse of time or otherwise has become unenforceable, the attorney general may file a disclaimer of interest releasing the property from such lien.

33-725. Judgment of foreclosure; contents; sale of property; resale
A. When a mortgage or deed of trust is foreclosed, the court shall give judgment for the entire amount determined due, and shall direct the mortgaged property, or as much thereof as is necessary to satisfy the judgment, to be sold.
B. Judgments for the foreclosure of mortgages and other liens shall provide that the plaintiff recover his debt, damages and costs, with a foreclosure of the plaintiff's lien on the property subject to the lien, and, except in judgments against executors, administrators and guardians, that a special execution issue to the sheriff or any constable of the county where the property is located, directing him to seize and sell the property as under execution, in satisfaction of the judgment. If the property cannot be found, or if the proceeds of the sale are insufficient to satisfy the judgment, then if so ordered by the court the sheriff shall take the money or any balance thereof remaining unpaid out of any other property of the defendant except as provided in sections 33-729 and 33-730. All execution upon judgments for foreclosure of a mortgage or deed of trust upon real property shall comply with section 12-1566. Any sale of real property to satisfy a judgment under this section or section 33-814 shall be a credit on the judgment in the amount of either the fair market value of the real property or the sale price of the real property at sheriff's sale, whichever is greater, in accordance with section 12-1566.
C. If the debt for which the lien is held is not all due, as soon as enough of the property is sold to pay the amount due, with costs, the sale shall cease, and afterward as often as more becomes due for principal and interest, the court may, on motion, order more property sold. If the property cannot be sold in portions without injury to the parties, the whole may be ordered sold in the first instance and the entire debt and costs paid, allowing a rebate of interest where proper.

33-726. Redemption of property by payment to officer directed under foreclosure judgment to sell the property
If payment is made to the officer directed to sell mortgaged property under a foreclosure judgment, before the foreclosure sale takes place, the officer shall make a certificate of payment and acknowledge it, and the certificate shall be recorded in the office in which the mortgage or deed of trust is recorded .

33-727. Sale under execution; deficiency; order of liens; writ of possession
A. Except as provided in sections 33-729 and 33-730, if the mortgaged property does not sell for an amount sufficient to satisfy the judgment, an execution may be issued for the balance against the mortgagor where there has been personal service, or the defendant has appeared in the action.
B. If there are other liens on the property sold, or other payments secured by the same mortgage, they shall be paid in their order, and if the money secured by any such lien is not yet due, a rebate of interest, to be ascertained by the court, shall be made by the holder, or his lien on such property will be postponed to those of a junior date, and if there are no other liens the balance shall be paid to the mortgagor. If redemption is not made and the mortgagor or his assigns refuse, after expiration of the time for redemption, to deliver possession of the foreclosed property, the court shall order a writ of possession issued placing the purchaser or his assigns in possession. All executions upon judgments for foreclosure of a mortgage or deed of trust upon real property shall comply with section 12-1566. Any sale of real property to satisfy a judgment under section 33-725 or 33-814 shall be a credit on the judgment in the amount of either the fair market value of the real property or the sale price of the real property at sheriff's sale, whichever is greater, in accordance with section 12-1566.

33-728. Recording upon record that mortgage is foreclosed and judgment satisfied; effect
When a mortgage has been foreclosed by action in court, and the judgment has been paid and satisfaction thereof entered upon the docket, the county recorder, upon presentation to him of the certificate of the clerk of the court certifying such facts including the docket and page or recording number of the recorded mortgage or deed of trust, shall record the certificate. Such recording shall have the same effect as the record of discharge by the mortgagee.

