Property Management
Property managers operate real estate on behalf of owners, handling leasing, maintenance, and finances. This chapter explains the management relationship, the manager's duties, and key legal responsibilities such as fair housing and habitability. A property manager acts as an agent of the owner and owes fiduciary duties.
The Management Agreement and Duties
A property management agreement establishes the manager as the owner's agent, defining authority, compensation, and responsibilities. The manager owes fiduciary duties, including loyalty and full accounting for the owner's funds. Typical duties include marketing vacancies, screening tenants, collecting rent, and arranging maintenance. The manager must keep accurate records and remit funds to the owner as agreed.
Leases, Fair Housing, and Habitability
Managers negotiate and enforce leases, which set the terms of tenancy and the rights of both parties. Fair housing laws apply fully to rentals, so managers must avoid discriminatory advertising, screening, or treatment. Owners must maintain habitable premises and handle security deposits according to law. Balancing owner goals with tenant rights and legal duties is central to good management.