Wednesday, May 25, 2011

Who Can Manage Real Property In North Carolina?

Where would you even look to find the answer to this question?
Other than asking a knowledgeable landlord tenant attorney, or reading this blog (published by a knowledgeable landlord tenant attorney), the Real Estate Commission website has a lot of information for anyone who is interested in the regulation of real estate in North Carolina.


First Question: What is Property Management?


According to the NC Real Estate commission, the term "property management" encompasses a broad range of complex activities, it may in its simplest form be said to consist of (1) procuring suitable tenants for rental property, (2) collecting rents/security deposits, (3) providing for the care and maintenance of the leased premises, and (4) maintaining records regarding the property.

Second Question: Who Can Manage Real Property?


The list is pretty short: 1) a licensed realtor; 2)the property owner; 3) employees of the property owner; 3)a manager in the owner's limited liability company (the manager means in the formal LLC sense, but they do not have to also be a member); and clerical, maintenance or janitorial personnel or other person~ who are not involved in the renting' or leasing of real estate.

Third Question: Who Is An Employee of the Owner?


To determine whether persons are regular employees of the property owner (as opposed to agents or independent contractors), the Real Estate Licensing Board applies the following tests:

Does the property owner personally exercise strict control and supervision over such persons?

Does the property owner compensate these persons on a salary basis rather than on a commission or transactional basis?

Does the property owner pay social security taxes on their earnings?

If the answer to any of these questions is "no", then a presumption is raised that the person is not, in fact, an employee of the property owner, and therefore a real estate license would be required in order for this person to handle real estate transactions for the owner.

Fourth Question: Can a Real Estate Broker Form a Management Company And Employ Unlicensed Individuals to Manage Property Under His Supervision?

In a word, NO.

Fifth Question: Is It Really A Big Deal If I Manage A Property Without Authority?

To act as an agent in the leasing or renting of real estate without the required license(s) is a criminal offense.


When employing a management company you should confirm that they are licensed to manage property in North Carolina. As a final thought, not all management companies are equally knowledgeable and effective. Make sure that they are experienced and keep abreast of the constantly changes laws and ordinances that affect your property and your tenants.


Norman D. Praet, Esq. - Assisting owners and managers of rental property.

20 comments:

  1. To handle your own residential property is very difficult, you should take help of professional property management experts who can manage your property well. here we are going to tell you few step to find best property management company. Read more at http://goo.gl/Ywl4TT

    ReplyDelete
  2. Anyone having no knowledge about the real estate management or property management can have some basic info from this blog. Basically we can find certain property management laws differ from country to country. Interested person for property management should possess this much info. I can refer for a good property management company at North Carolina location. Real Estate Management Companies Greensboro, NC. Anyways, thanks for the info.

    ReplyDelete
  3. Hello, Thanks for your blog idea.It is so follow able.
    I have read the blog and I will follow your blogging idea.
    Your blog writing style very good able.I would be very helpful form your blog.Property Management

    ReplyDelete
  4. I have a home with a walkout basement that is finished. It is fully functional as a second home. I am looking to rent this space out preferably to a mature individual or couple. Do I need any special inspections, licenses or permits in order to do this. The property is located in Kernersville, NC?

    ReplyDelete
  5. Another problem with this dataset is that its quite difficult to tell the difference between a whole building sale and an apartment or house sale. http://rentvillagoa.com/

    ReplyDelete
  6. Sometime it becomes very hard to find a well written and well established bog which give you correct and useful information. However, I found this blog and got some relevant information which are really helpful for me.
    ระบบจัดการหอพัก

    ReplyDelete

  7. Find the right residential management company in Baltimore and make your property profiting for you without even putting any efforts for it. You can hire property management company Baltimore as they are reliable and trustworthy company that worth the cost for keeping your property maintained and making it profiting.these guys are umpire service experts

    ReplyDelete
  8. Very nice information in this post
    upayogee.com provides online services like Apartment Management Software, housing society accounting software, society management software and business management software. I am using upayogee Society management software for my housing society and very happy with this software.

    ReplyDelete
  9. Rapidly this unique amazing online site will truly irrefutably come to be prominent among virtually all penning some blog page each gender, considering that persistent articles and other content not to mention opinions. rafleys.com

    ReplyDelete
  10. Some people do not know what real estate property mangers did so it is helpful information. Gordon Rutty knows more about how to manage real estate proeprties.

    ReplyDelete
  11. Phenomenal Blog! I may want to thank for the endeavors you have manufactured in composing this post. I'm trusting the same best work from you down the road too.property management adelaide

    ReplyDelete
  12. AtulEnterprises offers top class Luxury Villas in Pune, Westenhills, Row House in Pune, Bungalow in Pune, Atul Enterprises.Visit for more details.
    Luxury Villas, Row House, Bungalow in Pune


    ReplyDelete
  13. Rental Property management company - San Jose property management specializing in residential rental property services. Serving the Bay Area, San Jose, Saratoga, Los Gatos, Cupertino, Sunnyvale, Campbell, Mountain View, Los Altos, and Santa Clara.

    Rental Property Management

    ReplyDelete
  14. It is a very informative and useful post thanks it is good material to read this post increases my knowledge. Apartment Management Companies

    ReplyDelete
  15. This comment has been removed by the author.

    ReplyDelete
  16. Thank you for the informative blog - Sorry to be commenting on the post so long after it was published. Would #3 under "Who Can Manage Real Property?" still hold true if the property owner holds title to a NC property in their own name but also owns a single member LLC in Wyoming that owns a single member LLC in NC that uses a named non-member manager (LLC definition of manager) to manage the property? Neither the property/LLC owner nor the manager hold any sort of real estate license.

    ReplyDelete
  17. What is the difference between a Property Manager and a Rental manager?

    ReplyDelete
  18. Congratulation for the great post. Those who come to read your Information will find lots of helpful and informative tips. Real Property Management Temecula

    ReplyDelete
  19. If you ask the right questions while shopping around for property managers, you'll get a better idea of who would make the best fit for your property. Ask them these questions when discussing your property management company durham nc to see if they're the right property manager for you.

    ReplyDelete

Legal Disclaimer

The information you obtain at this site is not, nor is it intended to be, legal advice. You should consult an attorney for individual advice regarding your own situation. Nothing in this blog shall create an attorney-client relationship. The opinions expressed herein are those of the blogger and not of the PRAET LAW FIRM, PLLC.