management ? about utilites & bank account

Member since 2025 · 2 posts · 1 vote

Hi there! I've been running my own str/mtr business with 3 units for the past seven years. I'm taking on a duplex to manage for an owner who is moving out of state. I plan to open a separate rent-in-trust account for this property and have a couple of questions. Should the owner have access to the account? Preferably, I'd like not to have the utilities in my name. What is best practice about whose name they're in, and how utilities are paid? Can anyone point to a source of good info on managing mtrs? Thanks!

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Allen DuanPro Member

Property Manager · Los Angeles, CA · Member since 2022 · 590 posts · 463 votes

Hi Hannah! Is this going to be in Oregon? What you should be looking into is the property management law and licensing requirements for the state. I'm in California, so I'll use my state as an example.

A property manager is required to have a broker's license or operate under a broker. This means that you cannot collect rent or handle lease agreements if you are not a property manager. The owners do not need access to the trust account. Also, the utilities should be in the owner's name since the STR/MTR belongs to the owner, not you as the manager.

We currently manage about 40 MTRs in Los Angeles. Happy to be a resource if you're planning to get into this business =)

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William WhitleyBusiness Member
Accountant · TN · Member since 2025 · 146 posts · 92 votes
1y
Since you are effectively the property manager for this owner, I am not sure why you wouldn't simply keep the utilities in the property owner's name. You could still pay the utilities out of the rents received, take out your management fee, and send the net amount to the property owner.

If you open a rent in trust account, I wouldn't necessarily recommend giving the property owner access to that account. You could simply send them whatever rent is left over after covering all the expenses and your management fee.

I hope that helps.

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Allen DuanPro Member
Property Manager · Los Angeles, CA · Member since 2022 · 590 posts · 463 votes
1y
Hi Hannah! Is this going to be in Oregon? What you should be looking into is the property management law and licensing requirements for the state. I'm in California, so I'll use my state as an example.
A property manager is required to have a broker's license or operate under a broker. This means that you cannot collect rent or handle lease agreements if you are not a property manager. The owners do not need access to the trust account. Also, the utilities should be in the owner's name since the STR/MTR belongs to the owner, not you as the manager.
We currently manage about 40 MTRs in Los Angeles. Happy to be a resource if you're planning to get into this business =)
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Amber Clark
Member since 2019 · 23 posts · 11 votes
1y
Hi Hannah, all tenant funds must be held in a trust account in OR - you are required to provide the address of the banking institution to the owner and tenant. Typically, the owner would not have access to the account. The utilities can be in the owner or tenant's name - In Portland, the trash must stay in the owner's name. Then, you can set up interim billing accounts for each service provider in the name of your business or DBA. If you are managing another person's property you are required to have a property management license in Oregon. You can get one online easily. OnlineEd.com is a good resource. Then, check out the Rental Housing Alliance of Oregon to get forms and education on how to be a great landlord. Good Luck!
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- Hannah Bader
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  Member since 2025 · 2 posts · 1 vote
  1y
  Quote from @Amber Clark:
  
  OnlineEd.com is a good resource. Then, check out the Rental Housing Alliance of Oregon to get forms and education on how to be a great landlord. Good Luck!
  Thanks, Amber!
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