33-729. Purchase money mortgage; limitation on liability
A. Except as provided in subsection B, if a mortgage is given to secure the payment of the balance of the purchase price, or to secure a loan to pay all or part of the purchase price, of a parcel of real property of two and one-half acres or less which is limited to and utilized for either a single one-family or single two-family dwelling, the lien of judgment in an action to foreclose such mortgage shall not extend to any other property of the judgment debtor, nor may general execution be issued against the judgment debtor to enforce such judgment, and if the proceeds of the mortgaged real property sold under special execution are insufficient to satisfy the judgment, the judgment may not otherwise be satisfied out of other property of the judgment debtor, notwithstanding any agreement to the contrary.
B. The balance due on a mortgage foreclosure judgment after sale of the mortgaged property shall constitute a lien against other property of the judgment debtor, general execution may be issued thereon, and the judgment may be otherwise satisfied out of other property of the judgment debtor, if the court determines, after sale upon special execution and upon written application and such notice to the judgment debtor as the court may require, that the sale price was less than the amount of the judgment because of diminution in the value of such real property while such property was in the ownership, possession, or control of the judgment debtor because of voluntary waste committed or permitted by the judgment debtor, not to exceed the amount of diminution in value as determined by such court.

33-730. Limitation on deficiency judgment on mortgage or deed of trust as collateral for consumer goods
A. If both a security agreement and a mortgage or deed of trust have been given to secure payment of the balance of the purchase price of real property and consumer goods or services or the balance of the combined purchase price of such real property and consumer goods or services, no deficiency shall lie thereunder if no deficiency would lie under the mortgage or deed of trust given under such transaction, notwithstanding any agreement to the contrary.
B. For the purposes of this section, consumer goods and services are goods and services used or acquired for use primarily for personal, family or household purposes.

33-741. Definitions
In this article, unless the context otherwise requires:
1. "Account servicing agent" means a joint agent of seller and purchaser, appointed under the contract or under a separate agreement executed by the seller and the purchaser, to hold documents and collect monies due under the contract, who does business under the laws of this state as a bank, trust company, escrow agent, savings and loan association, insurance company or real estate broker, or who is licensed, chartered or regulated by the federal deposit insurance corporation or the comptroller of the currency, or who is a member of the state bar of Arizona.
2. "Contract" means a contract for conveyance of real property, a contract for deed, a contract to convey, an agreement for sale or any similar contract through which a seller has conveyed to a purchaser equitable title in property and under which the seller is obligated to convey to the purchaser the remainder of the seller's title in the property, whether legal or equitable, on payment in full of all monies due under the contract. This article does not apply to purchase contracts and receipts, escrow instructions or similar executory contracts which are intended to control the rights and obligations of the parties to executory contracts pending the closing of a sale or purchase transaction.
3. "Monies due under the contract" means:
(a) Any principal and interest payments which are currently due and payable to the seller.
(b) Any principal and interest payments which are currently due and payable to other persons who hold existing liens and encumbrances on the property, the unpaid principal portion of which constitutes a portion of the purchase price, as stated in the contract, if the principal and interest payments were paid by the seller pursuant to the terms of the contract and to protect his interest in the property.
(c) Any delinquent taxes and assessments, including interest and penalty, due and payable to any governmental entity authorized to impose liens on the property which are the purchaser's obligations under the contract, if the taxes and assessments were paid by the seller pursuant to the terms of the contract and to protect his interest in the property.
(d) Any unpaid premiums for any policy or policies of insurance which are the obligation of the purchaser to maintain under the contract, if the premiums were paid by the seller pursuant to the terms of the contract and to protect his interest in the property.
4. "Payoff deed" means the deed that the seller is obligated to deliver to the purchaser on payment in full of all monies due under the contract to convey to the purchaser the remainder of the seller's title in the property, whether legal or equitable, as prescribed by the terms of the contract.
5. "Property" means the real property described in the contract and any personal property included under the contract.
6. "Purchaser" means the person or any successor in interest to the person who has contracted to purchase the seller's title to the property which is the subject of the contract.
7. "Seller" means the person or any successor in interest to the person who has contracted to convey his title to the property which is the subject of the contract.

