Property Management Agreement Document For Short Term Rentals
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FAQ
An example of a management contract is a contract between a hotel owner and a management company where the management company runs the daily operations of the hotel on behalf of the owner.
Notwithstanding any sub-contracting, the Manager shall remain primarily responsible for the acts and omissions of its agents or sub-contractors as though such acts or omissions were its own and the Manager shall fully indemnify the Landlord and keep the Landlord fully indemnified against each and every action, ...
It outlines how that company will run the rental property's daily operations. Therefore, this document aims to define what services are the responsibility of the property manager and what tasks remain with the owner. Additionally, this agreement will include any applicable fees for these services.
The common standard term for a management contract is typically between one and five years, but this can vary depending on the specific needs and goals of the parties involved.
In Kenya, the top property management companies charge property management fees of between 5% to 10% of the gross rent. For example, if a property owner collects a rental income of kshs 250,000 per month, the firm gets 12,500 kshs to 25,000 kshs in management fees (see table below for more examples).