Property Management
A Kansas property manager collects the first month's rent and a security deposit equal to one month's rent from a new tenant. The security deposit must be:
ADeposited into the property's operating account
BKept in a separate trust account distinct from operating funds✓ Correct
CTurned over to the property owner immediately
DHeld in cash by the property manager
Explanation
Security deposits are trust funds that must be held in a separate account, not commingled with operating funds. They belong to the tenant until lawfully forfeited.
People Also Study
Related Kansas Questions
- A Kansas property manager who collects rent from tenants must deposit those funds into:Property Management
- A Kansas property manager charges a leasing fee of one month's rent for finding a new tenant. If the monthly rent is $1,350, what is the leasing fee?Real Estate Math
- A Kansas property manager who receives a security deposit of $1,800 must keep it in trust until:Property Management
- A Kansas property manager who collects rent and manages maintenance on behalf of an owner is acting as:Property Management
- In Kansas, security deposits collected by a property manager must be:Property Management
- Under Kansas License Law, 'trust funds' that must be segregated from operating funds include:Kansas License Law
- A Kansas property generates $2,200/month in rent. Annual operating expenses total $8,400. What is the annual NOI?Real Estate Math
- A Kansas property manager receives 7% of gross annual rent for management. The building has 8 units each renting for $900/month. What is the annual management fee?Real Estate Math
Key Terms to Know
Right of First Refusal
A contractual right giving a party the opportunity to match any offer received before the owner can accept it from a third party.
Earnest MoneyA deposit made by the buyer when submitting a purchase offer, demonstrating serious intent and serving as consideration for the contract.
ContingencyA condition in a purchase contract that must be satisfied before the sale can proceed to closing.
Purchase AgreementA legally binding contract between a buyer and seller that outlines the terms and conditions of a real estate sale.
State-Specific Concepts
Trust Account Rules
Study This Topic
Practice More Kansas Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Kansas Quiz →