Policies & Procedures Property Management Division. January 2014

Transcription

1 Policies & Procedures Property Management Division January 2014

2 INDEX Property Management Policies MANAGING PROPERTIES OUTSIDE OF THE PROPERTY MANAGEMENT DIVISION P 3 PROPERTY MANAGEMENT COMMISSIONS P3 PROPERTY MANAGEMENT ADVERTISING P4 PROPERTY MANAGEMENT REFERRALS P5 PROPERTY MANAGEMENT JOB COMMITMENTS P6 GENERAL COLDWELL BANKER COMMERCIAL DANFORTH POLICIES WHEN VISITING OFFICE AFTER HOURS COPY MACHINE TELEPHONES WILL CALL POSTAGE VACATIONS & MEDICAL LEAVE COMMUNICATION FAXES & CONFIDENTIALITY LEGAL MEETINGS (AS NEEDED) PROFESSIONAL ATTIRE FAX DEDICATED FAX LINECOMPANY FAX LINE WORK ORDERS COMPANY COMPUTERS/INTERNET ACCESS REAL ESTATE LICENSE RENEWAL INTERNET WEBSITES & PRINT ADVERTISING WEBSITES LOGO FOR ADVERTISING EQUAL HOUSING OPPORTUNITY SLOGAN, LOGO AND STATEMENT E & O INSURANCE LEGAL FEES AGENCY DISCLOSURE PAMPHLET MANAGEMENT AND TENANT LEASE AGREEMENTS MANAGEMENT FILE INFORMATION AGENT FOLLOW-UP PROCESSING A TENANT LEASE AGREEMENT LEASING YOUR OWN PROPERTY DEPOSIT MONEY, OWNER & TENANT DEPOSIT REQUIREMENT REALTORS CODE OF ETHICS FAIR HOUSING ACT SEXUAL HARASSMENT POLICY P11 P11 P11 P12 P13 P13 P13

3 Coldwell Banker Commercial Danforth Property Management Policies MANAGING PROPERTIES OUTSIDE OF THE PROPERTY MANAGEMENT DIVISION Coldwell Banker Danforth and Coldwell Banker Commercial Danforth brokers may, in approved circumstances, manage properties outside of the Property Management Division. Coldwell Banker Danforth and Coldwell Banker Commercial Danforth brokers must adhere to the following procedures to manage properties outside of the Property Management Division: 1. Broker must inform Property Management Division Manager of intent to manage a property outside of the Property Management Division prior to contracting or collecting a fee or commission. 2. All brokers intending or currently managing properties must attend the basic 3 hour Property Management class offered by CBCD the next time it is offered. 3. Broker must submit proposed property management contract and tenant lease agreement for approval prior to contracting or collecting a fee or commission. 4. Broker must submit a signed contract for management services between broker and landlord prior to advertising, showing or leasing a property. The Property Management Division Manager will review the contract and approve or request changes. If approved, the designated managing broker will sign the contract as required by state law. 5. Broker must submit a signed contract for tenant leasing between tenant and landlord to the Property Management Managing Broker within three days of obtaining a signature. The Property Management Managing Broker will review the contract and approve or request changes. If approved, the designated broker will sign the contract as required by state law. 6. All commissions and fees earned through the activities of property management will be split with Coldwell Banker Commercial Danforth with CBCD receiving 25% of any leasing fee and 10% of any continuing management fees. If there are no fees charged, a transaction fee of $ will be due CBCD. 7. EXCEPTION: Broker owned properties. No fee is due CBCD if the broker advertises without using the Coldwell Banker name or logo. Broker must state in any advertising the owner is a licensed broker. PROPERTY MANAGEMENT COMMISSIONS In accordance with the Property Management Addendum, broker/managers split all fees received from clients, with Coldwell Banker Commercial Danforth on a 50/50 basis. This split includes an advertising budget of up to 25% of the entire leasing fee according to the advertising policy listed in this manual. Managers may, at their option in writing; elect to receive 75% of the initial lease fee only provided the following criterion is met: 1. The manager takes all responsibility for advertising the property. Coldwell Banker Commercial Danforth will not pay for, or coordinate, any advertising for the property. 2. This option will be in effect for six months and apply to any new properties taken by the manager.

