Management FAQs

Property Management

Compensation and Expenses

Management Agreement

Security Deposits

Collection of Rents and Other Receipts

Owner’s Portal

End of Year Statements

Mortgage Payments

Homeowners’ Insurance

Home Warranty

Tenant Screening/Qualification

Inspections

Repair and Maintenance

Smoking

Pets

Furnished Properties

Property Management

• Stay current on all federal and state property laws
• Aggressively market your property
• Screen all tenants
• Make sure the tenant is properly maintaining your rental
• Conveniently collect and disperse fair rental payments
• Simplify all your property management concerns

$300.00 Set-Up/ Advertising Fee. One time charge payable at time of contract signing

• Advertising Fee Includes:
• Interior/Exterior Property Marketing Photos
• Property Comparables
• Installation of electronic lockbox
• Installation of rental sign
• Listing ads on MLS and 100+ rental websites
• Rental comparables will be provided to determine the list price of your home


MANAGEMENT SERVICES

• The greater of 10% of gross rent receipts OR minimum monthly commission of $100.00
• For multi-unit clients, please contact our office for discounted rates
• Management Fee is only collected once a tenant is secured
• Management Fee is automatically deducted the 1st of the month
• RPM will maintain all contractor invoices, utilities, property taxes, HOA, pool and landscape maintenance. Unless otherwise specified.
• Respond to all maintenance requests.
• Reply to any HOA violations.
• Accounting services.

LEASING FEE

• Leasing Fee is a one time charge and is charged when a tenant is secured
• Fee can vary between $200.00 and $300.00
• Tenant Screening Process
• Includes Tenant Move in Photos and DVD Walk-Through
• Copies of Executed Documents
• Set up all account information including all accounting, ach, etc.
• Set up Owner Portal access

LEASE RENEWALS

- Lease Renewal Fee is charged only when a tenant renews their lease.
- Fee can vary between $200.00 and $300.00
- Upon Lease renewal a new property inspection will be completed. Inspection included new photos for the owner.
- Copies of Executed Documents

REFERAL COMMISSION

- $300.00 TO $1000.00, depending on the property
- Commission is paid to the realtor who referred the accepted applicant.

INITIAL DEPOSIT AND RESERVES

- Reserves amount for most properties is $300.00 however it can vary for larger homes.
- Reserves are started and deducted from tenant’s 1st month’s rent
- Reserves are enabled for broker to pay obligations of the owner
- Owner shall maintain the reserves amount stated in contract at all times.

Example of Expenses:
- $300.00 due at time of signing for set-up/advertising
Qualified tenant accepted:
- $1500.00 1st Month's Rent received
- $200.00 Leasing Fee
- $150.00 Management Fee (10% of Rent)
- 300.00 Referral Commission
- 300.00 Reserves Account
Owner's 1st wire/ check to be roughly $550.00

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Management Agreement


- Owner employs broker as the sole exclusive agent of the Owner to manage the property upon terms and conditions provided.
- Term shall be for an initial period of 1 year
- Agreement automatically extends 1 month past the expiration lease agreement

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Security Deposits


- Security Deposit Trust Account, Broker shall maintain a separate Security Deposit Trust Account for security deposits, cleaning, pet and other deposits
- Deposits are based on the monthly rental amount and the credit status of the tenant up to three times the monthly rent amount.
- Deposits are refunded to tenant at end of lease expiration
- Deductions from Security Deposits can include general cleaning, carpet cleaning, maintenance and repairs, unpaid utilities, landscaping, painting, etc.

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Collection of Rents and Other Receipts


- Rent is due the 1st of each month and considered late after the 3rd.
- Eviction Proceeding commence the 8th of each month until tenant has made prior arrangements.
- Disbursement of Owner's funds are sent by Direct Deposit or Check by mail.
- Owners set up via Direct Deposit typically receive funds on or before the 10th of each month.
- Paper checks are mailed by the 13th of each month and can take up to 5 business days to receive.