33-742. Forfeiture of interest of purchaser in default under contract
A. If a purchaser is in default by failing to pay monies due under the contract, a seller may, after expiration of the applicable period stated in subsection D of this section and after serving the notice of election to forfeit stated in section 33-743, complete the forfeiture of the purchaser's interest in the property in the manner provided by section 33-744 or 33-745. If the contract provides that the seller may elect to accelerate the principal balance due under the contract to the seller on the purchaser's failure to pay the monies due, the seller may accelerate the principal balance due to the seller at any time after the purchaser has failed to pay the monies due under the contract. The acceleration may occur before or after the expiration of the applicable period stated in subsection D of this section and without serving the notice of election to forfeit stated in section 33-743. If the seller elects to accelerate the principal balance due to the seller, the seller may only foreclose the contract as a mortgage in the manner provided by section 33-748. If a purchaser is in default under the contract for reasons other than failing to pay monies due under the contract, the seller may only foreclose the contract as a mortgage in the manner provided by section 33-748.
B. The interest of a purchaser in any personal property included in a contract is subject to forfeiture or foreclosure in the same manner as the real property, except that forfeiture or foreclosure does not affect or impair the rights of a holder of a security interest whose interest in the personal property is not subordinate to that of the seller.
C. If a contract provides that time is of the essence, a waiver of that provision occurs only if the seller has accepted monies due under the contract in an amount which is less than the total monies due under the contract at the time of the acceptance. Receipt of any monies due under the contract by an account servicing agency does not constitute acceptance by the seller. A seller's delay in exercising any remedy granted either by the contract or by law does not constitute a waiver of a time is of the essence provision. If the time of the essence provision has been waived, the seller may reinstate the provision by serving a written notice on the purchaser and the account servicing agent, if one has been appointed, requiring strict performance of the purchaser's obligations to pay monies due under the contract. The notice shall be served, either by delivery in person or deposit in the United States mail, first class, postage prepaid, at least twenty days prior to the date on which the seller will require the purchaser to pay the monies due under the contract. A copy of the notice need not be recorded in the county in which the real property is located or served on any person other than the purchaser and the account servicing agent, if one has been appointed.
D. Forfeiture of the interest of a purchaser in the property for failure to pay monies due under the contract may be enforced only after expiration of the following periods after the date such monies were due:
1. If there has been paid less than twenty per cent of the purchase price, thirty days.
2. If there has been paid twenty per cent, or more, but less than thirty per cent of the purchase price, sixty days.
3. If there has been paid thirty per cent, or more, but less than fifty per cent of the purchase price, one hundred and twenty days.
4. If there has been paid fifty per cent, or more, of the purchase price, nine months.
E. For the purpose of computing the percentage of the purchase price paid under subsection D of this section, the total of only the following constitutes payments on the purchase price:
1. Down payments paid to the seller.
2. Principal payments paid to the seller on the contract.
3. Principal payments paid to other persons who hold liens or encumbrances on the property, the principal portion of which constitutes a portion of the purchase price, as stated under the contract.

