Download free, fully‑editable Property Management Agreement templates in Microsoft Word. Includes residential, commercial, vacation‑rental, HOA and more—plus a step‑by‑step guide. You can explore all of our Agreement Templates to find one suitable for your requirements.
Having a rental property, an HOA board, or a short-term lease business is someone’s headache for only the initial stages of the procedure as the hardest part is finding someone who can effectively run the property. With the Property Management Agreement, what the manager is allowed to do and what he or she is going to do for how much, when and how they are remunerated, and the level of service that is going to be delivered to the owner are explicitly specified.
What Is a Property Management Agreement?
A Property Management Agreement happens to be a deal agreed upon by a proprietor or an association with a professional manager or a management company. It consists of outlining services that the manager will engage in such as advertising of vacancies, tenant selection, rent collection, maintenance handling, bill payment and preparation of financial reports. It also indicates how the services will be paid for, whether it’s a flat rate every month, a proportion of rent collected, or a combination of the two, including any extra fees like capital improvement manager’s fee or eviction agent’s fee. What is critical is that the document outlines the manager’s scope of representation of the owner, the record-keeping principles, the period the relationship is envisaged to last, the termination notice period, and remedies for non-performance by either party. Importantly, by putting these components in writing, this agreement serves to secure the owner’s interest(s), establishes the manager’s duties and responsibilities, and provides a framework for dispute resolution where necessary.
How to Use a Property Management Agreement Sample in Word?
Open the associated file in the Word program, and carefully go through each section in the file to comprehend its intent. Begin by replacing every field in the form—mostly that are in brackets like “[Owner Name]”, “[Property Address]”, “[Management Fee]” and “[Effective Date]”—with the actual terms of the agreements. Pay attention to where the duties of the manager are explained and to where the obligations of the owner are specified (the scope of maintenance of insurance by the owner for instance and the capital improvements fund).
In the case where there is a performance standard incorporated within the agreement, ensure that the rates of occupancy and the management response time or others are all in line with the agreement. When the document is concluded in such a way that it speaks to reality, it is necessary for each party to seek legal counsel specifically to assess the compliance of the document with the residential laws in the state, licensing laws for property managers in the United States and any homeowners’ or other associations where applicable. After everything, print out two copies, both the two parties should sign, without forgetting the required witnesses or a notary if the contract requires such notarization and keep the hardcopies in a save place, but keep a softcopy, a PDF, that is searchable.
Here are preview and download links for these Property Management Agreement Templates in MS Word format.
Popular Types of Property Management Agreements
Choosing the right property‑management template starts with a clear picture of the asset type, the size of the portfolio, and the level of authority you wish to grant the manager. The market offers several standard formats, each built to address a particular set of circumstances. Below is a narrative overview of the most frequently used Property Management Agreement types, allowing you to identify which model—or which combination of clauses—matches your needs.
Residential Property‑Management Agreements
The given management agreement is available for those who own only one unit, a two‑family house, a townhouse or a mid‑sized multifamily structure. The fundamentals of the template are concerned with activities such as rent collection, turning out the lease, evaluating a tenant, coordinating basic repairs and generating financial statements on an as‑needed basis. As the tenancy law is highly regulated on the State, level, the Property Management Agreement contains a provision on habitability standards, taking care of security deposits, and organization of eviction orders which way, safeguards the owner from the statutory risks.
Commercial Property‑Management Agreement
In the case where the Property Management entity is addressing an office building, shopping center, industrial complex or mixed development for tenancy, Commercial Property Management Agreement shall be deemed to be most relevant. In this regard, commercial leases do not provide for provisions of short periods or repairs within leased spaces and matrices, therefore, the template is an expanded version of the residential one in that it includes CAM, reimbursement of taxes and the obligation of the manager to enforce commercial lease covenants such as use restrictions and pre-approval for signage. There is also a frequently encountered “budget approval” provision which obliges the manager to prepare a budget for the operating activities of each year and take the approval and review of the owner before costly expenses are incurred.