4 3. The manager may elect to renew this option every six months, or return to the 50/50 split and have CBCD provide a maximum 25% advertising budget and coordination. 4. All monthly management fees, late fees, and renewal fees remain at the 50/50 split as per the Property Management Addendum. PROPERTY MANAGEMENT ADVERTISING We want you to be successful and fill your rental properties with tenants as soon as possible. With this in mind, we have a generous advertising policy that has been very successful in obtaining tenants for our property listings. It is important that you do your part to help make our advertising successful and we ask that you: 1. Return calls from prospective tenants right away. 2. Inquire as to how the tenant came to call you, and track the results. 3. Manage your budget carefully, and reduce the rental amount before you exhaust your budget. We generally advertise in the following ways: 1. Craig s List - Weekly Ad (No limit) 2. Rentals.com - Monthly Ad (1-2 times) 3. Other - As agreed with CBCD in advance All ads are due by Thursday night for the next Friday. Here is what you need to do: 1. Send pmtransactions@nwlink.com unit descriptions and pictures. Photos need to be in PDF format. 2. We will set-up the account and prepare for advertising. 3. We place the advertisement in Craig s list and other media as directed by you. We pay the cost of the advertising by setting up a budget equal to ¼ of the LEASING FEE. Once you exceed your budget, you or the owner are responsible for advertising cost. Example: Potential Leasing Fee is $ Budget for advertising is $ You can request the balance of your budget from pmtransactions@nwlink.com anytime. Your updated budget workbook, with a spreadsheet for each property, will be ed to you each week you incur advertising expenses. Your budget will be reduced on the second time you lower a rental amount.

5 PROPERTY MANAGEMENT REFERRALS Coldwell Banker Commercial Danforth distributes property management leads to our qualified property managers according to their availability and the market areas for which they cover. There is no additional fee for these leads as CBCD wants our managers to be successful and profitable. All leads that come from a CBCD commercial broker or a Coldwell Banker Danforth residential broker belong to the referring broker should the property owner decide to sell the property in the future while under management or thereafter. The CBCD property manager receiving the lead should pay the broker providing the lead a referral fee of 20% when hired and a tenant is found. All leads that come from CBCD management shall belong to the receiving broker should the property owner decide to sell in the property in the future while under management or thereafter. The property manager receiving these leads, should the owner list the property with the property manager and the property sale, will pay CBCD Property Management a referral fee of 20% upon closing. Should the property manager not want to sell the property and the property is referred to another broker, the referral fee of 20% shall be split between the property manager and CBCD Property Management division. Example 1: Mary, a Broker with CBDA, provides a lead regarding a client who wants to have their property professionally managed. Bill, a property manager with CBCD receives the lead and pays Mary a fee of $75.00 when the owner hires Bill to manage and he finds a tenant. One year later, the owner asks Bill to sell the property. Bill calls Mary and hands the property back to Mary so she can list the property. Mary does not owe Bill a fee. Example 2: Through the advertising and promotion of CBCD a lead contacts the office regarding professional property management. This lead is referred to Ted who is hired by the owner to manage the property. No fee is due CBCD. One year later, the owner asks Ted to sell the property. Ted owes CBCD a 20% referral fee upon closing of the property. The property manager should update referring broker as to the status of the property when the contact has been made with the prospect. The property manager should let the referring broker know if a property is not signed on as a client. If the property is listed with the property manager, keep updating the referral broker during the process and when the property is leased. Property Management Job Commitments 1. Screening: a. Property managers must screen all tenants through an outside tenant screening company. Screening must include credit, criminal, tenant and work history. b. Tenants should be selected based on the criteria set by the CBCD Property Management Division and no other means. 2. Forms:

