ContractsIntermediateArizona Exam

In Arizona, property management agreements must be:

AVerbal agreements are sufficient for up to 1 year
BIn writing and signed by the property owner and designated brokerCorrect
CApproved by the ADRE before property management begins
DFiled with the county recorder

Why In writing and signed by the property owner and designated broker Is Correct

Answer B: In writing and signed by the property owner and designated broker

Arizona law requires property management agreements to be in writing and executed by the property owner and the designated broker (or their authorized agent). Written agreements protect all parties and define the management relationship.

Exam Tip: Contracts

Contract questions frequently test the essential elements required for a valid contract. Remember: competent parties, mutual consent, lawful object, and sufficient consideration. Watch for void vs. voidable distinctions.

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