Vacation‑Rental Management Agreement
Property Management companies or individuals that lease out holiday homes, lodges, or vacation units owned by someone else on websites such as VRBO and Airbnb, the Vacation‑Rental Management Agreement prepares for on the other hand frequent steps for more demanding clientele. A Management Template specifies the roles of the manager in the linear pricing, booking guest, providing after‑checkout cleaning and observing in order to avoid breaking local short-term rental laws (such as licensing, occupancy limitations, transient occupancy taxes). The commission of the manager is likely to be higher in such situations than a simple fixed fee because of the manager’s efforts in increasing the balance use and the average daily rates- The commissions is often graduated to gross rentals since income typically varies from month to month.
HOA Management Agreement
The boards of homeowner-associations that delegate everyday management to a property management company use a Property Management Agreement. This version deals with such services within the community level as collection of association fees, common facilities – pools, landscapes, security, enforcement of the restrictions and covenants, procedure on architectural review, and yearly preparation of the budget for submission to the Board. In most cases, the agreement obligates the manager to possess an appropriate fidelity bond and also to submit such quarterly financial reports which conform to GAAP for non-profit organizations thus assuring conscious usage by association members.
Portfolio‑Management Agreement
Where an individual has several houses located in different places, in cases such as these, Portfolio‑Management Agreement encompasses all the properties into a single or a few Properties Management Agreements but allowing detailed annexes for individual properties. The document provides as a schedule, the basic mode of management fee – usually a share of the gross income produced – and allows for each property’s schedule showing different service levels – e.g., one site like a mini storage that needs security from 7-24, and another a residential property that requires inspecting once every three months only. This particular method assists the management program at the same time enabling targeting the particular investments where special attention is needed.
Limited‑Authority Property‑Management Agreement
It is not unusual for owners to want to limit the manager’s scope of responsibility to certain areas such as rent collection and arrangement of regular maintenance. They may want to handle lease agreements and changes in building shape all by themselves. The Limited Authority Property Management Agreement clearly details these responsibilities which the owners reserve from the manager and vice versa, without a prior written agreement. It is appropriate if the owner wishes to keep his/her property management responsibilities or when certain activities of Property Management require a license below the manager’s qualification sought (example performance of delicate construction).
Lender‑Approved Property‑Management Agreement
A Property Management Agreement is a contract between a property owner and a management company for managing the property for a certain fee. This management company might oversee day‑to‑day operations such as collecting rent and ensuring the property is maintained and repaired. In situations whereby the property is secured with charged assets and there is a need for the lender to oversee the management of the charged assets in situ such a Lender-Approved Property Management Agreement provides for example that the manager shall on a monthly basis submit rent-rolls, insurance certificates or loan covenant satisfaction. Moreover, the agreement could extend as far as granting the lender the power to vet any proposed expenditure in the annual budget by the manager or allow sending the copies of the default notice to the lender.
One‑Page Property‑Management Agreement
Last, available is also a One page Property Management Agreement that makes it very easy for those owners who want a very small, simple and succinct contract to sign for let’s say, a month to month caretaker for their summer home. Here in, all the basic details (like the description of services, the amount of fees, the period of time, the termination clause) are presented in one sheet thereby making it simple even for electronic purposes.
The landlord should be wary about giving leases and rental contracts or agreements to prospective tenants. Before doing so, he or she should first check with local authorities as to whether such a contract is legal in his or her locality. If the contract is found to be illegal, then the agreement should be canceled immediately. For new businesses, owners should also check if the local government or municipality has established any rules or regulations for business permits. Business owners can look for this information on the Internet. Once legal, all parties involved in the property deal should draft their contract based on the agreement.
In a nutshell, these agreement samples will outline the terms and conditions between the landlord and tenants conveniently. However, if as a tenant you are looking for a subtenant then you can also check out the quality subleasing agreement layouts to set mutually agreed subleasing terms and conditions to protect each party’s rights.
