Agreement # EXAMPLE
THIS PROPERTY AGREEMENT shall be effective
From: October 15, 20-- To: October 14, 20--
By and between SIGNATURE VILLAS ORLANDO, LLC of registered address: 15350 Grandhaven Drive, Clermont, FL 34714, USA hereinafter will be referred to as the
Hereinafter will be referred to as the "Owner"
WHEREAS, the Manager desires to provide property management services for absentee property Owner's and
WHEREAS, the Owner desires to enter into agreement with the Manager under the terms, covenants and conditions hereinafter set forth at the property of the Owner hereinafter called the Property located at:
This agreement is for the initial term of 12 months and is subject to automatic renewal at the end of each 12 month term unless written notice is served at least 30 days prior to expiration of the current term.
NOW THEREFORE, in consideration of the mutual covenants and promises of the parties involved, it is hereby agreed as follows:
THE MANAGERS OBLIGATIONS
The Manager shall have the right to rent and manage the Property on behalf of the Owner and pursuant to such right; the Manager shall provide and perform the following services outlined below
a) Carry out the walk through inspection of Property, prior to closing (if new) This will entail:
i. Inspection of Property for compliance with all building and hotels & motels safety regulations in effect for short-term rentals.
ii. Carry out initial inspection of Property to include; pool, lawns, plants and physical
Appearance of the Property furnishing condition, house wares and general marketability of the Property as a short-term rental unit.
b) Administer and maintain services on behalf of the Owner. c) Make routine inspections of the Property.
d) Manage and promote rentals and reservations of the Property. e) Provide a detailed monthly statement of income and expenses.
f) Check all registrations and licenses are in place and check all dates for validity. Provide estimates to the owner for obtaining
new or renewals if required.
g) Replace/change all locks to the Property to ensure that only the Manager and Owner have access to the Property even if the Property is new.
h) Arrange/setup the activation of utilities (if the Property is new) and set up direct debits as bill Payments. J) Set up transfer mailing addresses for utilities if required.
It is the Managers obligation to ensure that the Property meets the standards required by law and the standards of the Manager. Failure to comply with the findings of this inspection will result in the termination of this agreement. The work required must be carried out within a reasonable time period to be agreed upon between the Manager and the Owner. The estimated costs for the initial setting up of a new Property for short-term rentals are as stated in Appendix D.
k) Inspect fire extinguishers and smoke alarms annually and arrange maintenance /service when
required. All costs for this work will be passed on to the Owner for authorization prior to commencement of work. l) Carry out inventory checks after guests have departed the Property. Guests will be responsible
for the replacement of any discrepancies with the inventory. This will be deducted from guests
Security deposit left at registration.
m) Accept no responsibility for lost, missing or damaged items, other than to report such findings to the Owner. Similarly, the Manager cannot accept any responsibility for mistakes on Owner bookings, or when an Owner fails to give the Manager details of any bookings that they have made for own use of the Property.
n) Upon Owner request provide a welcome grocery pack for guests on their arrival.
p) Upon Owner request provide a meet and greet service at the airport to take clients to the
MANAGEMENT & MAINTENANCE FEES
The Manager shall charge the Owner a monthly/quarterly recurring fee. The fee's are as follows: Check box(s) that apply.
Lawn Maintenance - $80.00
Pool Maintenance - $85.00 OR Pool with Spa - $90.00
Monthly Internal Pest Control - $35.00
A/C Filter Change - $15.00 Single Unit OR $25.00 for Double Units
Consumables - $20.00
Quarterly Lawn Pest Control and Fertilizer - $120.00
Property Cleaning and Laundry Fees
The Property is cleaned and inspected before and after each rental period. Cleans are charged to the Owner on an `as needed basis'. * Cleaning charges are based on the size of the Property and are as follows:
3 Bedrooms - $80.00
4 Bedrooms - $100.00
5 Bedrooms - $110.00
6 Bedrooms - $120.00
7 Bedrooms - $140.00
* Clean fee will be waived for Managers bookings that are less than 6 nights.
PLEASE NOTE: All companies contracted to perform such services are licensed and insured as required by Florida law. The Manager accepts no responsibility for any personal injury or Property damage or any such claims which may result from the actions, negligence or lack of performance of any company contracted directly by the Owner to perform any of the following services. The Manager will, however, monitor the performance of any such contractors as part of the general management duties.
Monthly Payments to Owner
The Manager will make every effort to rent the Property at the highest rate possible and endeavor to achieve the highest levels of occupancy. The Manager agrees to pay the Owner on a monthly basis no later than the 25th of the following month any balance on the Owners account that exceeds the agreed reserve (target) capital of $1,000.00. This balance will be deposited into the Owners US bank account.
