When owners connect with property managers they bring preexisting relationships with them (third parties they have already established a relationship with where the owner is the customer). Examples might include relationships like mortgage companies, insurance carriers, pest control companies, weed control providers, HOA relationships, builder/home/appliance warranties, tax assessors, code enforcement officers, and many more. The problem is, the owner doesn’t know that you can’t take over those relationships because they are the owner’s pre-existing third party relationship.
Owners love to bully managers into taking on the management of those relationships because they are time consuming and often aggravating to deal with. They naturally think you are supposed to pick up the management of these relationships. After all, aren’t you the property manager? Isn’t that what they are paying for? They aren’t being mean, they just don’t know what a property manager does (and doesn’t do) for their fee so you need to educate them.
“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.
Download (PDF, 417KB)
The Property Management Lifecycle by Crown Investor Institute LLC