33-743. Notice of election to forfeit and reinstatement of purchaser's interest
A. If the seller elects to forfeit the purchaser's interest in the property, the seller and the account servicing agent, if one has been appointed, shall record a notice of election to forfeit with the county recorder of the county in which the real property is located. A notice of election to forfeit is ineffective unless recorded after expiration of the applicable period prescribed in section 33-742, subsection D. A copy of the notice shall be served, either by delivery in person or by deposit in the United States mail, first class, postage prepaid, at least twenty days prior to the effective date of the forfeiture, on the purchaser and on persons who, at the time of recordation of the notice of election to forfeit, appear on the records of the county recorder of the county in which the real property is located as having an interest in or a lien or encumbrance on the property, the priority of which is subordinate to that of the seller, or who have requested a copy of such notice in the manner provided by section 33-746. If mailed, the notice shall be addressed to the last mailing address filed in writing with the seller or with the account servicing agent or as designated on the request for copy of notice of election to forfeit. If no address has been filed with the seller or the account servicing agent, a copy of the notice may be mailed in care of the person to whom any recorded document evidencing an interest in or a lien or encumbrance on the property was directed to be mailed at the time of its recording.
B. The notice of election to forfeit shall be substantially in the following form:
"Notice of Election to Forfeit
The undersigned hereby gives notice that the purchaser under that certain contract, by and between _______________, as seller, and _______________, as purchaser, dated _______________, 19____, and recorded (if recorded) on _______________, 19____, in docket __________, at page __________, records of _______________ county, Arizona, covering real property described as follows:
and including personal property described as follows:
has failed to pay monies due under the contract for a period of time in excess of that provided by Arizona Revised Statutes section 33-742, subsection D and is now subject to having his interest under the contract forfeited. The monies due under the contract which are required to be paid to reinstate such contract are as follows:
If the monies due under the contract are not received by five o'clock p.m. on the __________ day of _______________, 19____, being at least twenty days after the serving of this notice, at _______________, Arizona, the interest of the purchaser and all persons who have an interest in or a lien or encumbrance on the property, the priority of which is subordinate to that of the seller, shall be forfeited.
Dated _______________, 19____.
______________________________________
signature of seller, and
______________________________________
signature of account servicing agent
(if any)
(acknowledgments)"
C. A person need not be served with a copy of the notice of election to forfeit unless the person, at the time of recordation of the notice, appeared on the records of the county recorder of the county in which the real property is located as having an interest in or a lien or encumbrance on the property, the priority of which is subordinate to that of the seller, or requested a copy of the notice in the manner provided for in section 33-746.
D. Failure to serve a copy of the notice of election to forfeit on each person as stated in subsection A of this section does not invalidate the service of the notice of election to forfeit as to persons served but extends the effective date of the forfeiture until at least twenty days after the persons not previously served have been served with a copy of the notice.
E. A purchaser who has failed to pay monies due under the contract or any other person may, at any time prior to expiration of the period provided for in the notice of election to forfeit, avoid the forfeiture by complying with the terms of the notice.
F. If the purchaser or any other person timely complies with the terms of the notice of election to forfeit, the seller or the account servicing agent shall record a notice of reinstatement with the county recorder of the county in which the real property is located. The notice of reinstatement shall be substantially in the following form:
"Notice of Reinstatement
The undersigned hereby gives notice that the notice of election to forfeit, dated _______________, 19____, pertaining to a contract which covers real property described as follows:
and including personal property described as follows:
which notice was recorded on _______________, 19____, in docket __________, at page __________, records of _______________ county, Arizona, is cancelled.
dated _______________, 19____.
______________________________________
signature of seller, or signature of
account servicing agent (if any)
(acknowledgment)"

33-744. Completion of forfeiture by judicial process
At any time after expiration of the period provided for in the notice of election to forfeit, the seller may complete the forfeiture of the interest of the purchaser and persons having an interest in or a lien or encumbrance on the property, the priority of which is subordinate to that of the seller, by filing an action in the superior court in the county in which the real property is located to declare that the interest of the persons has been forfeited and to quiet title to the property in the seller. In the action, the seller shall name as defendants the purchaser and each person who, at the expiration of the period provided for in the notice of election to forfeit, had an interest in or a lien or encumbrance on the property, the priority of which was subordinate to that of the seller.

