You Need A Property Management Agreement

Property Management Agreements

Property Management Agreements are Necessary

Whether you are an investor with multiple rental properties who hires a property manager or a homeowner who decides to have a friend manager their property, you need you need to have a management agreement.

While this can be a positive move, many times it can set the stage for a disaster waiting to happen–if there is no adequately signed rental agreement, better known legally as a property management agreement.

Our article below covers various methods to protect yourself by using a signed rental agreement and it will lessen the chances that anything goes wrong as a property owner or property manager.

What Things Can Go Wrong?

Virtually, anything.

  • Late rent payments
  • Injury on the property
  • Foreclosure
  • Fire
  • Unauthorized repairs or modifications

How Can These Situations Be Avoided?

Many of these scenarios can easily be avoided by stipulating a manager’s job description along with their responsibilities–mutually signed by the property owner and the manager both.

What Should A Property Management Agreement Include

  • Duties performed by Management
  • Services and Fees
  • Dealing with Fees
  • Equal Housing Opportunity
  • Liability
  • Manager’s Legal Liability
  • Owner’s Responsibilities
  • Term of Contract and Grounds for Termination
  • Handling Eviction Proceedings

Property management rental agreements are not expensive nor difficult to write. However, statutes vary from state-to-state. If you have trouble writing one, then an attorney or someone well-versed in real estate matters may help you. For a free example visit: https://www.rocketlawyer.com/document/property-manager-agreement.rl

 

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