A property management agreement is a formal contract that grants a property manager the authority to oversee rental property operations on a landlord's behalf. This agreement serves as the foundation of the manager-landlord relationship, clarifying the scope of services, financial arrangements, and expectations.
The management agreement is the employment contract for a property manager. The owner is the principal and the property manager is the general agent in this agreement, which creates an agency relationship between the parties.
A property management contract clearly defines the relationship and expectations between you as the property owner and the management company you hire to oversee operations. It designates authority, ensures transparency on fees/payments, and provides legal protections if issues arise.
A property manager becomes an authorized representative when the property owner & manager execute a legally binding property management agreement, a legal contract that details a manager's responsibilities and the owner's expectations regarding the property's managerial tasks.
A Management Agreement is a contract between a property owner and a designated manager that outlines the responsibilities and expectations of both parties in managing the property. It typically covers tasks such as rent collection, maintenance, repairs, and tenant communication.
For property tax purposes in Arizona, business personal property is defined as all types of property except real estate. Taxable personal property includes property used for commercial, industrial, and agricultural purposes. Personal property is considered to be movable and not permanently attached to real estate.
Arizona demands that property managers hold a real estate broker's license to legally engage in property management. Securing this license involves finishing 90 hours of education, a 6-hour contract writing class, passing a rigorous state exam, and undergoing a comprehensive background check.