I recently had the pleasure of giving a presentation to a local property management company on the topic of risk management. It occurred to me this information would be helpful to other property managers in our state. The talking points are below:
Who Talks to Whom?
The Property Manager and/or Broker should be the primary contact for Owners, Tenants, and Vendors, with just a few exceptions:
- An unlicensed person can answer phones, forward calls to or take messages for licensees.
- An unlicensed person can update files and records, under the direction of a licensee.
- An unlicensed person can prepare correspondence and complete documents, as directed by a licensee.
- An unlicensed person can perform bookkeeping duties, under the direction of the Broker.
- An unlicensed person can issue receipts for rent payments made by tenants.
- An unlicensed person can schedule appointments for a licensee.
- An unlicensed person can schedule property repairs, under the direct supervision of a Property Manager.
- Good rule of thumb: If a decision needs to be made, the decision should be made by the Property Manager!
________________________________
Words to Avoid
When dealing with clients
“Here’s the problem…”
The client doesn’t want to know the gory details of how badly the tenant trashed the unit. He wants to know what it’s going to take to turn the unit over and get it rented again. Try this:
“I inspected the property today. I expect we can have it rent-ready within a week. Here is the list of required work, the associated cost, and whether it’s billable to the tenant. As soon as you fund your account by $____, we can get started.”
________________________________
“I’ll try.”
When someone says this to you, do you immediately assume they don’t have much faith in their ability to do what you’d like them to do? Most of us hear it that way. Try this:
“I will.” (Then, explain to the client how you intend to accomplish the goal.)
________________________________
“You should…”
Argh! Them’s fightin’ words! We are easily triggered into a rebellious feeling when we here those words. Try this:
“If we replace the carpeting, we’ll be in a much better position to find a quality tenant.”
________________________________
“You have to…”
(See above, “You should…”)
________________________________
“It’s not my fault.”
Even if you don’t actually say the words, statements that imply someone else is “to blame” for a bad outcome deeply erodes the client’s faith in your ability to do the job. Rather than focus on blame, try telling yourself this:
“I am in control of, and responsible for, my own actions in this situation.” (Step up.)
________________________________
“No problem.”
I’m guilty of using this phrase, frequently. Even though well-intentioned, it can trigger negative emotion. It might imply there is a problem, but you’re willing to ‘sacrifice’ to take care of it. Try this:
“It’s my pleasure.”
* * * * *
Words to Avoid
When dealing with Tenants
Agency
“I’ll see if I can take care of that for you.”
This implies you intend to act as an advocate for the tenant, whatever the particular request. Try this:
“I will be happy to talk to the owner, and let you know his response as soon as I have it.”
________________________________
Risk Management
“This house is in a safe neighborhood.”
What makes a neighborhood safe? Could this be construed as an implied warranty? When courts look at issues of the Landlord’s duty to protect, they consider two factors:
- Could the incident have been foreseen?
- Did the landlord imply any kind of safety or security?
________________________________
“If you don’t like it, you can move.”
A dissatisfied tenant is a lawsuit waiting to happen. Respond promptly to sensitive issues, and address them effectively. Be courteous, even if the tenant is being abusive.
________________________________
Words to Avoid
Fair Housing
“Children are not permitted to…”
Nope. Never. When you’re tempted to use the word “children,” quickly ask yourself if the sentence would be acceptable if you replaced “children” with a name for another protected class: “Latinos are not permitted to…” If that doesn’t sound right, then the word “children” doesn’t work, either. Try this:
“Residents and their guests are not permitted to…”
________________________________
“The ethnicity of the neighborhood is primarily…”
This indicates a preference or limitation, based on ethnic background – a violation of Fair Housing Law.
________________________________
“The _____ church is within walking distance.”
This indicates a preference or limitation, based on religious background – a violation of Fair Housing Law.
8 Protected Classes in Nevada:
It is illegal to state or indicate a preference or limitation,
based on any protected class.
Who Talks to Whom?
The Property Manager and/or Broker should be the primary contact for Owners, Tenants, and Vendors, with just a few exceptions:
· An unlicensed person can answer phones, forward calls to or take messages for licensees.
· An unlicensed person can update files and records, under the direction of a licensee.
· An unlicensed person can prepare correspondence and complete documents, as directed by a licensee.
· An unlicensed person can perform bookkeeping duties, under the direction of the Broker.
· An unlicensed person can issue receipts for rent payments made by tenants.
· An unlicensed person can schedule appointments for a licensee.
· An unlicensed person can schedule property repairs, under the direct supervision of a Property Manager.
· Good rule of thumb: If a decision needs to be made, the decision should be made by the Property Manager!
Words to Avoid
When dealing with clients
“Here’s the problem…”
The client doesn’t want to know the gory details of how badly the tenant trashed the unit. He wants to know what it’s going to take to turn the unit over and get it rented again. Try this:
“I inspected the property today. I expect we can have it rent-ready within a week. Here is the list of required work, the associated cost, and whether it’s billable to the tenant. As soon as you fund your account by $____, we can get started.”
“I’ll try.”
When someone says this to you, do you immediately assume they don’t have much faith in their ability to do what you’d like them to do? Most of us hear it that way. Try this:
“I will.” (Then, explain to the client how you intend to accomplish the goal.)
“You should…”
Argh! Them’s fightin’ words! We are easily triggered into a rebellious feeling when we here those words. Try this:
“If we replace the carpeting, we’ll be in a much better position to find a quality tenant.”
“You have to…”
(See above, “You should…”)
“It’s not my fault.”
Even if you don’t actually say the words, statements that imply someone else is “to blame” for a bad outcome deeply erodes the client’s faith in your ability to do the job. Rather than focus on blame, try telling yourself this:
“I am in control of, and responsible for, my own actions in this situation.” (Step up.)
“No problem.”
I’m guilty of using this phrase, frequently. Even though well-intentioned, it can trigger negative emotion. It might imply there is a problem, but you’re willing to ‘sacrifice’ to take care of it. Try this:
“It’s my pleasure.”
Words to Avoid
When dealing with Tenants
Agency
“I’ll see if I can take care of that for you.”
This implies you intend to act as an advocate for the tenant, whatever the particular request. Try this:
“I will be happy to talk to the owner, and let you know his response as soon as I have it.”
Risk Management
“This house is in a safe neighborhood.”
What makes a neighborhood safe? Could this be construed as an implied warranty? When courts look at issues of the Landlord’s duty to protect, they consider two factors:
- Could the incident have been foreseen?
- Did the landlord imply any kind of safety or security?
“If you don’t like it, you can move.”
A dissatisfied tenant is a lawsuit waiting to happen. Respond promptly to sensitive issues, and address them effectively. Be courteous, even if the tenant is being abusive.
Words to Avoid
Fair Housing
“Children are not permitted to…”
Nope. Never. When you’re tempted to use the word “children,” quickly ask yourself if the sentence would be acceptable if you replaced “children” with a name for another protected class: “Latinos are not permitted to…” If that doesn’t sound right, then the word “children” doesn’t work, either. Try this:
“Residents and their guests are not permitted to…”
“The ethnicity of the neighborhood is primarily…”
This indicates a preference or limitation, based on ethnic background – a violation of Fair Housing Law.
“The _____ church is within walking distance.”
This indicates a preference or limitation, based on religious background – a violation of Fair Housing Law.
8 Protected Classes: 
It is illegal to state or indicate a preference or limitation,
based on any protected class.
For quite some time now, I’ve been operating both this website and The Comma Queen site. Still, the information I’ve been able to post on these two sites didn’t really encompass the range of what I’m doing these days…
