AZ SB1400

Establishes a foreclosure mediation program in the administrative office of the courts overseen by the Arizona Supreme Court for nonjudicial foreclosures of deeds of trust on owner-occupied residential property.

Requires mandatory mediation that addresses reinstatement, loan modification, and debt restructuring using federal deposit insurance corporation loan modification program calculations and forms, with confidential communications that cannot be used in subsequent legal proceedings.

Mandates that beneficiaries provide trustors with loan balance statements, copies of note and deed of trust, payment history, appraisals, and explanations of any loan modification denials at least ten days before mediation.

Stays all foreclosure action and related court processes during mediation, with all fees and costs frozen from the scheduled mediation date until the court records notice that program requirements have been satisfied.

Program terminates July 1, 2023 pursuant to sunset provisions, and applies only to owner-occupied residential properties where a notice of sale has not been recorded before the bill's effective date.