Property Management

Question 1

A_______ _________has a fiduciary obligation to a property owner to oversee the financial and physical well-being of the property.
 considered a general agent.
 may be responsible for collecting rents, selecting tenants, renting
and leasing units, maintaining and repairing buildings, supervising building personnel,
maintaining tenant relationships, and accounting for income and expenditures.
 _____ ______should maintain a separate property management account; these funds may be kept in an interest-bearing account.

Answer 1

Property manager

Question 2

What year was the Americans with Disabilities Act enstated?

Answer 2

1990

Question 3

What year was the Federal Fair housing act enstated?

Answer 3

1968

Question 4

What year was the federal fair housing act amended?

Answer 4

1988

Question 5

What year was the civil rights act prohibiting discrimination is on race/color and stated?

Answer 5

1866

Question 6

What type of the state is an interest that gives the holder a temporary right to possession of the estate without having a title?

Answer 6

A leasehold estate

Question 7

Any leasehold estate that has a specific beginning and ending date.

Answer 7

 An estate for years /also called a term tenancy

Question 8

also called an estate from year to year or a period-to-period tenancy) is a leasehold estate for an identified time period but does not have a termination date. Month-to-month leases are the most common form.

Answer 8

 Periodic tenancy

Question 9

a leasehold estate with no specified termination date and no regular rental period. Sometimes no rent is paid; other times, the rent owed has no reference to time periods, like when rent is a percentage of gross profits.

Answer 9

 A tenancy at will

Question 10

The possession of property by a tenant who originally had a right to live in the property because of a valid lease, but stays in the property after the lease expires without the landlord’s permission. Not technically a leasehold estate.

Answer 10

 Tenancy at sufferance or estate at sufferance

Question 11

A ____ ____generally contains the following:

 A description of the property
 The time period covered by the agreement
 The names, duties, responsibilities of each party (the owner and the broker)
 The property manager’s degree of authority to hire, supervise employees, contract with
maintenance and repair resources, approve tenants, etc.
 Compensation (may be a flat fee or a percentage of gross income)
 The use and disbursement of property management funds and/or accounts
 Insurance and risk management
 Reports
 Owner’s responsibilities and objectives
 Management agreement termination

Answer 11

Management agreement

Question 12

Maintaining accounts – The property manager must maintain a property management account that is separate from all other accounts.
 Supervision –managing an assistant property manager, tenant services coordinator, or administrative assistant, as well as contractual employees.
 Building systems – Should have knowledge of major building systems, such as HVAC, plumbing, etc., to effectively plan for maintenance and work with maintenance staff.
 Maintenance – Schedules these as needed: Preventive /Corrective / Cosmetic

Are the:

Answer 12

Operations of the property manager

Question 13

This statement projects the income and expenses for the property over a one-year period. Includes total income, expenses (fixed and variable), and net operating income (income after expenses).

Answer 13

Operating budget

Question 14

Budgets and reports, such as capital expenses and capital reserve budget, stabilized budget (which averages expenses over five years), budget comparison statements, profit and loss statements, cash flow reports, and sample annual operating budget.

Answer 14

Other financial reports and statements

Question 15

 An analysis of the market
 A variety of financial reports, including an operating budget
 A one-year operating budget and five-year plan

These all create:

Answer 15

The management proposal

Question 16

 Alterations and special requests
 Appraisal
 Ecology
 Emergency planning
 Purchasing
 Union negotiations

Answer 16

Other Potential Tasks/Responsibilities

Question 17

Property managers must keep track of capital expenses (expenses to improve the property), as well as the variable expenses (expenses that are not fixed, which fall under the capital reserve budget).

Answer 17

Tracking expenses

Question 18

Must be well versed in the ____ and _____ that govern a property.

Answer 18

Codes and regulations

Question 19

must not restrict the number of children, their ages or their “sex mix” in a dwelling, and standards should have no differences in terms or rates established for other various household configurations.

Answer 19

Occupancy standards

Question 20

A property manager should research the local housing, building, zoning and fire codes, and should determine if the dwelling has any physical configuration or utility service limitations that might affect the establishment in order to:

Answer 20

Establish an occupancy standard

Question 21

The establishment of the maximum number of occupants allowable in a given residential rental dwelling. It is intended to help promote an adequate and safely occupied inventory of housing.

Answer 21

Occupancy standard or policy

Question 22

Great care should be taken when establishing an occupancy standard so as not to:

Answer 22

Infringe on any fair housing laws.

