Legacy Property Management Owner’s Manual 

Welcome to Legacy Property Management! 

Thank you for choosing Legacy Property Management to care for your rental property. We’re excited to partner with you and proud to be your trusted resource for residential property management. 

Our mission is simple: to manage your property with excellence, maximize your return, and ensure full compliance with all applicable laws, regulations, and industry standards. 

This Owner’s Manual is designed to guide you through the most common questions and processes you’ll encounter as we begin working together. We hope you find it clear, helpful, and easy to reference anytime you need support. 

How our Offices are Organized 

At Legacy Property Management, our team is structured to support every stage of your property’s lifecycle—from marketing and leasing to day-to-day maintenance and tenant relations. Each office includes dedicated team members who specialize in key areas to ensure your property is well cared for, and your experience feels smooth and supported. 

Property Managers 

Each region is assigned a dedicated Property Manager who will be your primary point of contact. Your Property Manager oversees all owner communication and can assist with questions related to accounting, leasing, maintenance, and general property operations. They’re here to provide clear guidance and help you feel confident and informed. 

Maintenance Specialists 

Each office has a designated Maintenance Specialist focused on coordinating all maintenance-related needs. This includes dispatching vendors, gathering estimates, scheduling inspections and repairs, and communicating with tenants. Your Maintenance Specialist also serves as the tenant’s main point of contact for maintenance concerns, ensuring timely and consistent support. 

Field Technicians 

Our Field Technicians complete all property assessments and inspections with care and attention to detail. These evaluations help us identify any existing or potential issues early, ensuring your tenants enjoy a safe and well-maintained home. As a fully licensed General Contractor, Legacy Property Management is also able to handle all work orders that fall within our technicians’ scope of expertise, providing timely and reliable service you can count on. 

Additional Specialists 

Behind the scenes, our team also includes Specialists who support essential functions such as Accounting, Property Showings, Application Processing, and Leasing. Their work ensures that every part of the management process is efficient, accurate, and aligned with our commitment to exceptional service. 

See Your Property Status Online Anytime: The Owner’s Portal 

Our online Owner’s Portal is the most convenient and efficient way to stay connected with our office. Through the portal, you’ll have a clear record of all communication and easy access to important information about your property—including financial statements, lease documents, and maintenance history. 

Access 

Your email address serves as your User ID, and a temporary password will be assigned to you during the onboarding process. Once logged in, you’ll be able to personalize your password and begin exploring your portal dashboard. 

What’s Inside 

Your portal is designed to keep everything you need in one place. You can quickly view: 

• Monthly financial statements 

• Scanned documents and leases 

• Maintenance updates and completed work orders 

To streamline operations and reduce paper waste, we do not mail physical invoices. Instead, your monthly statement—available for download in the portal—serves as your invoice for management fees and any work completed on your property. 

Marketing & Advertising 

Vacancies 

After selecting a property management company, one of the biggest concerns for owners is how quickly a vacancy can be filled. At Legacy Property Management, we take vacancies seriously and work diligently to secure qualified residents as efficiently as possible. 

Determining Rental Rates 

A key step in marketing your property is determining a competitive and realistic rental price. Legacy Property Management uses a proprietary market analysis process to compare similar homes and local rental trends. We’ll provide you with a recommended rental range and discuss the trade-offs between holding out for a higher rent versus filling the vacancy more quickly at a rate aligned with current market demand. Together, we develop a strategy that fits your goals. 

Pets 

Because a large percentage of renters have pets, deciding whether to allow them can significantly impact your applicant pool. Allowing pets can increase interest and reduce vacancy times. 

 Not allowing pets can reduce wear and tear, but may limit potential applicants. 

It is legal to restrict or decline pets, with the exception of service animals and medically prescribed assistance animals. These animals are not considered “pets” and are exempt from pet rules, restrictions, and fees. You may also define acceptable pet types or sizes (for example, “dogs under 20 lbs”). State laws differ regarding pet deposits or pet rent, and our team can help ensure your property remains compliant. 

Advertising Your Property 

Based on our experience, a combination of traditional and online advertising produces the strongest results. While specific strategies vary based on your property's location, we generally recommend: 

• A professional yard sign 

• A robust online listing across approximately 50 rental websites 

• Video walk-throughs shared on social media during tougher market conditions 

This multi-channel approach ensures maximum visibility for your property. 

Showings 

Most inquiries we receive are from potential renters interested in touring a property. To streamline this process and ensure secure, efficient showings, we utilize a self-guided showing system called Tenant Turner. 

