Property Management

What is a 'management agreement' in property management?

AA lease between the landlord and tenant
BA contract between the property owner and property manager specifying the manager's duties, authority, compensation, and duration of the management relationship✓ Correct
CA maintenance contract with repair vendors
DA listing agreement for renting individual units

Explanation

A management agreement is the employment contract between the property owner and the property management company/broker. It defines the scope of the manager's authority, responsibilities (leasing, maintenance, accounting), compensation (typically a percentage of gross rents), and the term of the agreement.

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