| 1. |
When will I receive my monthly management statement and what information does it contain?
Generally, we close our books on the last day of the month. Your management statements are then emailed to you. The electronic transfer of your funds occurs on the 10th of each month. However, delays can occur and we must also allow for holidays and weekends. Management statements include: a monthly and year-to-date profit and loss statement for each property, a detailed activity page showing each transaction for each property and a copy of all invoices. The 10th of the month is the earliest possible date for us to transfer your funds due to the possibility of a resident's rent check being returned from the bank. Banks can take a few days to process a check for which there may not be sufficient funds. If we were to transfer funds to you and the resident's check did not clear, your account would go into a negative balance. |
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| 2. |
How will my monthly proceeds be transferred to me?
Monthly proceeds are transferred directly to your bank account each month by electronic cash transfer. It takes three to four days for the electronic transfer to be completed and for the money to show up in your account. Transfers occur on the 10th of the month. However, like our monthly statements we must allow for weekends and holidays. |
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| 3. |
How do I know my property is being maintained?
We keep you informed about a property's condition through several systems. In addition to property manager visits, maintenance visits, and vendor visits, our most comprehensive analysis is our annual property survey. Over time, a property's systems and appliances will deteriorate. By evaluating them on at least an annual basis, you will be more prepared for needed improvements, and more likely to discover potential maintenance items before they become larger, more expensive problems for you. Secondly, the survey gives us the opportunity to view the property and analyze its position in the market. |
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| 4. |
Are the vendors you use qualified and competitive in their rates structure?
Yes, each of our outside vendors must agree to strictly adhere to the guidelines of our "Preferred Vendor Program" in order to do business with our company. This program requires vendors to provide: a) provide free estimates and competitive pricing, b) submit detailed invoices, c) be available 24 hours a day (if we need them in an emergency), d) guarantee the highest quality work with a warranty of labor and materials, e) alert us to any problems at a property, f) call for an approval of any repair out of the scope of work they were sent to perform and g) call for approval if the cost of the repair is going to exceed preset limits. |
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| 5. |
Who will do the maintenance on my property?
Residents are expected to do basic maintenance on your property. They should replace burned-out light bulbs, change air filters, fill water softeners, and change smoke alarm batteries. Additionally, we also expect them to be able to tighten a loose door handle, push the reset button on a disposal or reinstall a window screen that may have fallen. When repairs need to be done outside the scope of the resident's responsibility, one of our handyman or contractors will be sent to the property. |
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| 6. |
What needs to be done to my property for it to be leased?
The better condition your property is in the better quality resident we will attract for you. This means that the property should be clean, and walls should be painted if they are dirty or marred. Carpeting, flooring and appliances should be up-to-date. It is best to have window coverings, such as 2" blinds, on the windows. Generally the property should be in good repair inside and out. Landscaping should be in top condition, as "curb appeal" is critical to the resident's first impression. Many residents begin to make up their mind about your property the moment they pull up to the curb. If the yard, entrance area and interior look sharp, the agent will be much more successful in leasing your home. A quality resident is motivated to take care of your home and will leave it in good condition when they leave. This means lower operating costs for you. |
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| 7. |
What control do I have over who leases my property?
You can specify whether or not you want to allow pets and smokers. However, the more restrictive you are, the longer it could take to rent your property. Federal Fair Housing laws and local Fair Housing laws are very specific and clear about discrimination. Hallmark Property Management believes in and upholds all aspects of the federal, state and local Fair Housing laws. Our experience has been that it is best that you leave the selection process up to us. We are leasing professionals, and in order for residents to lease from us, they must meet our qualifying criteria. |
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| 8. |
How will I know when my property is going to be vacant or when it is leased?
You will be informed as quickly as possible when notice is given by a resident of their intent to vacate the property. We will then walk the property to determine its condition and "rentability". If repairs are needed when the unit turns over, you will be made aware of these, along with cost estimates. You will also be notified when a property has been leased and will be provided with a copy of the signed lease if you request it. |
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| 9. |
What happens if a resident breaks their lease agreement and wants to move out early?
During orientation we explain to residents that one of the conditions of leasing the property is their fiscal responsibility for the entire lease term. If a resident needs to vacate a property early, we explain that they are responsible for the balance of the lease payments until the property is leased again. They are also responsible for paying leasing fee. We are then required to lease the property as soon as possible. Well qualified residents are inclined to perform under the requirements of the lease agreement to avoid possible damage to their credit. |
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| 10. |
Do you charge an override on outside vendor invoices?
No. It is our opinion that paying normal invoices in the process of managing your property is part of a management company's normal responsibility. However, if you want us to monitor a substantial project that would require multiple trips to the property, a cost would be incurred for that work. |
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| 11. |
What is your monthly property management fee?
Our property management fee is based on a percentage of the gross monthly rent and is very competitive. Our fees are also based on the service level needed to deliver the quality of services you expect from a full-service management firm. If you are considering a savings by going with a firm that is less experienced or does not provide a full spectrum of management services you may not receive a good value for your management dollars. |
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| 12. |
What is your leasing commission and what does that cover?
The leasing commission is based on the percentage of the first full month's rent for new residents. From this commission, we pay all agents involved in the transaction, all costs associated with listing your property in MLS, listing it on our website, all the additional property leasing websites, showing the property, screening tenants, preparing the lease documents and performing the lease orientation with your tenants. |
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| 13. |
Do you manage property outside the Orange County area?
Yes. We manage properties in Los Angeles County. Our focus is on managing properties in Orange County and in Los Angeles County. |
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| 14. |
Do I have to allow pets in my property?
No, as the owner of your property it is your decision whether or not to allow pets or not. Some owners will unequivocally not allow any pets, others will approve only small dogs, while others will accept a dog of any size. Some will allow only one pet and others will allow multiple pets. Some will allow cats, some will not, and others will allow cats only if they have been declawed and spayed or neutered. If you decide to allow pets, Hallmark Property Management always recommends a minimum of a $500 pet deposit per animal living in the home and the resident's pets must meet our pet criteria. If you decide not to allow pets within your home we would like you to be aware that you will be eliminating almost 62% of the rental market and it could be substantially more difficult to rent your home. If the management company has done its due diligence and properly qualified the resident(s) and collected the proper deposit, the risk from having a pet is minimized. |
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| 15. |
Will you allow smokers in my property?
No, all our properties are "outside smoking only". The lease agreement and our Rules and Policies clearly state this to the residents. |
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| 16. |
Can the resident get my phone number and address if I use you?
Our office staff is trained to protect your confidentiality. We will not release any information about you to anyone without your approval. |
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| 17. |
What liabilities do I have and how can I protect myself?
As the owner of the property you could be held liable for known and some unknown conditions at the property. In most cases your fire and liability insurance policy will cover you adequately. However, you should discuss with your insurance company the amount of recommended limits for your situation. Our management agreement with you, which is the same as most other management companies, has an indemnity clause that places basic liability for all acts on the owner. Insurance companies know this and most will willingly name the property manager as additional insured at no extra cost. This is important to do, as you want the insurance company to protect us both, in the unlikely event of a lawsuit. |
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| 18. |
Can you help me if I already have a resident?
Yes, we can take over the management of the property with the tenant in it. Once the current lease concludes, we will sign your current resident onto our lease. In cases where the resident is behind in their rent we can take the necessary steps to either get them to pay or evict if we cannot obtain payment. Many residents will suddenly find a way to pay the rent or move as soon as they hear that a management company has been secured to follow through with collection. |
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