Prospective renters must: 

• Create a Tenant Turner account 

• Upload a photo ID 

• Submit a selfie for verification 

• Complete a brief questionnaire 

Once approved by our team, they receive a one-time access code to the lockbox for the date and time they selected. Showings are available Monday through Friday from 8:00 AM to 8:00 PM, making it easy for prospects to view the home at their convenience. 

Qualifying Residents 

We screen applicants using a national credit-reporting provider to review an applicant's background, credit history, and rental references. Due to Fair Credit Reporting Act regulations, credit reports cannot be shared directly with owners. However, your Property Manager will provide a clear recommendation based on a thorough assessment of the applicant. 

Lease Signing 

Legacy Property Management uses a standardized lease written in plain, easy-to-understand language. The template is nationally tested and reviewed locally by a real estate attorney to ensure compliance and clarity for all parties. 

Deposits 

Security Deposit 

Security deposits are regulated under federal and state real estate laws and are handled in full compliance with those requirements. While the tenant occupies the property, the deposit legally belongs to the tenant unless forfeited under the lease or applicable law. 

We hold all security deposits in a designated escrow or trust account until the final inspection is completed after move-out. This process protects you from potential legal disputes by ensuring that all deductions and timelines strictly follow local regulations. 

Residents 

Successful rental properties rely on stable, responsible residents, and much of our business model is built around cultivating positive, long-term tenant relationships. 

If a Resident Is Already in the Property 

If you join Legacy Property Management with an existing tenant already in place, we make the transition simple and seamless. We will: 

• Introduce ourselves to your resident 

• Review how and where to pay rent 

• Explain how to contact our office for maintenance or repairs 

• Evaluate the existing lease to determine whether any updates are needed 

Our goal is to ensure both you and your resident feel supported from day one. 

Housing Choice Voucher (Section 8) 

What Are Housing Choice Vouchers? 

The Housing Choice Voucher Program is the federal government’s primary method of helping very low-income families, seniors, and individuals with disabilities access safe, decent, and sanitary housing in the private rental market. Because assistance is tied to the resident rather than the rental unit, participants can choose from a variety of housing options—including single-family homes, townhomes, and apartments. 

In California, landlords must accept Housing Choice Vouchers. Rental units must also meet the health and safety standards established by the local Public Housing Authority (PHA). 

Under this program, the PHA pays a portion of the rent directly to the landlord on behalf of the participating household. The resident pays the remaining balance, which is the difference between the contract rent and the PHA subsidy. 

Roles in the Program 

The Housing Choice Voucher Program involves several parties—each with its own responsibilities: 

Tenant Responsibilities 

Once a unit is approved by the PHA, the tenant signs a lease with the landlord for a minimum of one year. A security deposit may be required. After the first year, the lease may be renewed or continue month-to-month, depending on the landlord’s preference. 

Tenants are required to: 

• Comply with the lease and all program rules 

• Pay their share of rent on time 

• Maintain the rental home in good condition 

• Notify the PHA of any changes to income or household composition 

Landlord Responsibilities 

Landlords participating in the program must: 

• Provide safe, decent, and sanitary housing at a reasonable rent 

• Maintain the property so it continues to meet Housing Quality Standards 

• Honor all obligations outlined in the lease and in the Housing Assistance Payment (HAP) contract with the PHA 

Housing Authority & HUD 

The PHA inspects the property, approves the lease, issues subsidy payments, and ensures compliance with program regulations. HUD oversees the program at the federal level. 

Rent Disbursements 

Receiving Your Owner Draw 

One of the most common questions after signing the Management Agreement is, naturally, “When will I receive my funds?” Owner disbursements—listed as Owner Draw on your monthly statement—are issued on the last business day of each month. 

Important Note About Timing 

Rent payments collected during a given month cannot be used to pay that same month’s mortgage. Because owner draws are sent at month-end, we recommend keeping at least two months of mortgage payments in reserve to comfortably cover your obligations. 

As long as rent is received before the last business day of the month, your Owner Draw will typically arrive around the first of the following month—providing plenty of time to meet most lender due dates. 

How the Owner Draw Is Calculated 

The calculation is simple: 

Monthly rent received 
 – Management fee 
 – Maintenance expenses (if any) 
 – Other authorized expenses 
 – Minimum account balance 
 = Owner Draw 

“Other expenses” may include: 

• Additional advertising charges 

• Utility bills 

• Emergency repair costs 

• Mortgage payments (if you have arranged for Legacy Property Management to make them on your behalf) 

If Rent Has Not Been Received 

Rent is due no later than the 5th of each month. While most residents pay on time, late payments do occasionally occur. Legacy Property Management follows a consistent process for addressing late or missing rent. This process can be halted at any stage if the tenant cures the balance. 

