How to switch property managers midstream?

[K Sue Dorsett]

Contractually, we have to notify our PM company (a large firm) 90 days before lease expiration if we are terminating their services.  We plan to do that next week. We already have a new local small PM company lined up to take over. The lease on one of our rentals expires in little over three months. The lease on the other rental home expires in five months. What pitfalls should we avoid as we switch PMs? Should the termination date be the day the first lease expires? Should we ask the old PM to send the two security deposits to the new PM? Can the new PM legally start advertise for new tenants before the old PMs contract terminates? We would like to place this whole transition in the new PMs hands. The alternative is to take over management of the two properties ourselves for several months, but we really prefer not to do that. Any advice?