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Owners Portal


- Owners can access their monthly accounting statement through the online owner’s portal at anytime. Statement will include rents received, deducted management fees and any other expenses.
- Owners can contact their account manager for copies of any work orders or invoices.
- RPM will post updated statements by the 15th of each month.
- For access see home page of website

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End of Year Statements


- Year end statements provide a complete account summary of each transaction posted on your account during the year.
- Statement will be mailed with your 1099 and can also be accessed through your online owner’s portal.

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Mortgage Payments


- Mortgage Payments are not maintained by RPM.

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Homeowners Insurance


- It is recommended that you contact your current Insurance provider to upgrade your policy to include renters insurance. Please provide a copy of your policy for our records.

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Home Warranty


- The best defense against costly repairs is to purchase a good home warranty plan.
- Home Warranties can cover structural, plumbing, appliances and electrical repairs. Coverage depends on the Home Warranty plan purchased.
- Home Warranties deal with their own preferred vendors.
- Service Charges apply should the Home Warranty be called to the home for any repairs.

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Tenant Screening/Qualification


A complete background check includes verification of current and previous tenant history, current and previous employment, credit history, contact personal references, and to receive any criminal history information pertaining to the applicant that may be found in federal, state, or local criminal justice agency files and to verify any other information deemed necessary to fulfill the tenant requirements.

Some of the criteria used in qualifying prospective tenants include credit rating of 600 or above, dependable rental history and applicant’s income to be at least three times the monthly rent. If applicant does not meet the standard requirements, an additional security deposit may be requested up to triple the amount of the rent. Owner will also have the final decision in the approval process.

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Inspections


The property will have an initial inspection at the time a property management agreement is signed. The purpose of the initial inspection is to help the owner lease the rental property in a seamless and timely manner. Some suggestions may be having the carpets professionally cleaned, clutter free, freshly painted in neutral colors, landscaping maintenance, etc. The more preparation done up front the less the applicant will request prior to occupancy.

Upon approval of applicant a tenant move in inspection will be conducted. Results from this inspection will be provided to you for your records and will include detailed property photos and a DVD Walk-Through. These are for informational purposes only and not to be used for marketing.

After tenant occupancy an inspection will be done within 60 to 120 days to observe the condition of the home.
Additional inspections are done if an HOA violation arises that has not been properly taken care of by the tenant and requires additional attention.

Inspections will also be completed should tenant decide to renew lease for another year or upon vacancy of the property.
Additional inspections may be conducted at the request of the owner and may require an additional fee.

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Repair & Maintenance


Any costs exceeding $500.00 must be approved by the owner in advance, except that in an emergency where repairs are immediately necessary for the preservation and safety of the property.

Tenants are responsible for any minor repairs necessary to the premises up to and including the cost of $75.00. Tenants are to change the air filters on a monthly basis and are responsible for any heating or cooling system repair due to neglect of monthly maintenance. Tenant is to maintain lawns, shrubs, trees and sprinkler system in good condition.
Repairs and emergency requests can be submitted online by the tenant. Tenants are also provided with an after hours emergency number on their lease.

All our preferred contractors are licensed, bonded and insured.

Any and all work orders submitted will be provided to the owner with their monthly statement.

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Smoking


Smoking is not permitted in any of our rental properties. Tenants however are allowed to smoke outside. If any signs of smoking are present inside the home, the tenant will be responsible for any cleaning or smoke removal services.

The no smoking policy has not affected the marketability of the rental properties.

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Pets


Pets are considered on a case to case by the owner. Photos of the pets are required at time of applying. No pet shall be on the premises without written consent by the owner.
An additional security deposit will be required at time of lease signing.

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Furnished Properties


Owner may choose to rent property furnished. Furnished properties are at times more difficult to rent and applicant may want to bring in their own furniture and would require removal of owner’s furniture if the owner is willing to be flexible. Wear and tear on furniture is to be expected over time.