6 a. New accounts must be submitted by the property manager on forms approved by CBCD. Property managers may modify the form with approval from CBCD in advance. 3. Leases over a year: a. Leases for more than 365 days must be signed and notarized prior to occupancy. 4. Walk-through with tenant: a. Property managers are expected to complete the initial walk-through of the property with the tenant prior to occupancy. All existing defects noted by the property manager and tenant must be noted in writing and submitted to CBCD with the Residential Rental Agreement. Pictures are recommended. 5. Tenant follow-up visits: a. Property managers must perform follow-up visits to the property and should look for excessive use, illegal activity, dangerous conditions, occupants not on the Residential Rental Agreement, and general property condition. b. First visit should occur in the first 30 days after occupancy and be called a Courtesy Follow-up Visit. c. Additional visits should occur every 180 days. d. All visits should be noted in the property management file. 6. Move-out with tenant: 7. Property managers expected to complete the final walkthrough of the property at the end of the tenancy. All defects not noted on the initial walk-though with the tenant should be noted in writing and submitted to CBCD within 10 days of the move-out. 8. Preliminary and Final Funds Disposition: a. Property managers must complete a preliminary funds disposition within 7-10 days from the tenant move-out. This disposition, by state law, must be sent to the tenant within 14 days of the move-out. b. Final funds disposition must be completed within 30 days of the final move-out unless a longer term is approved by CBCD. 9. Appfolio or Property Management Software. a. It is the responsibility of the property manager to learn and use the PMS provided by CBCD. b. The property manager, at a minimum, should be able to located and understand a tenant statement, owner statement, property file, owner file, tenant file and unit file. Complaints regarding Broker 1. Any complaints received by the broker from an owner or tenant must be communicated to CBCD management within 2 days of the complaint. Property Management Meetings 1. All CBCD property managers are expected to attend property management meetings and training when notified. Listing or Selling Property 1. Property managers understand that listing and selling real estate requires current knowledge outside of the property management field and are encouraged to refer this

7 business to a CBDA broker for a 20% referral fee. If a property manager decides to list or sell a property, that manager must pay REALTOR dues, NWMLS fees, etc. The sale will be processed by CBDA and the broker must have a signed contract with CBDA prior to listing or selling. General Coldwell Banker Commercial Danforth Policies WHEN VISITING OFFICE AFTER HOURS: LIGHTS: Turn off all lights. SECURITY SYSTEM: Set the alarm on the security system before leaving. COPY MACHINE: Property Management Division Brokers receive 200 free black & white copies per month. Any additional black & white copies will be charged at $.10 per copy. All color copies are charged at $.35 per copy. TELEPHONES: Staff will provide information on how to use the telephones. Property Management division brokers on a 50/50 split will not be billed for domestic telephone calls. ALL TELEPHONE CALLS WILL BE HANDLED IN THE FOLLOWING MANNER: SIGN CALLS/AD CALLS - All calls will go to the listing broker. Caller does not have to ask for the Sales Associate by name. Receptionist will transfer caller into sales associate (in-house) voice mail or give out Virtual Office # should they not be in the office. RELOCATION REFERRALS - Management reserves the right to determine who will receive relocation referrals. WILL CALL: Ask Receptionist for procedures and location POSTAGE: Property Management division brokers will have all approved postage paid or reimbursed by the property management division unless you are on the 75% program. VACATIONS & MEDICAL LEAVE: It is the Sales Associate s responsibility to arrange coverage for their business when leaving town, or otherwise unavailable. Sales Associate must notify Management in writing and provide name and telephone numbers of contact person. COMMUNICATION: Sales Associate s must give their address to the office and notify the office of any changes. is the primary means of communication between Management & Sales Associates. Ask Management for information regarding the free address available through Coldwell Banker Commercial. FAXES & CONFIDENTIALITY: All Fax transmissions are confidential and must only be viewed by the named recipient. LEGAL: You must notify Management immediately when you think that one of your transactions may have a legal dispute. Your E & O coverage may not apply if you do not record the complaint at the onset. Do not try to fix the problem prior to discussing the issue with Management. MEETINGS (AS NEEDED): There will be meetings to keep the Sales Associates informed on changes that occur. Meetings are voluntary & optional.