A commission fee of 15% will be taken from any booking which has arisen from the Managers sources or advertising paid for by the Manager. A Commission fee of 20% will be taken per booking, which has arisen from the "Managers" sources or advertising paid for or by the "Manager", when earnings exceed gross, per contracted year. The Manager will do due diligence in placing as many bookings in the house of
the Owner as possible. All bookings provided by the Owner will be the Owners full responsibility, including payments of security deposits. Any costs arising from an Owner booking will be notified and deducted from escrow account.
THE OWNERS OBLIGATIONS
The Owner is responsible for all expenses associated with the Property including mortgage repayments, homeowner's association fees, insurance premiums, real estate taxes and general running cost. When Owners balance falls below the required reserved (target) capital of $1,000.00 then the Owner must pay the difference required within 15 days of receipt by the Owner of an invoice and statement stating the expenditures or is subject to a $50.00 late fee Owner acknowledges and agrees that the Manager is under no obligation to pay bills or provide services where such payment or provision of services would result in a deficit in Owners escrow account. Should such a situation arise the Manager has the right to cancel the CONTRACT forthwith.
a) Agrees to pay all charges/fee's concerned with utilities installations (power, water/sewage,
telephone, cable and gas - if applicable) and any other relevant services and agrees to lodge any required deposits. b) Agrees to pay all costs involved in obtaining relevant short-term rentals license and registrations.
c) Agrees to a monthly management fee for general management services for the duration of this agreement. Payments will be due by return. d) The Owner holds the right to occupy the Property or place own bookings as much and
whenever the Owner desires, subject to availability and when arrangements are made 60 days prior to booking.
The Owner agrees to maintain a reserve (target) of $1,000.00 held in escrow account and is to be used for the sole purpose of costs relating to general running and rental of the home.
The Owner must maintain public liability insurance on the Property. The sum insured must be at least $1,000,000.00 and property damage insurance, including fire theft and flood to an amount not less than the
Value of the Property. The Owner shall provide the Manager with certificates of insurance. If the Owner fails to maintain such insurance, the
Manager is hereby authorized to secure or purchase such insurance and charge the amount thereof to the Owner.
Limited power of Attorney
Owner agrees to provide to the Manager a limited power of attorney to enable the Manager to act on behalf of the Owner in relation to the supply of service and utilities.
Overseas Owner agrees to submit form W-7 directly to the U.S IRS to provide the Manager with their personal taxpayer ID number. Overseas Owners Agree to complete and sign W-8ECI form. The Owners ar e completely Responsible for payment of personal income tax on the said
Property. All U.S citizens are required to provide their Social Security Number (SSN).
The Manager will arrange all general repairs that are essential for maintaining the home to a level satisfactory to both parties. The Manager has the right to carry out repairs up to $300.00 without prior notification to the Owner. Any repair costing more than $300.00 will be submitted to the Owner for authorization unless repair is an emergency and required in order to comply with obligations to the renter.
In such circumstances the Manager agrees to notify the Owner promptly and the Owner agrees to meet the cost of repairs.
The Manager will submit to whichever government authority all sales and other taxes collected on rentals provided by the Manager. The Owner is responsible to report and pay all taxes on home Owner bookings.
It is a crime under Florida State law not to remit sales and tourist tax as and when due.
It is agreed that the Owner will indemnify the Manager and hold harmless, responsibility for changes in legislation affecting rental properties or any other circumstance that affects the marketability of the Property and will also indemnify any costs or damages so associated. The Owner will also indemnify the Manager and hold harmless for any acts of god. In addition the Owner agrees to indemnify and Hold harmless the Manager together with its agents, employees and representatives from all claims, damages, law suits, associated costs, losses and expenses. This will include attorney fees and legal costs that may arise from injury to any person within or about the Property arising from the services provided by the Manager under this agreement, provided that the Manager is not in any way grossly negligent in the duties that have been performed.
All signage, materials and copyrights remain the property of the Manager on termination of contract signage will be removed and any damage caused will be made good by the Manager
No waiver or modifications of this agreement or of any covenant, condition or limitation herein contained Shall be valid unless in writing, duly executed by both the Owner and the Manager.
The agreement will remain in effect unless either party gives notice of termination.
a) The Owner and/or Manager upon giving 30 days written notice.
b) The Owner may terminate in the event of failure on the part of the Manager to adhere to the duties and responsibilities (and vice versa) as stated in this agreement and accepted by the Owner.
All parties to this agreement agree that any and all litigation arising out of this agreement shall be initiated and maintained exclusively in the circuit courts of Osceola County, Florida. The laws of the State of Florida shall govern this agreement.
Agreement # EXAMPLE