1. Property Management

    A property manager is a real estate professional who is hired to maintain property and to be responsible for its profitability

  2. Duties and Responsibilities
    1. Prepare Annual Operating Budget include identification of line items and estimates of amount and time of expense
    2. Propose Budgets for Capital Expenditures and Operating Reserves
    3. Collect Rents, Pay Bills, Maintain Accounts and Report to the owner on Plan vs. Actual expenditures
    4. Maintain property by hiring employees and supervising their work
    5. Establish rental rates by analyzing vacancy rates and market conditions
    6. Select tenants by Advertising, showing property, references and credit checks (may utilize a rental agency)
    7. Guard against insurable losses
  3. Management Agreement
    1. identification of the property and the parties (owner and agent)
    2. define owners purpose
    3. define managers authority and responsibilities
    4. define time period covered
    5. Management Fees (percentage, fixed or other)
    6. Reporting Requirement - what and when
  4. Types of Tenancies
    1. Estate/Tenancy for years
    2. Estate/Tenancy for Period to Period - Estate/Tenancy at Will
    3. Estate/Tenancy at Sufferance
  5. Selection of lease form
    1. Gross
    2. Net (Triple Net - Taxes, Insurance, Expenses
    3. Graduated
    4. Percentage
  6. Insurance Considerations - Lessor/Lessee
    1. Fine and Hazard (windstorm, hail, smoke, civil disturbance)
    2. Business interruption (property cannot be used)
    3. Contents and Personal Property (include off site)
    4. Liability (Landlord Negligence)
    5. Employee Coverage
      1. Workers Compensation Act
      2. Private Insurance
    6. Casualty (theft, burglary, vandalism, health and accident)
    7. Surety bands - employee acts
  7. Condominium Insurance Issues
    1. Master Insurance Policy
    2. Unit Owners Policy
  8. Options
    1. Definition Ex. town approval
    2. Right of first refusal