The first step to change your management company is to read your current property management contract; you can always email your contract to Sunset Property Mgmt. & Realty for us to review with you. Sunset has a pre-written letter that can be edited and delivered to your existing Property Manager spelling out an easy to follow procedure for transferring the property to a new manager, your expectations of them as a Landlord and a formal timeline in which the stages of the transfer should be undertaken. Most property management companies do ask for a courtesy 30-day notice of cancellation and other contracts strictly require the same notice. Once your end date with the current PM is determined and a new management agreement is signed with Sunset Property Mgmt. & Realty, we will take over by reaching out to the current Property Manager to obtain property files, lease agreements, move-in/move out (MIMO) condition list, photographs, tenant rent roll(s), tenant contact information, property financial documents, property keys, accounts payable/vendor lists, recent maintenance work orders and transfer utilities. Tenant Security deposit liabilities, if held by the current Property Manager may be transferred directly to our trust account. Below are the steps/items that will need to be coordinated with the old property management company and be passed on to Sunset Property Mgmt. & Realty for a smooth transition.
- Provide owner with a final financial report along with remaining rents on hand minus agents fees and funds needed to cover all outstanding expenses the manager has incurred in the course of managing the property. We give the old property manager permission to withhold owner funds, either all or a portion in reserve for 30 days after the above mentioned termination date in order to make sure all expenses are paid. Owner funds such as those already incurred but not yet invoiced. If the old management company chooses not to hold a reserve they can issue a check for any trust account balance immediately and notice both the owner and Sunset Property Management. Notification can be sent via United State Postal Service certified mail so that Sunset Property Management (“property manager”) may contact the vendors to get copies of outstanding invoices.
- Provide the owner with the necessary records and documents. This includes a list of tenant security deposit obligations, copies of leases, applications, credit reports, income verification and other instruments entered into on behalf of the owner.
- Transfer security deposits either to the owner, or the new agent minus the relevant deductions as dictated by the contract.
- Provide tenants written notice of the exact dollar amount of the security deposit and inform them that the owners or the owners’ new Agent is now responsible for returning their security deposit.
- Provide tenants written notice that they are no longer managing the property, and provide them contact information for the owners’ new Agent or designee.
- Allow a representative from your new agency to retrieve all keys to the property accompanied by a key list if necessary.
- Lastly, we will require a list of all vendors that service the property and their contact information so that we may coordinate with them and/or choose new ones as we see fit.