8 PROFESSIONAL ATTIRE: Management & Sales Associate's personal image is a reflection on the professional reputation of this office. FAX: Make sure that your home fax machine has the correct fax number and date displayed on all outgoing and incoming faxes. It is helpful when sending a multi-page fax to number each page. When faxing documents to other Sales Associates/Broker do the following: 1. All offers and subsequent notices must be faxed to the licensee s office or to the broker s home office provided that you have called to verify that broker is home to receive the document. 2. After faxing an offer, call the Listing Office/Sales Associates to verify that the fax was received. COMPANY FAX LINE: Any faxes received during business hours, seven days a week, at shall be forwarded to brokers via the address cbfax@comcast.net. To prevent this address from being considered spam or junk mail, please make sure that you enter it into your contacts or safe list. WORK ORDERS: Do not order work to be done on any transaction in the name of Coldwell Banker Commercial Danforth. Your Building Owner should always be named the responsible person to pay the bill, not Coldwell Banker Commercial Danforth. Should a Sales Associate use Coldwell Banker Commercial s name to place a work order, the Sales Associates will be expected to pay the bill. COMPANY COMPUTERS/INTERNET ACCESS: Company-owned and maintained computers and Internet service providers obtained and paid for by office are to be used for company-related real estate business purposes only. Internet access via company computers for personal use is not permitted. REAL ESTATE LICENSE RENEWAL: It is the Sales Associate s responsibility to complete all required clock hours (including CORE) and renew their license on or before their birthday. Renewal can be accomplished on the DOL website or mailing the renewal application to the state. Renewing Online: Upon completing the online form, print out a copy and fax the form to the office. Renewing by Mail: Make a copy of the completed form. Fax to the office prior to dropping the renewal application in the mail. If the office has not received this information by your license expiration date, we will be forced to return your license to the state. Upon completion of your clock hours and license renewal, we will assist you in reactivation with our office. INTERNET WEBSITES & PRINT ADVERTISING: MANAGEMENT MUST APPROVE ALL ADVERTISING PRIOR TO SUBMITTING TO THE NEWSPAPERS OR OTHER FORMS OF MEDIA (ELECTRONIC OR PRINT). AGENCY LAW STATES, "THAT THE BROKER, COLDWELL BANKER COMMERCIAL DANFORTH & ASSOCIATES, INC. IS RESPONSIBLE FOR SALES ASSOCIATES ACTIONS. THIS INCLUDES ALL VERBIAGE IN ADVERTISING. WE DO NOT WANT TO PLACE AN AD THAT GOES AGAINST WASHINGTON STATE LAW. WEBSITES Any Website is considered online advertising. This means that the content is subject to many regulations, and should be carefully considered before being made public. You are solely responsible for the information and other content that you make available anywhere on the Web. Craig s List and other sites not associated with Coldwell Banker Commercial may be used for advertising provided that the seller has given written permission to post on these sites. Make sure you comply with the following:

9 1) Your site must use Coldwell Banker Commercial Marks and slogans correctly and consistently at all times. 2) Make sure you have permission to reproduce and display content, as well as artwork and graphics, in accordance with applicable Trademark, copyright patent and other laws 3) Follow all regulations governing the accuracy and presentation of advertising and the promotion of your business on the Web Mandatory Disclaimers: Office, company, team and individual Websites must contain disclaimers on every page. Disclaimers can be placed in the footer so that it appears at the bottom of every page. Make sure the following is included on each page. Affiliate Disclaimer: 2008 Coldwell Banker Real Estate LLC, Coldwell Banker is a registered trademark licensed to Coldwell Banker Real Estate LLC. 1) Equal Housing Opportunity. Equal Housing Opportunity. 2) Each Office Is Independently Owned And Operated. When using a logo for advertising, you must use our Company Logo Specifications Make sure that you are using the correct Coldwell Banker Commercial brand identity. These are the basic components that make up this identity: Coldwell Banker Commercial Danforth & Associates, Inc. Logo and Each Office Independently Owned Logo is available on DOCSS in the file entitled Forms Equal Housing Opportunity Slogan, Logo and Statement Specifications Multi-Family: All advertising for the sale, rental or financing of residential/commercial real estate should contain the equal housing slogan, logo or statement. These indicate to the public that the Property is available to everyone regardless of race, color, religion, sex, familial status, handicap or national origin. SLOGAN "Equal Housing Opportunity" The slogan is used in ads under four column inches. The slogan may never be abbreviated to "EHO." Ads fewer than four column inches are not required to use the slogan if they are grouped with other ads under a Publisher's Notice. LOGO The logo consists of the symbol and the slogan. The symbol may not be used alone. The logo is used in ads of four column inches or more. The logo should be clearly visible and legible. When other logos are used in display ads, the federal regulations suggest that the equal housing opportunity logo be of a size at least equal to the largest of the other logos. The federal regulations suggest the following guidelines for including the logo in ads of four column inches or more:

10 Size of Ad Size of Logo 1/2 page or larger 2 inches by 2 inches 1/8 page to 1/2 page 1 inch by 1 inch 4 column inches to 1/8 page 1/2 inch by 1/2 inch The above Federal Law also applies to web sites. Please make sure that you abide by this law. E & O INSURANCE LEGAL FEES: Should there be a legal dispute on one of your transactions, you will be required to deposit the $5000 deductible upon request from the E & O Insurance legal firm. AGENCY DISCLOSURE PAMPHLET: At initial contact, Licensees shall provide all Tenants and Landlords a copy of The Law on Real Estate pamphlet and obtain a receipt thereof at the earliest opportunity. Agency disclosure should always be made at the time of initial client-licensee contact. Written agency disclosure shall be obtained with every written agreement executed between a buyer and a seller or seller s broker. MANAGEMENT AGREEMENT and TENANT LEASE AGREEMENT: It is the policy of this office that signed agreements must be submitted within three (3) business days after signatures are received on Management Agreements and on mutual acceptance on Tenant Lease Agreements. Our office is required to have all signed document available to Washington State Auditors upon request. There will be a fine of $10 per day charged on the Management Agreements and Tenant Lease Agreements that are not received by the office as stated above. OWNER FILE INFORMATION: All residential and commercial paperwork must be turned into the commercial transaction center by the sales associate within 3 business days of owner signature on the management agreement. Paperwork can be either faxed or scanned and ed. Changes on agreements are the responsibility of each Sales Associate. Send a copy to the Property Management Division within 24 hours after receiving final signatures. Prior to making changes in the computer the Seller must sign all status changes. Sales Associate is to make a copy of the updated printout and turn into the Property Management Division with Owner s signed form. It is imperative that you do this on all changes It is the Sales Associates responsibility to make sure their listings are current and are accurate on all websites including Contact the Property Management Assistant, pmtransactions@nwlink.com with any changes that need to be made on or on NO SIGN SHOULD BE PLACED ON A PROPERTY UNLESS A COPY OF THE MANAGEMENT AGREEMENT IS IN THE OFFICE. BROKER FOLLOW-UP: Consistent and thorough follow-up is the surest way to avoid problems and complaints. Landlords expect us to market their property and they need to be informed on everything that you are doing. Listings are lost because Owners no longer believe we are genuinely concerned about their needs and believe that we have lost interest in marketing their property. PROCESSING A TENANT LEASE Submit the following to the Property Management Division within 3 business days after mutual acceptance, unless you are depositing into our trust account. If so, then the check and

