Home Warranty Disclosure and Agreement
We’ve all figured out that a home warranty is the curse to the property manager and yet owners still come to us with these already in place. What to do? When you discover one you need a document explaining how you manage home warranties and warn the owner that they can’t just pass them on to their property manager. Since THEY are the customer to the warranty company you need a disclosure document making it clear who’s doing what when it comes to communicating with the warranty company and how the warranty makes managing so much more difficult. When they insist on YOU managing it, you’ll need a limited power of attorney for them to execute so you have complete authority to manage the warranty claims while managing the property, AND the charges you’ll make when you have to manage the claims. This is a VERY BIG CYA issue and will naturally create lots of chaos so be sure you have the tools to manage it properly and profitably.