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Property Management

DEFINITION

Real estate business that is responsible for maintaining, managing, collecting rent, and performing the day to day operations for rental properties. Duties are either managed by a professional management company or individual party.

EXPLANATION

All types of property can be managed by a property management company. A property management company will help manage the repair of the property, collect rental payments, speak directly to tenants, negotiate new contracts, evict tenants and deal with other issues that may arise in the process of a real estate lease. Property management companies are in high demand, especially for owners of multiple properties, property owners who live in areas not adjacent to the rental property, and property owners otherwise retired.

The property manager can either retain a fixed monthly fee, a fixed monthly fee plus a portion of the total earnings of a building, or a percentage of the total rent collected. Fees and charges paid to the property manager or property management company are subject to negotiations between the property owner and the person or firm he or she decides to employ.

Owners of real estate may hire an individual property manager, employ a management firm, or conduct management duties by themselves.

Property Manager Duties

Lease units

Collect rental payments

Negotiate new contracts

Evict tenants

Handle complaints

Maintain communications on behalf of the property owner

Handle logistical processes of maintaining the property

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