The Department’s Auditors are tasked with ensuring Broker compliance with the Arizona Revised Statutes (A.R.S.), Title 32, Chapter 20, et al, and the Commissioner’s Rules [Arizona Administrative Code (A.A.C.), Title 4, Chapter 28, et. al] through the performance of random Broker Audits. While education is not the primary purpose of a Department Audit, the Audit Report and Auditing staff provides information to Brokers to assist the Brokers in coming into compliance with the applicable statutes and rules whenever possible.

During a Department Audit, the Auditing staff will review, but are not limited to reviewing:

1. Signage and license display

• A.R.S. § 32-2126(B)

• A.R.S. § 32-2127(B)

• A.R.S. § 32-2128

2. Employee files

• A.R.S. § 32-2151.01

3. Broker’s operating and/or commission account

• A.R.S. §32-2155

• A.R.S. § 32-2163(A) & (B)

4. Broker’s Policy and Procedure Manual

• R4-28-1103(A)

5. Delegations of Authority for Broker duties and Broker Temporary Absences

• A.R.S. § 32-2151.01(G)

• A.R.S. § 32-2127(D)

• R4-28-304(B)

6. Sales, Listing, Leasing and/or Property Management Logs

• A.R.S. § 32-2151.01(E)

• A.R.S. § 32-2175(E)

7. Sales files for completeness and timely documented broker review

• A.R.S. § 32-2151.01

8. Transactions in which licensees acted as a principal

• R4-28-1101(E)

9. Property Management Agreements

• A.R.S. § 32-2173

10. Broker Trust bank accounts, including bank statements and monthly trust account reconciliations

• A.R.S. § 32-2151

11. Client and Tenant Ledgers, Liability Balances and Monthly Reports

• A.R.S. § 32-2175(C)

12. Checkbook register (receipts and disbursement journal)

• A.R.S. § 32-2151(B)(2)

13. Trust Account signature cards

• A.R.S. § 32-2174

RELEVANT STATUTORY PROVISIONS

Regulatory Bill of Rights; Small Businesses: A.R.S. § 41-1001.01 (link is external) 

Inspections and Audits; Applicability; Exceptions: A.R.S. § 41-1009 (link is external) 

To contact the Auditing Division, click here.