Identify legal and ethical requirements of property management to complete agency work CPPDSM4007A
STUDENT NAME Daniel Skrzypek
OTEN NUMBER n855096 Please read the “Guide to completing and submitting assignments” before you begin this assignment. What you need to do
To successfully complete this assignment you must answer the following questions to demonstrate your knowledge. The assignment will be granted a result of “Competent” if the learning outcomes are achieved or “not yet competent” if not. If a result of “Not Yet Competent” is achieved you will be given the opportunity to resubmit your assignment. Your Task
This task is designed for you to demonstrate your understanding of the core legal and ethical requirements associated with property management. This includes awareness of the legislation dealing with the leasing and management of property, the role and responsibility of agency personnel in property management, the recording of property management transactions and the completion of property management documentation. Part 1 – Knowledge assessment
Question and answer
List five (5) duties of a property manager describing each in detail.
1. Marketing and Financial - The real estate property management company, in consultation with the owner, will prepare detailed budgets for the day to day operations of the property. This function involves aspects of all the other functional areas, as it allocates funds for their performance. Not only will the income from rents need to be estimated, a reasonable estimate of expenses for the other three functional areas will need to be made. Costs for tenant services, repairs and maintenance, and administration will need to be closely approximated : - Properties that fall into obsolescence will experience lower rents and a less attractive return on investment as the property ages. - A long-term budget for capital improvements should be developed. - Renovation, remodeling, and more modern appliances will help to maintain and increase rental income in competition with newer properties. - Capital improvements are normally not expensed in the years they are done. - An accountant can help to set up costing over their useful life. Certain tax advantages could result from financing the improvements. - Though word of mouth can bring new tenants, effective competition in the marketplace will require a marketing plan and advertising budget. - Consistency is quite important in advertising.
- Develop a budget to fund regular periodic ads in media that have a proven track record in generating tenants. - Budgeting for increased marketing when vacancy rates increase is also a prudent plan. - Coordinating increased marketing to announce renovation or improvements is also a good strategy. 2.Facility & Physical Maintenance and Repairs to Rental Property : A rental property will not enjoy long term tenant retention and acceptable return on investment unless it is maintained properly. This involves: • preventive and ongoing maintenance;
• repairs to correct problems or malfunctions; and
• construction and remodel
Preventive and ongoing maintenance to rental properties requires a thorough knowledge of the property, its needs for upkeep, staffing required to accomplish the tasks and budgeting to accomplish them. The real estate property manager must balance the costs of routine and preventive maintenance with the benefits and desired results. Line items on a property manager's routine maintenance list might include: • cleaning of common areas;
• landscape maintenance;
• regular service to heating and air conditioning systems; • periodic inspection of plumbing and electrical items; or • proper upkeep of wood, roofing & other building components Repairs and corrective actions are required when things break or cease to function as intended. Sometimes the repair is of an emergency nature, such as a...
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