Question 23

Guarantee that the property is fit for human habitation.
 Comply with all building, housing, health, and safety code provisions that materially
affect health and safety.
 Keep the common areas safe and sanitary.
 Maintain the electrical, plumbing, sanitary, heating, ventilating, and air conditioning
equipment in good and safe working order.
 Supply running water, hot water, and heat.
 Respect the privacy and possessions of their tenants.

Answer 23

Landlord obligations

Question 24

 Pay rent on time.
 Not intentionally or negligently damage any part of the property, or permit guests to
damage it.
 Keep the rental unit safe and sanitary.
 Use all electrical and plumbing fixtures properly.
 Comply with housing, health, and safety codes.

Answer 24

Tenant obligations

Question 25

 Hasn’t paid the rent.
 Causes extensive and continued physical damage to the property.
 Engages in activity that results in a serious and continuing health hazard.
 Engages in illegal drug activity that resulted in a formal police report.
 Violates a provision of the lease that allows for termination.
 Remains in the property after the lease has naturally expired.

Answer 25

Reasons why tenant can be evicted

Question 26

The legal process of dispossessing or expelling someone from real property, allowing a landlord to regain possession of the property from a tenant who is otherwise unwilling to give it up.

Answer 26

Actual eviction

Question 27

When a landlord’s act (or failure to act):
 Interferes with the tenant’s quiet enjoyment of the property, or
 Makes the property unfit for its intended use, to such an extent the tenant is forced to
move out.

This is considered:

Answer 27

 Constructive eviction

Question 28

When a landlord evicts a tenant in retaliation for complaining
about the condition of the property, code violations, violations of state landlord/tenant
laws, or for participating in a tenants’ rights group.

This is referred to as:

Answer 28

 A retaliatory eviction

Question 29

When a landlord uses physical force or other means to get rid of a tenant instead of going through the legal process.

This is referred to as:

Answer 29

 A self-help eviction, sometimes called a lock-out or a freeze-out,

(self help evictions are illegal in New York)

Question 30

Restricts the amount of rent charged by property owners and restricts the owner’s right to evict residents. Generally applies to buildings constructed before 1947. The DHCR determines how much the rent may be increased.

Answer 30

 Rent control

Question 31

Provides additional protections to tenants, including requiring certain essential services and providing the right to renew a lease for a term of one or two years. Local Rent Guidelines Boards determine the maximum rents allowable and allowable rent increases in rent-stabilized apartments.

Answer 31

 Rent stabilization

Question 32

What is the ETPA when was it past?

Answer 32

Emergency Tenant Protection Act of 1974.

Question 33

 The immediate family of the named tenant or tenants (if more than one).
 If one tenant, one additional occupant and his or her dependent children
provided that the total number of tenants and occupants, excluding occupants’ dependent children, does not exceed the number of tenants specified in the current lease and that at least one tenant or a tenant’s spouse occupies the premises as his primary residence.

A landlord must allow these family members under what law?

Answer 33

New York State Property Law

Question 34

A major department or chain store strategically located within a shopping center to give maximum exposure to smaller satellite stores.

Answer 34

Anchor Tenant

Question 35

An expense to improve the property and increase its value. Sometimes they are preplanned, but other times they are expenses to replace something on the property that’s no longer working, such as a roof or an air conditioning unit.

Answer 35

Capital Expense

Question 36

Routine maintenance and inspections to keep equipment and the property in good working order.

Answer 36

Preventive Maintenance

Question 37

A person hired by a real property owner to administer, market, merchandise, and maintain property, especially rental property.

Answer 37

Property Manager

Question 38

Leasing or renting or the offering to lease or rent of real property of others for a fee, commission, compensation, or other valuable consideration pursuant to a property management employee contract.

Answer 38

Property Management

Question 39

A report prepared by the property manager to inform the owner on the status of the property, often including income, expenses, and disbursements information.

Answer 39

Property Management Report

Question 40

Regulations intended to protect the rights of tenants in matters related to rent increases or maximum rent, eviction, etc.

Answer 40

Rent Regulations

Question 41

Represents a property management firm and may live on the premises of the building that he or she manages.

Answer 41

Resident Manager

Question 42

A future interest that becomes possessory when a temporary estate (such as a life estate) terminates, and that is held by the grantor (or grantor’s successors in interest).

Answer 42

Reversion

Question 43

The income and expenses averaged over a five-year period.

Answer 43

Stabilized Budget

Question 44

Operating expense necessary to the property, but dependent on the property’s occupancy level.

Answer 44

Variable Expense

Question 45

Lawful possession of real property; an estate

Answer 45

Tenancy