Arizona · A.R.S. §§42-13301, 42-13302Arizona limited property value: what happens to the tax value when you buy

For Arizona property tax, a property's limited property value is its limited value for the preceding valuation year plus 5% of that value, and it may not exceed the property's current full cash value; it is shown as one total for land and improvements (A.R.S. §42-13301). The limited value is reset to a level comparable to similar properties only in listed circumstances: property omitted from the rolls the year before; a change in physical, objectively verifiable use – but a change in the occupant or classification of a single-family residence isn't, by itself, a change in use; construction, destruction or demolition worth at least 15% of full cash value; a split, subdivision or consolidation from January 1 through September 30 not initiated by a government; loss of senior valuation protection under article IX, section 18(7) of the Arizona Constitution, including when title is conveyed to someone who doesn't qualify; and loss of a statutory valuation (§42-13302(A)). A sale of a single-family home is not on that list, so the limited value continues on the prior year's figure plus up to 5%, unless the seller had senior valuation protection or another listed event applies.