Does this agreement transfer ownership or require county recording?

This agreement appoints a manager and allocates service responsibilities; it is not a deed or title-transfer instrument. Do not use deed-recording fees, transfer-tax calculations or a universal notarization requirement as its signing instructions. A separate transaction or authorization can have its own formalities.

Can an unlicensed person manage the property?

That depends on the state, exact activities, compensation and any applicable exemption. Verify with the regulator before services begin. The builder records the actual license or exemption; the contract does not grant a professional license.

How are fees and client money handled?

Select the actual services and negotiated owner-paid charges. Choose whether Manager holds funds or payments go directly to Owner or another custodian. Earned management fees may not be taken from tenant deposits or other restricted funds.

Does the form choose screening criteria or arbitration for us?

No. Enter the reviewed screening criteria when tenant placement is selected. Binding arbitration requires an explicit choice and confirmation; the optional liability cap is off unless selected.

Is the sample a completed agreement?

No. Replace placeholders, verify coverage and authority, attach any schedules and review the selected services, funds, fees, insurance and dispute terms. Both parties must review and sign the actual agreement.

Free Property Management Agreement Form - Legal Template

Property Management Agreement

A property-management agreement appoints a manager to perform identified services for an owner. It should describe the actual property, parties, term, licensing basis, authority and limits. It does not transfer ownership or authorize a person to perform work that requires a license they do not hold.

Choose residential, commercial, industrial, mixed-use, short-term rental or special-purpose operations to match the intended use. Mixed-use and special-purpose properties need a clear allocation of which units, activities and operators are covered.

Select services and owner-paid fees

Select tenant placement, lease signing, rent collection, maintenance, inspections or the other services actually agreed. Define the maximum lease term and minimum rent when lease negotiation is included. State when placement and renewal fees are earned instead of accepting a prefilled commission.

Owner-paid compensation does not authorize charging the same fee to applicants or tenants. Set separate emergency and ordinary repair limits, vendor markups, insurance amounts and reporting duties. A spending limit cannot excuse mandatory safety duties or permit using protected tenant funds.

Client funds and security deposits

Decide who receives and holds rent, deposits and operating funds. When Manager has custody, specify the bank and required account structure, beneficiary ledgers, monthly reconciliation, reserve and Owner distributions. When Owner or another custodian holds funds, direct payments there and remove Manager rent-collection authority.

Write the actual deposit plan: holder, account, notices, interest, inspections, records, permissible deductions and return/claim deadlines. A management fee is not a tenant deposit deduction. Transfer to a new manager does not reset tenant deadlines or remove required notices.

Coverage and applicable law

Determine the licensing and operational requirements for the actual property, services and tenancy. Separate residential units from commercial premises, regulated housing and lodging. Identify local permits, rent regulation, deposit rules and screening procedures; no nationwide default replaces that review.

Use actual written screening criteria and complete any required preliminary notices, accommodations, conditional-offer or criminal-history process. A report-based denial or less favorable offer may require FCRA notices; a commercial applicant’s personal report still needs a permissible purpose.

Check lead disclosure and renovation requirements separately. A small repair is not automatically exempt from lead-safe rules, especially where windows, demolition or prohibited practices are involved. Apply tax-reporting thresholds for the actual year and payment type; reportable rents and service compensation do not use the same form in every case.

California DRE trust-fund records guidance

California management services can implicate broker licensing and trust-fund rules independently of the tenancy type. For covered housing, check Civil Code §§1950.5 and 1954 for deposit and entry procedures and determine AB 1482 coverage rather than assuming every property is covered. Keep beneficiary ledgers and monthly reconciliations; an owner’s fee agreement does not authorize taking tenant deposits.

New York General Obligations Law §7-103

New York deposit trust rules are in General Obligations Law §§7-103 and 7-108, not Real Property Law §227-e. Account, interest, cap, inspection and return duties depend on coverage. Identify regulated units and applicable renewal/registration rules. New York City criminal screening also has a separate Fair Chance Housing sequence; an agreement cannot replace its notices and response periods.

Texas Property Code Chapter 92

For Texas housing, verify the Chapter 92 deposit process and the tenant’s forwarding-address obligations. Section 92.0081 concerns removal of property and exclusion of a tenant; it does not supply a general entry-notice period. Review the actual lease and applicable law for entry. Check the manager’s licensing authority and any exemption for the particular activity.

Florida Statutes §83.53

For covered Florida housing, §83.53 defines reasonable notice for repairs as at least 24 hours, with reasonable repair hours of 7:30 a.m. to 8:00 p.m. Consent, emergencies, preservation and absence have separate provisions. Section 83.49 separates a 15-day no-claim return from a 30-day claim notice and later objection/refund steps. Do not turn either deadline into a blanket return rule.

Illinois Security Deposit Return Act

Illinois damage deductions generally require an itemization and supporting receipts within 30 days of the later of vacancy or the end of possession rights, subject to estimate rules. If the required statement and receipts are not furnished, the statute requires a full refund within 45 days after vacancy. Chicago and other local ordinances have additional rules and coverage exceptions; separately check accounts, interest, entry and required summaries.

Massachusetts deposit and rent guidance

Massachusetts treats security deposits and last month’s rent separately. A security deposit generally requires a separate interest-bearing account in Massachusetts and prescribed receipts, condition statements, interest and return procedures. Last month’s rent has its own receipt and interest duties. The management agreement does not cure prior violations or let the parties waive tenant rights.

Review the actual agreement

Confirm license status or the exemption before work begins, identify the covered property and attach operational schedules. Review insurance, indemnity, termination, handover, dispute resolution and the optional liability cap with both parties.

The contract allocates duties between Owner and Manager. It does not remove obligations either has directly under law, waive tenant protections, establish that a notice was served, or certify that the property complies with every rule.

Sample and builder

The sample illustrates the agreement with placeholders. Select services and supply real facts to generate the actual contract. Commercial and industrial clauses address the selected operations; covered-housing reminders should not be imported automatically into a commercial tenancy.

Free Property Management Agreement Forms