Real Estate Property
Management 2026 Exam All
Answers and Illustrations Given
What is Property Management? - 🧠 ANSWER ✔✔-the oversight of real
property by a team of managers or an individual for an owner.
-What are the functions of a PM? - A property manager's primary objective
is to produce the greatest net return for the owner. A property manager has
the right to protect and work to increase the value of the owner's
investment
, - One can use a PM for any income producing property
- When is a RE license required for a property manager? - A license is
required if they are working on behalf of one or more property owners. A
license is not required for a salaried employee of one owner even if he or
she collects rent.
The Management Agreement - 🧠 ANSWER ✔✔- creates a general agency
relationship in which the owner = principle and the manager = agent. A
property manager become a general agent and as such owes loyalty to the
owner.
- is a contract and should be in writing as well as signed
* consists of:
- A description of the property
- Length of the agreement
- The management authority - what the manager is responsible for and
what the manager can make decisions on himself
- Reporting - what type of reporting the owner expects and what kind of
reports need to be sent to the owner
Management 2026 Exam All
Answers and Illustrations Given
What is Property Management? - 🧠 ANSWER ✔✔-the oversight of real
property by a team of managers or an individual for an owner.
-What are the functions of a PM? - A property manager's primary objective
is to produce the greatest net return for the owner. A property manager has
the right to protect and work to increase the value of the owner's
investment
, - One can use a PM for any income producing property
- When is a RE license required for a property manager? - A license is
required if they are working on behalf of one or more property owners. A
license is not required for a salaried employee of one owner even if he or
she collects rent.
The Management Agreement - 🧠 ANSWER ✔✔- creates a general agency
relationship in which the owner = principle and the manager = agent. A
property manager become a general agent and as such owes loyalty to the
owner.
- is a contract and should be in writing as well as signed
* consists of:
- A description of the property
- Length of the agreement
- The management authority - what the manager is responsible for and
what the manager can make decisions on himself
- Reporting - what type of reporting the owner expects and what kind of
reports need to be sent to the owner
