PROPERTY MANAGEMENT AGREEMENT
THIS AGREEMENT is made on [Date],
BETWEEN:
[Owner Name], of [Owner Address] (“Owner”),
AND
[Property Manager Name/Company], of [Property Manager Address] (“Manager”).
WHEREAS
- The Owner is the lawful owner of the property described below;
- The Owner wishes to engage the Manager to manage the property on the terms set out in this Agreement;
- The Manager agrees to provide property management services for the Owner under these terms.
NOW, THEREFORE, in consideration of the mutual promises and covenants contained herein, the parties agree as follows:
1. PROPERTY DETAILS
1.1 The property subject to this Agreement is located at:
[Property Address] (“Property”).
1.2 Description of Property:
[Brief Description of Property, e.g., type, number of units, etc.]
2. APPOINTMENT AND AUTHORITY
2.1 The Owner hereby appoints the Manager as the exclusive agent to manage, operate, control, rent, and lease the Property.
2.2 The Manager accepts the appointment and agrees to perform the services set forth in this Agreement.
3. TERM
3.1 This Agreement shall commence on [Effective Date] and continue until [End Date or “terminated in accordance with this Agreement”].
4. MANAGER’S DUTIES
4.1 The Manager shall, on behalf of the Owner:
- Advertise, show, and lease the Property to tenants;
- Collect rent and other payments;
- Handle tenant inquiries, complaints, and requests;
- Arrange for necessary repairs and maintenance;
- Pay property-related expenses from collected funds (e.g., utilities, repairs, taxes, insurance) as authorized;
- Maintain accurate records of all financial transactions and provide statements to the Owner [Monthly/Quarterly];
- Enforce lease terms and initiate legal proceedings for eviction or collection if necessary, with Owner’s approval;
- Perform other duties as mutually agreed in writing.
5. OWNER’S RESPONSIBILITIES
5.1 The Owner shall:
- Provide all necessary information and documentation regarding the Property;
- Maintain adequate insurance coverage for the Property;
- Approve or reimburse Manager for all authorized expenses incurred in management;
- Indemnify and hold Manager harmless from any claims, except those arising from Manager’s gross negligence or willful misconduct.
6. MANAGEMENT FEES AND EXPENSES
6.1 The Owner shall pay the Manager a management fee of [Percentage]% of gross monthly rental income OR [Flat Fee Amount] per month.
6.2 Additional fees (if any):
[List any additional fees, e.g., leasing fee, renewal fee, etc.]
6.3 The Manager is authorized to deduct fees and expenses from collected rents before remitting the balance to the Owner.
7. RENT COLLECTION AND REMITTANCE
7.1 The Manager shall collect all rents and other payments due from tenants.
7.2 After deducting management fees and authorized expenses, the Manager shall remit the balance to the Owner by [Method of Payment] no later than [Day] of each month.
8. REPAIRS AND MAINTENANCE
8.1 The Manager shall arrange for ordinary repairs and maintenance up to [Authorization Limit Amount] per occurrence without Owner’s prior approval.
8.2 For expenses exceeding this limit, the Manager shall obtain the Owner’s approval before proceeding, except in emergencies.
9. TERMINATION
9.1 Either party may terminate this Agreement by giving [Notice Period Days] days’ written notice to the other party.
9.2 Upon termination, the Manager shall promptly deliver to the Owner all keys, records, and funds relating to the Property.
10. LIABILITY AND INDEMNIFICATION
10.1 The Manager shall not be liable for any loss or damage to the Property except as caused by the Manager’s gross negligence or willful misconduct.
10.2 The Owner agrees to indemnify and hold the Manager harmless from all claims, liabilities, or expenses arising from the management of the Property, except those resulting from the Manager’s gross negligence or willful misconduct.
11. NOTICES
11.1 All notices under this Agreement shall be in writing and delivered to the parties at their addresses stated above (or such other address as notified in writing).
12. GOVERNING LAW
12.1 This Agreement shall be governed by and construed in accordance with the laws of [Governing Law State/Country].
13. ENTIRE AGREEMENT
13.1 This Agreement constitutes the entire agreement between the parties and supersedes all prior understandings or agreements, whether written or oral, relating to the subject matter herein.
13.2 Any amendments must be in writing and signed by both parties.
14. SEVERABILITY
14.1 If any provision of this Agreement is found to be invalid or unenforceable, the remaining provisions shall continue in full force and effect.
15. ASSIGNMENT
15.1 Neither party may assign or transfer this Agreement without the prior written consent of the other party.
16. DISCLAIMER
This document is a template and may not be suitable for all situations. The parties should consult with legal counsel before signing this agreement.
SIGNATURES
IN WITNESS WHEREOF, the parties have executed this Property Management Agreement as of the date first written above.
OWNER:
Name: ___________________________
Signature: ________________________
Date: ____________________________
MANAGER:
Name: ___________________________
Signature: ________________________
Date: ____________________________