33-745. Completion of forfeiture by notice
A. If an account servicing agent has been appointed to hold documents and collect monies due under the contract and the agent has recorded and served the notice of election to forfeit, as provided in section 33-743, the seller and account servicing agent may complete the forfeiture of the interest of the purchaser and persons having an interest in or a lien or encumbrance on the property, the priority of which is subordinate to that of the seller, by recordation of an affidavit of completion of forfeiture with the county recorder of the county in which the real property is located. The county recorder shall index the affidavit of completion of forfeiture under the classification in which conveyances of real property are indexed.
B. Recordation of an affidavit of completion of forfeiture terminates without right of redemption all right, title and interest of the purchaser and all persons having an interest in or a lien or encumbrance on the property, the priority of which is subordinate to that of the seller, including the interest of any persons acquiring an interest in or a lien or encumbrance on the property subsequent to recordation of the notice of election to forfeit. On recordation of the affidavit, the property reverts to the seller clear of all interests, liens and encumbrances, the priority of which was subordinate to that the seller. The recordation of the affidavit of completion of forfeiture also raises the presumption of compliance with all requirements of this article and constitutes conclusive evidence of the meeting of the requirements in favor of purchasers or encumbrancers for value and without actual notice.
C. The affidavit of completion of forfeiture shall be substantially in the following form:
"Affidavit of Completion of Forfeiture
The undersigned, being duly sworn, deposes and says that the purchaser under that certain contract, by and between _______________, as seller, and _______________, as purchaser, dated _______________, 19____, and recorded (if recorded) on _______________, 19____, in docket __________, at page __________, records of _______________ county, Arizona, covering real property described as follows:
and including personal property described as follows:
failed to pay amounts due under the contract; that on the date the monies were due, any provision of the contract which made time of the essence had not been waived or had been reinstated in the manner provided for in Arizona Revised Statutes section 33-742, subsection C; that the applicable period stated in Arizona Revised Statutes section 33-742, subsection D had expired after the date the monies were due; that a notice of election to forfeit was recorded with the county recorder of the county in which the real property is located; that a copy of the notice was served upon the purchaser and all persons who, at the time of recordation of the notice of election to forfeit, appeared on the records of the county recorder of the county in which the real property was located, as having an interest in or a lien or encumbrance on the property, the priority of which was subordinate to that of the seller, or who had requested a copy of the notice in the manner provided for in Arizona Revised Statutes section 33-746; that the terms of the notice of election to forfeit were not complied with prior to expiration of the period provided for in the notice; and that all right, title and interest of the purchaser and all persons having an interest in or a lien or encumbrance on the property, the priority of which was subordinate to that of the seller, are by this affidavit declared to be forfeited and to revert to the seller in accordance with the terms of the contract and the laws of the state of Arizona.
______________________________________
signature of seller,
______________________________________
signature of account servicing agent
(jurats)"

33-746. Request for copy of notice of election to forfeit
A. Any person, including, without limitation, a person in possession of the property or having an interest in or a lien or encumbrance on the property, which is not disclosed by a document recorded with the county recorder of the county in which the real property is located, who desires a copy of a notice of election to forfeit under a contract shall, prior to recording of a notice of election to forfeit, record with the county recorder of the county in which the real property is located a request for a copy of any notice of election to forfeit.
B. A request for a copy of any notice of election to forfeit under a contract shall be substantially in the following form:
"Request for Notice of Election to Forfeit
Request is hereby made that a copy of any notice of election to forfeit under the contract, by and between _______________, as seller, and _______________, as purchaser, dated _______________, 19____, and recorded (if recorded) on _______________, 19____, in docket __________, at page __________, records of _______________ county, Arizona, covering real property described as follows:
and including personal property described as follows:
be mailed to: _________________________________________________________, at _____________________________________________________________________.
Dated this __________ day of _______________, 19____.
______________________________________
signature
(acknowledgment)"
C. The existence and contents of a recorded request do not affect the title to the property or provide notice to any person that a person requesting a copy of the notice has an interest in or a lien or encumbrance on the property.

33-747. Appointment of successor account servicing agent
A. If a person appointed as account servicing agent fails to qualify or is unwilling or unable to serve, the seller may appoint a successor account servicing agent, and the appointment constitutes a substitution of account servicing agent.
B. The seller may at any time remove an account servicing agent for any reason and appoint a successor account servicing agent, and the appointment constitutes a substitution of account servicing agent.
C. A substitution of an account servicing agent shall be made by written notice, personally delivered or mailed in the United States mail, first class, postage prepaid, to the purchaser, the account servicing agent and the successor account servicing agent and by recording a copy of the notice with the county recorder of the county in which the real property is located.
D. A notice of substitution of account servicing agent shall be substantially in the following form:
"Notice of Substitution of Account Servicing Agent
The undersigned seller hereby appoints:
_________________________________________________________________________ _________________________________________________________________________ _________________________________________________________________________ successor account servicing agent under that certain contract, by and between _______________, as seller, and _______________, as purchaser, dated _______________, 19____, and recorded (if recorded) on _______________, 19____, in docket __________, at page __________, records of _______________ county, Arizona, covering real property described as follows:
and including personal property described as follows:
Dated this _______________ day of _______________, 19____.
______________________________________
signature of seller
(acknowledgment)"

