Many owners think you are their asset Manager and should take care of everything that has anything to do with their property. You need to make it clear that there are things you can’t (and shouldn’t) take charge of including things like their mortgage, insurance, HOA, utilities, Home Warranties and more. Make it clear up front that you are the property manager and what that doesn’t include. You will eliminate confusion and improve communication if you make this clear before you take on their property. This document begins the process of limiting what the owner expects you to do for your fees. Owner’s love to ask you to manage their HOA’s, Home Warranties, Utilities and more. If you don’t begin this push-back ‘up front’ to put a limit on these requests or demands, you’ll fight with the owner on exactly what it is you do for the fees they pay. They love to ask, “what am I paying you for anyway” meaning ‘you should manage everything that remotely touches their property.’ This document begins that ‘limiting’ discussion. (This is a shorter version of the document posted above called Asset Manager vs Property Manager)
“The longer you’re in property management the more you realize that it’s sticky, often hostile, sometimes even litigious. Over 35 years I’ve been burned many times by owners, tenants, vendors, staff and third parties and after the second or third time (I’m a slow learner) I would go back to the attorney and have her draft a document that prevents it from ever happening again. Blaming property managers has reached an all-time high and isn’t going away anytime soon. So, understanding this reality, smart managers need to spend extra time, money and effort building/crafting documents designed to protect themselves, even from the folks they are trying to serve. We’ve pulled these documents from our archives and have listed them here for your review and downloading individually (or in packages by topic). We’ve laid this material out in the Property Management Life Cycle categories for purposes of giving the discussion some order.
Protecting yourself from Owners is what these documents are all about.
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The Property Management Lifecycle by Crown Investor Institute LLC