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Updated almost 4 years ago, 01/19/2021

User Stats

5
Posts
0
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TJ McDonald
  • Iowa City, IA
0
Votes |
5
Posts

Advice on responsibilities in operating agreement for partners

TJ McDonald
  • Iowa City, IA
Posted

I have a residential real estate LLC with three properties. Someone is going to buy out my current partner and become my new partner. I am making list to designate each of our responsibilities. I am also working with a lawyer so they will take care of other legal matters, but if anyone can look at this list of responsibilities and let me know if there are any duties in the standard world of residential real estate that I left out I would greatly appreciate it. Thanks in advance.

Partner A:

  • Create and post ads for all properties when they are ready to rent out.
  • Be the first point of contact for potential tenants inquiring about available properties.
  • Perform background checks on potential tenants.
  • Create the leases and have them legally reviewed.
  • Contact lawyers for legal matters.
  • Track all revenues and expenses and provide partner with a monthly statement showing the financial status of the company. 
  • Handle all tax preparation and send to an accountant for tax filing.
  • Be the first point of contact for a tenant when they have a question or problem and call the proper personnel for any maintenance requests at the properties.
  • Handle all payments including but not limited to paying contractors and taxes.

Partner B:

  • Schedule and show tenants the properties that are available for rent.
  • Twice a year schedule HVAC servicing's for the properties and let the servicer into the properties on that day.
  • Attend yearly HOA meetings for properties that have them.
  • Inspect properties after a tenant leaves the residence and prepare it for the next tenant.
  • When necessary go to the properties in the event that an owners presence is required.
  • Visit potential properties that there is interest in purchasing.