How long is a Property Management Contract? …. & how to get out of one!
Hi rental property owners, in this short article, I’ll discuss how long a property management company’s contract is. I’ll also tell you how to get out of that contract.
My name is Kyle here at TrueDoor Property Management. A property management company will always have a contract. This is the Management Agreement. A licensed property manager is required by the Department of Real Estate to have an agreement. I’ve seen lots of agreements and many of them contain the same basic information with each company adding in their requirements and pricing.
The typical agreement is 1 year. Some Management Agreements are month-to-month. Here at TrueDoor Property Management we have what’s called the Happiness Guarantee. If our client is unhappy with us for any reason they can terminate the management agreement with a 30 day notice. This means that a rental property owner can test us out without committing to an entire year.
If you are a rental property owner using a management company with a year long contract, don’t worry. I have found that most property management companies are willing to let you out of their management agreement if you just ask them. Why would they do this? Because property management companies want a healthy and positive relationship with their clients. I have yet to see a management company that will not release an upset client from their agreement. So, if you are unhappy with your property manager, just let them know.