1. Courtesy Outreach 
 A phone call or email to the tenant is typically enough to resolve most issues and establish a payment commitment. 

2. Pay or Quit Eviction Notice 
 If late payments become recurring or significantly overdue, we may issue a Pay or Quit Notice as allowed under state law. This notice may be generated by our office or by an eviction attorney. Attorney fees or notice fees may apply. 

3. Formal Eviction Proceedings 
 If the resident does not satisfy the Pay or Quit Notice, the eviction process continues—usually with attorney involvement. More details are available in the Evictions section of this manual. 

Handling of Late Fees 

Late fees are assessed in accordance with the lease and applicable state law. When the tenant makes a payment after fees have been charged, the payment is applied in the following order: 

1. Late fees 

2. Past-due rent 
   Late fees are handled according to your Management Agreement with Legacy Property Management. 

Communications 

Some property owners prefer to communicate directly with their renters; however, we strongly discourage this. One of the primary benefits of professional property management is removing the stress and complexity of direct tenant interactions. When owners communicate with renters independently, it can create confusion and unintentionally undermine the management process. 

Direct communication from an owner may also be misinterpreted by the tenant as a change in terms or an additional contractual obligation—potentially exposing you to unnecessary legal liability. By keeping all communication between Legacy Property Management and your tenants, we ensure that messaging is consistent, expectations are clear, and your interests remain fully protected. 

If you ever need to relay information to your tenants, we’re more than happy to communicate on your behalf. Our goal is to maintain clean, accurate, and documented communication so your property is managed smoothly and professionally. 

Maintenance 

At Legacy Property Management, we believe that a well-maintained rental with strong curb appeal not only rents faster but also attracts high-quality residents, achieves stronger rental returns, and reduces long-term maintenance issues. Once a resident moves in, they’re not just renting a property—they’re making a home. Keeping the home in good working order, responding promptly to repair requests, and maintaining legal habitability standards are essential to resident satisfaction and timely rent payments. 

By signing a rental agreement, an implied warranty of habitability is created. This is a legal requirement ensuring that the property is safe, livable, and well-maintained. Routine maintenance and periodic property reviews help us meet these obligations and protect your investment. 

Budgeting for Maintenance 

Every rental property needs a reliable maintenance budget. Owners typically use one of the following methods: 

• Percentage of monthly rent: 1.5%–2% of annual rent 
   Example: If rent is $1,000/month, you may wish to keep $1,500–$2,000 in reserve. 

• Percentage of property value: 2%–3% of the home’s market value 
   Example: If your property is valued at $100,000, consider reserving $2,000–$3,000. 

Regardless of the method, the most important thing is having funds available for emergency repairs and required legal maintenance. This is part of the long-term financial commitment of owning a rental property. 

Understanding Risk 

One major reason owners choose Legacy Property Management is to reduce financial and legal risk. 

1. Compliance Risk 

Maintenance requests often involve compliance with federal, state, and local housing laws. Legacy Property Management stays current with all applicable regulations, so you don’t have to. 

It is our policy that all legal and habitability violations—whether cited or not—must be corrected. 
 Failing to make required repairs may expose owners to legal (and sometimes criminal) liability. You may use your own licensed and insured contractor, provided the work is completed promptly and professionally. Otherwise, we can dispatch one of our vetted vendors at your expense. 

Refusal to fund legally required repairs may be grounds for termination of the management agreement. 

2. Quality of Repair Work 

We only work with contractors who are properly licensed (when required), insured, certified as needed, and who have a proven history of timely, professional work. 

Legacy Property Management also holds a general contractor license, allowing us to perform many repairs in-house. For work outside our scope, we partner with trusted vendors to ensure high-quality results. 

Inspections 

Initial Inspection 

After the Management Agreement is signed, we perform an initial inspection to identify any visible issues that may pose safety concerns or develop into hazards later. You will receive a report along with recommended corrective actions, with priority given to habitability and legal compliance. 

Periodic Inspections 

In addition to move-in and move-out inspections, we conduct periodic inspections throughout the year to ensure the property remains in good condition. 
 You may choose the schedule: 

• Quarterly 

• Semi-annually 

• Annually 

These regular visits help identify preventative maintenance needs and ensure the home remains safe and well-kept. All inspection reports will include pictures and will be uploaded to your owner portal. 

Emergency Repairs 

What Counts as an Emergency? 

Emergency maintenance generally includes issues that must be corrected immediately to ensure the resident’s health and safety. Examples include: 

• No heat during the winter months 

• Loss of power or water 

• Flooding 

• A clogged toilet (if the home has only one) 

• Security issues (break-ins, storm damage, etc.) 

