Property Manager vs owner on lease
12 Replies
Ryan Bird
posted 7 months ago
When we go with property managers and create rental lease with tenants, is it typical to put property managers name on the rental lease (as landlord/lessor) vs owners name/llc?
Got conflicting answers so wondering what’s the norm
Jaysen Medhurst
Rental Property Investor from Greenwich, CT
replied 7 months ago
I'm pretty sure it's the owner, @Ryan Bird . A PM could be fired in the middle of the lease.
@David Wolber , what do you do?
David Wolber
Property Manager from Groton, CT
replied 7 months ago
My PM company puts the lease in the owner's name as landlord, but we sign as Authorized Manager. Our management agreement provides this signature authority and the lease defines us as the authorized manager.
Ryan Bird
replied 7 months ago
@David Wolber @Jaysen Medhurst
Thanks good to know. That’s what my attorney suggested too. However, majority of folks I talked to were taking the other route so was curious if there are any reasons not to put owner’s name on the lease.
Anna Sagatelova
Property Manager from Cleveland, OH
replied 7 months ago
Our company's lease lists us as the landlord. It's never been an issue if there's a transition of management mid-lease. A property can also be sold mid-lease, even if it's the owner's name being used as LL.
David Wolber
Property Manager from Groton, CT
replied 7 months ago
My attorney told me from day one to do it this way and I never argue with the man and he's never steered me wrong!
I'd be curious to hear why as well.
Anna Sagatelova
Property Manager from Cleveland, OH
replied 7 months ago
I'm sure there might be state-specific reasons as well, the way that property management is regulated likely differs a bit state-by-state.
Drew Sygit
Property Manager from Birmingham, MI
replied 7 months ago
We also put the owners name on the lease and we are identified as the Agent of the owner.
Nathan G.
(Moderator) -
Real Estate Broker from Cody, WY
replied 7 months ago
The lease agreement is in the owner's name with my company as the Landlord's Agent.
Mike Giallanza
Property Manager from Centennial, Colorado
replied 7 months ago
Our lease is with the PM company signing as the Landlord's Agent. An assignability clause should be standard in every lease, this way if the relationship sours or if the Landlord sells the property, the lease is assign to the next party.
David Wolber
Property Manager from Groton, CT
replied 7 months ago
When it comes to selling a property, leases"run with the property". Therefore it doesn't matter who's name is listed as landlord. Even if is under PM or self managed, the lease stays fully in force until the lease end date. Now this could be state specific, but I'd be willing to bet this is the law most places.
Peter T.
Property Manager / Realtor from New Brunswick, NJ
replied 7 months ago
Originally posted by @Drew Sygit :We also put the owners name on the lease and we are identified as the Agent of the owner.
This is what we do here in NJ.