33-748. Seller's right to foreclose
A. If a contract provides that the seller may elect to accelerate the unpaid principal balance due to seller on the purchaser's failure to pay the monies due under the contract, the seller may only enforce the acceleration by foreclosing the contract in the manner provided by law for foreclosure of mortgages upon real property. If a purchaser is in default under the contract for reasons other than failing to pay amounts due under the contract, the seller may only foreclose the contract as a mortgage in the manner provided by law for foreclosure of mortgages upon real property.
B. If an action to foreclose a contract has been filed, a forfeiture, by judicial process as provided by section 33-744 or by notice as provided by section 33-745, shall not thereafter be completed unless the foreclosure action is first dismissed and a notice of election to forfeit is served in the manner and on the persons provided for in section 33-743.

33-749. Other remedies
A. The seller may maintain an action against any person, including the purchaser, for a claim for relief if damages or injury occurs, or may occur, to the property, including without limitation, an action for damages, or to prevent any of the following:
1. Physical abuse to or distribution of the property.
2. Waste.
3. Impairment of security provided by the contract.
B. An action for recovery of damages under subsection A of this section may be maintained:
1. At any time before the seller elects to forfeit or foreclose the purchaser's interest in the property.
2. Within ninety days after completion of a forfeiture of the purchaser's interest in the property as provided by section 33-745.
3. In conjunction with completion of a forfeiture of the purchaser's interest in the property as provided by section 33-744.
4. In conjunction with the seller foreclosing the contract as a mortgage as provided for in section 33-748.
C. The remedies provided by this article are in addition to and do not preclude any other remedy granted either by the contract or by law which is not inconsistent with this article.

33-750. Conveyance by seller; payment in full; payoff deed
A. A seller who is entitled to payment and who receives full payment of all monies due under the contract shall deliver to the person who made full payment a payoff deed that conveys to the purchaser the real property described in the contract. The deed shall be entitled "payoff deed", shall state that it is being delivered to consummate a contract and shall include the docket and page number or recording number of the contract.
B. For a contract that provides for a purchase price obligation of five hundred thousand dollars or less exclusive of interest, if a seller does not deliver a payoff deed pursuant to subsection A within sixty days of payment in full of all monies due under the contract, a title insurer as defined in section 20-1562 may prepare, execute and record a payoff deed. At least thirty days before issuing and recording a payoff deed pursuant to this subsection, the title insurer shall mail notice of its intention to record the payoff deed and a copy of the payoff deed by certified mail with postage prepaid and return receipt requested to all of the following:
1. The seller of record and the seller's respective successors in interest of record at their last known addresses shown of record.
2. The account servicing agent if known.
3. Any person who received payment in full of the monies due under the contract according to the records of the title insurer at the address shown in the title insurer's records.
C. The payoff deed prescribed by subsection B of this section shall set forth all of the following:
1. The name of the original seller and the seller's successors in interest of record.
2. The name of the original account servicing agent and the successors in interest of the account servicing agent if of record or if known to the title insurer.
3. The name of the original purchaser and any successors in interest of record of that purchaser.
4. The date of recording and docket and page number or recording number of the contract.
5. The date and amount of payment.
6. A statement that the title insurer has actual knowledge that the monies due under the contract have been paid in full.
D. The title insurer or a duly appointed attorney-in-fact of the title insurer shall execute the payoff deed. Any delegation pursuant to this subsection does not relieve the title insurer from any liability pursuant to this section.
E. A payoff deed issued pursuant to subsection B of this section is entitled to recordation and, when recorded, constitutes a payoff deed issued pursuant to subsection A of this section.
F. In addition to any other remedy provided by law, a title insurer preparing or recording the payoff deed pursuant to subsection B of this section is liable to any party for actual damage, including attorney fees, that any person may sustain by reason of the issuance and recording of the payoff deed.
G. The title insurer shall not record a payoff deed if the title insurer receives notice before the expiration of the thirty day period prescribed by subsection B of this section from the seller or account servicing agent that the monies due under the contract have not been paid in full.
H. The title insurer may charge a reasonable fee to the owner of the land or any other person who requests a payoff deed including a fee for performing a title search, document preparation and mailing services and in addition may collect recording or other official fees.