• Notices of violation from city or housing authorities 

Emergencies must be addressed promptly to remain compliant with landlord-tenant laws and to protect both the resident and the property. 

Evictions 

While many owners never experience an eviction, it is an unavoidable reality within the rental industry. The best protection against eviction is: 

• Careful tenant screening 

• Consistent maintenance 

• Clear, professional communication 

• A responsive property management team 

Legacy Property Management is committed to providing all of these resources to reduce the likelihood of eviction. 

Our Role in the Process 

Eviction laws vary by state and situation, but you can rely on us to coordinate the process professionally, respectfully, and as efficiently as possible. If eviction becomes necessary, your dedicated team will keep you informed every step of the way. 

Eviction Costs 

Although timelines and fees vary, you can generally expect three categories of expenses: 

1. Legal Fees 

This includes attorney time for drafting notices, filing court documents, representing you in hearings, and obtaining judgments. You may use our preferred attorney or select your own. 

2. Service Fees 

These include costs for: 

• Process servers 

• Constables or Sheriff’s Deputies 

3. Ready-to-Rent Expenses 

After an eviction, properties often require extra cleaning, repairs, or maintenance. Although the resident is liable for these costs, owners typically need to fund them upfront. We recommend setting aside funds once an eviction becomes likely. 

How Long Does the Process Take? 

The eviction timeline depends on several factors, including local laws, whether the resident avoids service, and whether they contest the case. Generally, the process includes: 

1. Pay or Quit Notice — informs the resident of the violation and demands payment/cure or surrender of possession. 

2. Filing with the Court — if the resident does not comply. 

3. Hearing & Judgment — scheduled by the court. 

4. Move-Out or Lockout Period — the resident is given time to vacate. 

Most evictions take two to three months from start to finish, but this varies based on court schedules and circumstances. 

 California Franchise Tax Board 

For owners who reside outside of California, state law requires that 7% of rental income collected be withheld and submitted as quarterly payments to the Franchise Tax Board (FTB). This applies to all non-residents who receive income from California sources, including rental income. Under certain circumstances, the state may approve a reduced or waived withholding amount depending on the form submitted. 

There are three primary FTB forms—one of which must be kept on file and approved in order for Legacy Property Management to adjust or remove the required withholding: 

Form 588 – Nonresident Withholding Waiver Request 
 Used when the taxpayer has filed tax returns for the previous two years and has no outstanding tax balances. 

Form 589 – Nonresident Reduced Withholding Request 
 Used to request a reduced withholding amount by itemizing property-related expenses. 

Form 590 – Withholding Exemption Certificate 
 Used when you file state taxes from a California address. 

These forms will be provided once your Management Agreement is signed, and they are always available online at the FTB website. Until one of these forms is submitted and approved, Legacy Property Management is required to withhold the standard 7%. 

Financial Statements 

We know how important clear and timely financial information is to our owners. Your financial statements help you plan for the year ahead, track performance, and maintain accurate tax records. 

Monthly Statements 

Your monthly statement is available through your online owner portal—typically by the 1st of the following month. This statement provides a clear summary of how rental funds were applied. The four most common categories include: 

Management Fee 
 Deducted according to your Management Agreement. 

Maintenance Expenses 
 Any approved maintenance costs are itemized and deducted. 

Other Expenses 
 Includes items such as utility bills, FTB payments, or other expenses you’ve authorized us to submit on your behalf. 

Owner Draw 
 The remaining amount is disbursed to you after all expenses have been paid. 

Year-End 1099 

Your IRS Form 1099 will be issued within 30 days after year-end. This form reflects rental income received on your behalf during the prior calendar year and can be used directly for tax preparation. You will also receive a comprehensive annual statement summarizing the entire year’s activity. 

Complaints 

Legacy Property Management is locally owned and service-driven. We take pride in delivering excellent customer care, and your feedback is essential to helping us improve. If you ever have a concern—big or small—please reach out by phone or email. We truly want to hear from you. 

How Complaints Are Handled 

When you contact us with a concern: 

1. We listen first. We will make sure we clearly understand the situation from your perspective.

2. We research the issue. If we need time to investigate, we will provide a reasonable timeframe for when you can expect a response.

3. We respond with clarity. When we get back to you, we will either (1) clarify the issue, (2) ask how you would like it resolved, or (3) offer resolution options.

4. We agree on the next steps. Together, we will establish a plan of action that fully addresses the concern.
   
   

Our goal is always to work collaboratively, honestly, and reasonably toward delivering the best possible ownership experience. 

Disclaimer 

Your Management Agreement serves as the definitive document governing our relationship. This manual is intended for guidance and reference only. 

CalBRE 01929055