PRACTICE OF PROPERTY MANAGEMENT REAL

PRACTICE OF PROPERTY MANAGEMENT REAL

ESTATE COUNCIL OF ALBERTA EXAM LATEST

CORRECT VERIFIED ANSWERS(DETAILED

ANSWERS)ALREADY GRADED A+

Types of Properties - ANSWER-1. Single Family Residential

2. Multi Family Residential: Low High, Mid Rise High Rise, Row Housing

• Cooperative
• Condominium
• Commercial

Forms of Ownership - ANSWER-1. Individual Investors

• Sole Proprietorship
• Partnership
• Limited Partnership
• Syndication
• Commercial
• Government

Types of Property Management Operations - ANSWER-1. Professional Fee Management Company 2.Asset Management

• In-House Management
• Self- Management

The Role of the Property Manager - ANSWER-To provide professional management in order to assist the landlord in reaching his or her objectives

Types of Residential Property - ANSWER-1. Duplexes

• Fourplexes
• Townhouses
• Low-rise/Garden Apartments
• High-rise apartments

Special Residential Projects - ANSWER-Retirement Homes for Seniors Personal Care Homes Student Housing Public Housing Mobile Home or Trailer Parks Remote Area Corporate Housing Mixed Use Properties

Reasons Individual Owners Lease Property - ANSWER-1. The Property was owner's residence which was kept for rental purposes

• The property was purchased by the owner as a revenue producing

investment

• The property was purchased in a good market as a future retirement home
• The property was inherited as part of an estate and the owner may wish to

lease it while waiting for an improved market to sell it or keep it for his or her own retirement

• The owner was transferred to another city ,but wishes to retain the house

and re-occupy it upon return

Factors for Individual Owners to consider - ANSWER-1. What is the market rent of the property.

• Which type of tenant is most appropriate for the property
• What is the duration of the tenancy
• Will the residence be leased, unfurnished, partially furnished or fully

furnished

Management of Condominium - ANSWER-Board of Directors is responsible for the control, management and administration of the complex.

Duties of Board of Directors - ANSWER-1. Appoint Auditors, enter into property management agreements and supervise the affairs of the commission

• Approve an annual operating budget for anticipated .e.g. landscaping.

exterior painting, expenses

• Allocate funds to the reserve funds for major common areas repairs and

replacement

• Enter into contracts for management, provision of other services, leasing of

common elements or the provision of recreational or other facilities.

Property Manager Duties in a Condominium - ANSWER-1. Occupant Duties

• Building/complex Duties

Duties of the Property Manager(Building/Complex Duties) - ANSWER-1.Prepare the Annual Ops Budget

• Paying Common Area Expenses
• Submitting monthly operating statements
• Maintaining/repairing common property, negotiate contracts, reviewing

capital costs

• Purchasing/renewing adequate Insurance coverage and process claims

6.Maintaince of landscaping, de-icing etc

• Provide notice of annual meeting to condominium building owners
• Attend Board of Director meetings, take minutes, present reports and

advising the Board as necessary.

• Collecting Condominium fees from unit owners.

Condominium Fee is paid into - ANSWER-A common expense account

Each Condominium unit is allocated a proportionate share of the common area expenses - ANSWER-This is based on the size of the unit compared to the size of the total complex. This percentage interest is specified in the condominium plan

The money necessary for the establishment and maintenance of a reserve fund

is : - ANSWER-Collected by the corporation from the condominium fees or by

special assessment of the unit owners

Condominium corporations must have a reserve fund study done - ANSWER- within 2 years of registration and following that must undertake a Reserve Fund study every 5 years.