Property Manager Job Description Template

In plain language: Identifies the specific property or portfolio being managed, the type of management engagement (residential, commercial, or mixed-use), and any properties or functions explicitly excluded from the manager's authority.

Common mistake: Describing the property only by street address without listing unit numbers or parcel IDs. Vague property identification creates disputes when the manager claims authority over adjacent parcels or additional units.

In plain language: Lists the specific tasks the manager is obligated to perform — tenant screening, rent collection, maintenance coordination, lease execution, inspections, and owner reporting — so that performance can be objectively measured.

Common mistake: Listing duties at such a high level that 'manage the property' is the effective standard. Without itemized duties, the manager can claim almost anything falls within scope — or dispute responsibility for anything that goes wrong.

In plain language: Sets the dollar amount the manager may spend on repairs and maintenance without advance owner approval, and clarifies that capital expenditures always require separate written authorization regardless of amount.

Common mistake: Setting the spending threshold in the body of the contract without a clear definition of what counts as a 'capital expenditure.' Managers and owners routinely disagree on whether a roof repair is maintenance or CapEx — costing thousands in unauthorized spending.

In plain language: States the management fee percentage or fixed amount, any leasing or renewal fees, when and how the manager is paid, and whether the manager may deduct fees directly from collected rent before remitting to the owner.

Common mistake: Using 'gross scheduled rent' rather than 'gross collected rent' as the fee base. If units are vacant or tenants fail to pay, the owner ends up paying management fees on income that was never received.

In plain language: Defines whether the manager has authority to sign leases on the owner's behalf, the maximum lease term permitted without owner approval, and the tenant screening standards the manager must apply.

Common mistake: Granting unlimited leasing authority without a cap on term length or rental rate deviation. A manager who locks the owner into a 3-year below-market lease may not have violated the contract if no limits were set.

In plain language: Requires the manager to maintain a segregated trust account for owner funds and tenant deposits, produce monthly financial statements, and provide access to records on reasonable notice.

Common mistake: Omitting the trust account requirement entirely and allowing commingling of owner and manager funds. Commingling violates licensing laws in most US states and Canadian provinces and can trigger immediate license revocation.

In plain language: Requires the manager to hold and maintain a valid property manager license, carry general liability and errors-and-omissions insurance at specified minimum limits, and name the owner as an additional insured.

Common mistake: Accepting the manager's verbal assurance of insurance coverage without requiring a certificate of insurance. If an uninsured manager causes a liability event, the owner's own policy — and personal assets — may be the only recourse.

In plain language: Sets the initial term of the engagement, the notice period required for either party to terminate without cause, the conditions that permit immediate termination for cause, and the manager's obligations during the hold-over transition period.

Common mistake: No termination-for-cause definition and no hold-over transition obligations. Without them, a fired manager has no documented duty to hand over records — leaving the owner unable to manage the property or contact tenants.

In plain language: Allocates responsibility for losses between owner and manager — typically protecting the manager from liability for owner-directed decisions and limiting the manager's total exposure to fees paid in the prior 12 months.

Common mistake: A one-sided indemnification clause that protects only one party. Courts scrutinize unilateral indemnification provisions, and several jurisdictions will not enforce indemnification for a party's own negligence.

In plain language: Specifies which jurisdiction's law governs the agreement and how disputes are resolved — typically mediation before arbitration, with a carve-out for injunctive relief.

Common mistake: Selecting governing law of the owner's home state when the property is located in a different state. Most jurisdictions apply landlord-tenant and property management licensing law based on where the property sits, not where the parties are domiciled.

A property manager job description is a formal document — often part of a binding management agreement — that defines the scope of duties, authority, compensation, reporting requirements, and termination conditions for an individual or company hired to manage real property on behalf of an owner. Unlike a simple job posting, it creates enforceable obligations on both sides and specifies the boundaries within which the manager may act independently.

In most US states and Canadian provinces, yes — individuals and companies who manage residential or commercial property for compensation on behalf of a third party must hold a state- or province-issued property manager or real estate broker license. Requirements vary: some states require a full broker's license, others issue a dedicated property manager license, and a few impose no licensing requirement at all. Always verify the applicable requirement in the jurisdiction where the property is located before engaging a manager.

For residential properties, management fees typically range from 8% to 12% of gross collected monthly rent, with 10% being the most common benchmark for single-family and small multifamily properties. Commercial and HOA management fees are often structured as a flat monthly fee rather than a percentage. Leasing fees — charged when a new tenant is placed — commonly equal one-half to one full month's rent and are separate from the ongoing management fee.

Industry practice sets per-incident spending authority at $300–$500 for residential properties and $500–$2,500 for commercial assets. Any single expenditure above the threshold, and all capital expenditures regardless of amount, should require prior written owner approval. The spending threshold should be stated as a specific dollar figure in the management agreement — vague language like "reasonable repairs" creates disputes and unauthorized bills.

A property manager job description defines role-level duties, authority, and qualifications — it is most commonly used when hiring an individual as an employee or creating a recruitment document for internal use. A property management agreement is the full contract between a property owner and a management company or independent contractor, covering all terms of the commercial relationship including fees, liability, and termination. For third-party management companies, you need the agreement; for in-house employees, you need both the job description and an employment contract.

Thirty days' written notice is the standard for termination without cause in most residential management arrangements. Commercial management agreements often require 60 to 90 days. Either party may typically terminate immediately for cause — defined as fraud, material breach, or gross negligence — without a notice period. Always specify a hold-over transition period in which the manager continues to perform duties and transfer records after notice is given.

Yes, if the management agreement explicitly grants that authority. Most agreements authorize the manager to execute standard residential leases up to 12 months at market-rate rents without seeking prior owner approval. Leases exceeding the authorized term or deviating materially from agreed rental rate parameters should require written owner consent. An owner who grants unlimited leasing authority without term or rate caps can find themselves bound to unfavorable long-term tenancies.

At minimum, a property manager should maintain a monthly income and expense statement, a rent roll showing occupancy and payment status for each unit, copies of all vendor invoices, a security deposit ledger by tenant, and bank statements for the trust account. Most states with licensing requirements mandate that trust account records be retained for a minimum of three years and be available for inspection by the licensing authority on request.

For straightforward residential arrangements, a high-quality template reviewed by a real estate attorney is typically sufficient. Engaging a lawyer is advisable when the property is commercial, when the portfolio involves multiple properties across different jurisdictions, when the manager will hold significant financial authority, or when the owner's entity structure (LLC, trust, partnership) creates layered authorization requirements. A one-hour attorney review typically costs $200–$500 and is worthwhile whenever the managed property represents a significant asset.

Commingling tenant security deposits or collected rent with the manager's own operating funds is a licensing violation in most US states and Canadian provinces — triggering immediate license suspension or revocation, civil liability to the owner and tenants, and potential criminal exposure in jurisdictions where security deposit misappropriation is a statutory offense. The management agreement should explicitly prohibit commingling and require a named, segregated trust account from day one.