A “Sample Letter To Terminate Property Management Agreement” is a document. It cancels your contract with a property manager. Owners use it for various reasons. Maybe they are unhappy with the service. Perhaps they want to manage things themselves.
We know writing letters can be tough. This article makes it easier. We will share templates and examples. You can adapt them to your needs. Think of this as your toolkit.
These samples give you a starting point. Tweak them to fit your situation. Get ready to write your termination letter with confidence.
Sample Letter To Terminate Property Management Agreement
[Your Name]
[Your Address]
[Your Phone Number]
[Your Email Address]
[Date]
[Property Management Company Name]
[Property Management Company Address]
Subject: Termination of Property Management Agreement
Dear [Contact Person Name],
This letter serves as formal notification that I am terminating the Property Management Agreement currently in place between myself and [Property Management Company Name], regarding the property located at [Property Address].
As per the terms outlined in the agreement, specifically section [Section Number – if applicable, regarding termination], this termination will be effective [Date of Termination – usually 30 or 60 days from the date of the letter].
I request that you provide a final accounting statement, including all income and expenses related to the property, up to the date of termination. Please also arrange to transfer all remaining funds held in reserve for the property to [Your Name] at [Your Address] or [Your Bank Account Details].
I would also appreciate it if you could provide me with all relevant documents pertaining to the property, including but not limited to tenant leases, vendor contracts, and any other records related to the management of the property.
Please confirm receipt of this letter and let me know the procedure for the transfer of responsibilities and documents. I would like to schedule a meeting to ensure a smooth transition.
Thank you for your services to date.
Sincerely,
[Your Name]
How to Write Sample Letter To Terminate Property Management Agreement
1. Subject Line: Clarity is Paramount
The subject line should be succinct and unambiguous. It’s the initial signpost, guiding the recipient’s attention immediately.
- Direct Approach: “Termination of Property Management Agreement – [Property Address]”
- Formal Tone: “Notice of Termination – Property Management Agreement for [Property Address]”
- Emphasis: Using all caps for “TERMINATION” is acceptable but employ judiciously to avoid seeming strident.
2. Salutation: Setting the Tone
Begin with a respectful greeting. The choice hinges on your rapport with the property management firm.
- Formal: “Dear [Property Manager Name],” or “To Whom It May Concern,” if the manager’s name is unknown.
- Less Formal (If Applicable): “Hello [Property Manager Name],” if you have an established, amicable relationship.
- Avoid: Overly casual greetings like “Hi” or overly familiar terms.
3. Body Paragraph 1: Stating Your Intent
Clearly articulate your intention to terminate the agreement. Be upfront and unequivocal.
- Declarative Statement: “This letter serves as formal notification that I/we am/are terminating the Property Management Agreement for the property located at [Property Address].”
- Reference the Agreement: “The aforementioned agreement was executed on [Date of Agreement].”
- Employ Precision: Avoid ambiguity. State your intent directly.
4. Body Paragraph 2: Specifying the Termination Date
Pinpoint the exact date you wish the termination to take effect. This is a crucial element for a seamless transition.
- Explicit Date: “The termination will be effective as of [Date].”
- Reference the Contract (If Applicable): “In accordance with section [Section Number] of the Property Management Agreement, this termination will be effective [Number] days/months from the date of this notice.”
- Adherence is Key: Ensure your chosen date aligns with any stipulations within the original agreement.
5. Body Paragraph 3: Requesting Next Steps and Records
Outline your expectations regarding the transfer of funds, records, and property access. Be specific about what you require.
- Funds Transfer: “Kindly provide instructions for the transfer of any remaining funds held in escrow, including security deposits, to [Your Bank Name, Account Number].”
- Record Retrieval: “Please forward all pertinent documentation related to the property, including tenant leases, maintenance records, and financial statements, to [Your Address].”
- Property Access: “Arrange for the return of all keys, access codes, and security devices pertaining to the property.”
6. Body Paragraph 4: Expressing Gratitude and Maintaining Professionalism
Acknowledge the services rendered, even if you’re parting ways. Maintaining a professional demeanor is always prudent.
- Acknowledge Services: “I/We appreciate the services your company provided during the term of the agreement.”
- Express Wish for Success: “I/We wish you the best in your future endeavors.”
- Avoid Negativity: Refrain from airing grievances or assigning blame.
7. Closing: Formalities and Contact Information
End with a professional closing and provide your contact information for any follow-up communication.
- Formal Closing: “Sincerely,” or “Respectfully,”
- Signature: Leave space for your signature above your typed name.
- Contact Information: Include your phone number and email address for ease of communication.
- Example:Sincerely,
[Your Signature]
[Your Typed Name]
[Your Phone Number]
[Your Email Address]
Frequently Asked Questions: Terminating Your Property Management Agreement
Terminating a property management agreement requires careful consideration. This FAQ section addresses common inquiries to help you navigate the process smoothly and professionally.
What should I include in my property management termination letter?
Your letter should include the date, your name and address, the property management company’s name and address, the property address, the termination date, a reference to the original agreement, and a clear statement of your intent to terminate.
What is a reasonable notice period for termination?
The notice period is typically outlined in your property management agreement. Thirty to sixty days’ notice is common, but it’s crucial to review your specific contract.
What happens to tenant leases when I terminate the agreement?
Existing tenant leases generally remain in effect. You assume responsibility for managing those leases or hiring a new property manager to do so.
How do I handle the transfer of funds and records?
Your termination letter should request a detailed accounting of all funds and records related to the property. Arrange for a secure transfer of these items as soon as possible after the termination date.
What if the property management company refuses to terminate the agreement?
Consult with an attorney to review your agreement and explore your legal options. If the company is in breach of contract, you may have grounds for termination despite their objections.
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