Frequently Asked Questions
SET UP FEES: A one time NON-REFUDABLE set up fee of $200 is charged for the first new managed property and $80 for each additional property and will be paid BEFORE services are initiated.
BROKERAGE FEES: Owner agrees to pay Broker a fee or fees for services rendered at the rates set forth in the management agreement. Owner recognizes Broker as agent in charge of any negotiations relative to the property, which may have been initiated during the term, noted in the contract, and shall compensate Broker in accordance with the rates set forth in the contract. Such compensation is due and payable on demand and may be deducted by the Broker from financial receipts. A management fee of 10% of normal rents collected monthly and 50% of any late charges.
LEASING: To advertise the availability for rent of the property and to display “For Rent” or “For Lease” signs; to execute leases for terms not to exceed one year, renewals, or cancellations of lease relating to the property; to terminate tenancies, and to sign and serve for the Owner such notices as Broker deems appropriate; to institute legal actions in the name of the Owner to evict tenants and recover possession of the premises, to recover rents and other sums due; to settle compromise and release such actions.
PRICE DETERMINATION: The described property shall be rented for a price determined by comparison with recently rented comparable properties in the surrounding area.
RENTS: Broker to collect rents and to collect and disburse security and other deposits and all receipts collected for Owner in a trust account with a qualified banking institution, but Broker shall not incur any liability for bankruptcy or failure of the depository.
ESCROW OF SECUITY AND OTHER DEPOSITS: Broker to deposit security and other deposits into a trust account maintained by the Broker for the receipt of security and other deposits with the specific agreement by Owner (evidenced by signature) that any interest earned on such trust account shall accrue to the benefit of Broker.
MAINTENANCE: Broker to employ, supervise and discharge all labor required for the operation, maintenance and safety of the property.
REPAIRS: Broker to take charge of repairs, decorating and alterations, and to purchase supplies. Broker agrees to obtain Owner’s prior authorization for any and each expense item in excess of $250.00 except monthly or recurring operating charges or emergency repairs, or in the event the Owner is not reasonably available for consultation, if the Broker deems such expenditures in excess of this amount necessary for the protection of the property from damage or to perform services to the tenants provided for in their leases.
DISBURSEMENTS: All sums in excess of the minimum trust amount to be transmitted to Owner monthly.
MONTHLY STATEMENTS: Broker will render monthly itemized statements of receipts, charges and accruals, and to remit to Owner receipts minus disbursements and accruals for future expenses. In the event disbursements shall exceed receipts,
Owner shall promptly remit such excess to the Broker. Owner assumes full responsibility for the payment of any expenses and obligations incurred in connection with the exercise of Broker’s duties.
CANCELLATION: Broker may cancel this management agreement simply by serving written notice to the Owner at least 30 days prior to the desired final date of management.
SERVICE CONTRACTS: Broker to execute contracts for utilities and services for the operation, maintenance and safety of the property, as the Broker shall deem advisable and or necessary. If the property is under a home warranty, Broker will contact the home warranty company for service.
