I recently learned that I can't legally charge a management fee in state of Oregon for "managing" a small residential property. Does anyone know if the same law applies for managing a commercial property? I have a mix of residential, commercial and vacation properties and my management company, which deals with taxes, accounting and generally anything that comes up charges a monthly fee per property. For the portfolio I have, I don't want to do the 60 hours of training the state wants to be an official "property manager" and I'm not sure it's even necessary. My management company is a C corp and I manage non real estate holding companies as well.
I’m not sure exactly what you are doing. I do know if you manage tenants then yes you do need a company -ceo of TCM property management
If your managing your own properties that you have a clear ownership interest in .. no licesne required
if your managing properties for your clients IE collecting rent.. negoatiating leases etc.. then yes you need a brokers license with a PM component.. and you would have to work for a broker for 2 years then sit for your principal broker exam pass that and the property manager component..
does not matter resi or commercial..
reason is your handling lots of money for investors and or negotiating contracts state wants those folks to be licensed and accountable.
Most states are like this.. a few you don't have to be licensed but I would say 90% of the states you need a RE license to manage others properties..
Also you can't just make a scheme of owning 1% or something to get around it.. state will sniff that out quickly.
I only manage properties I have ownership interest in. Funny thing is, I am handling lots of money/negotiating contracts for properties with partners, but that happens before I'm actually managing the properties. It would seem I'm still in the clear because my clients are my partners.
I thought another work-around would be to bill monthly for "clerical services".
thank you for input.
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