11 Tenant Lease Agreement needs to be submitted by 3 pm the next banking day after mutual acceptance. 1. Complete the Tenant Lease Agreement and attach the following: All addenda. Deposit check. 2. Commission check will be held until all related paperwork, addenda have been submitted to Manager. LEASING YOUR OWN PROPERTY: If you are leasing your own property, Washington State Law states that you must submit a copy to the office for review and state within the contract the following: Tenant understands that (Insert Name) is a licensed Real Estate Salesperson and is acting as a Principal in this Agreement for his/her own account. E & O Insurance Coverage on Broker as Principal: You must do the following: Written on CBA Forms. EARNEST MONEY, OWNER & TENANT DEPOSIT REQUIREMENT WAC E-012 (5) State Law requires that owner or tenant deposit money must be deposited in a trust account not later than the first banking day following receipt unless the contract states that the check is to be held for a specified length of time. Earnest Money, Owner Receipts, and Tenant Deposits Policy: Broker will collect deposit money check from Tenant(s) at the time of writing the Tenant Lease Agreement. Deposit check must be dated the same date as Tenant Lease Agreement. Transactions using CBCD trust account: Broker will deliver to Broker the Tenant Lease Agreement and Deposit check by 3 PM the next banking day after mutual acceptance of the contract. If the Property Management agreement states that the check is to be held for a specified length of time, broker must add a statement for a no later date to the contract. Broker will deliver check to Broker. Broker will hold check until Broker notifies Broker that conditions have been met or the no later date has arrived. A Receipt for Deposit of Earnest Money is required on all transactions. Sales Associate that delivers Deposit checks in violation of Washington RCW laws will result in a penalty of $50 for each business day that it is late. If Purchase & Sales Agreement fails to close the $50 per day penalty will be due upon rescission of contract. REALTORS CODE OF ETHICS: All sales associates must know and abide by the Realtor s Code of Ethics. FAIR HOUSING ACT: Each Sales Associate should at all times know and abide by the Fair Housing Act. The Fair Housing Act prohibits discrimination in housing because of: 1) Race or color 2) National origin

12 3) Religion 4) Sex 5) Familial status (including children under the age of 18 living with parents or legal custodians; pregnant women and people securing custody of children under 18) 6) Handicap SEXUAL HARASSMENT POLICY: Sexual harassment of any kind is inappropriate, offensive and illegal and will not be tolerated. Sexual harassment is a form of discriminatory behavior. No employee shall be subject to unwelcome verbal or physical advances or any other on-the-job conduct that could be interpreted as harassment. Legal Definition: Sexual harassment is a form of sex discrimination and is an unlawful employment practice under Title VII of the 1964 Civil Rights Act. Unwelcome sexual advances, request for sexual favors and other verbal or physical conduct constitute sexual harassment when: They are part of a manager s decision to hire or fire They are used to make other employment decisions such as pay, promotion or job assignment. They interfere with the licensee s or employees work performance. They create an intimidating, hostile, or offensive work environment. Behavior That Can Constitute Sexual Harassment: Sexual harassment is defined as deliberate or repeated behavior of a sexual nature that is unwelcome. It can include verbal behavior such as unwanted sexual comments, suggestions, jokes, or pressure for sexual favors; nonverbal behavior such as suggestive looks or leering; and physical behavior such as pats or squeezes, or repeatedly brushing against someone s body. Procedure: The Designated Broker is responsible for managing all complaints of sexual harassment and for insuring that all complaints are investigated fully and fairly, regardless of the manner in which they are made or the individuals involved. Should an instance of inappropriate behavior occur, it is the licensee or employee s responsibility to bring it to the attention of management. This includes licensees and employees who think they are the recipients of sexual harassment and also those who believe that they have witnessed another licensee or employee s harassment. If a licensee or employee believes her or she is being sexually harassed, action should be taken immediately by: Identifying the offensive behavior to the harasser and requesting it stop. Discussing the issue with the Manager Licensees involved in the accusation, complaints should be taken directly to the Designated Broker.

13 I acknowledge that I have received a copy of the Policy & Procedure Manual and agree to abide by all items therein. Accepted by: Property Manager Date Return this page to Management January 2014