Quote Quoting KK85296
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This home is 6 years old and has never been painted other than the original contractor-grade paint from when it was built. This paint was so cheap that it would literally rub off into white dust on your hands if you touched the wall (yuck!).
That sounds more like a coat of primer than a coat of paint. (The stuff you put over the drywall before you put on a coat of actual paint.)

Here's an article on security deposit law in Arizona. (Here's another.) The two standard arguments you make to a claim for the cost of repainting a home is that (1) any damage to the paint was "ordinary wear and tear" that you're not responsible to pay for, and (2) to the extent that it's not, the most you can be liable for is the depreciated value of the paint, not the full cost of repainting the home. (For example, if new paint costs $1,000 and the paint is expected to last ten years - a long time for a rental - using straight-line depreciation after six years the paint would only be worth $400.)

I would urge any tenant moving out of a rental unit to take lots of pictures of the premises at move-out, to document that the unit is in good condition.