Oregon 30-Hour Real Estate Law Practice Test

Which of the following is a required element in an Oregon property management agreement?

1. Owner's warranty of good property condition

2. Property manager's compensation

3. Tenant satisfaction metrics

4. Maximum tenant count

The correct answer is: Property manager's compensation

In an Oregon property management agreement, it is essential to include the property manager's compensation as a required element. This aspect clearly outlines the financial arrangement, ensuring that both the property owner and the manager understand how and when the property manager will be compensated for their services. It establishes the terms of payment and helps prevent any misunderstandings regarding the manager's remuneration. Other elements, while potentially useful in specific contexts, do not have the same necessity in the legal framework governing property management agreements in Oregon. For instance, the owner's warranty of good property condition could be a desirable clause, but it is not a mandated requirement for the agreement itself. Similarly, while tracking tenant satisfaction metrics or establishing a maximum tenant count can be important for operational purposes, they are not legally required components. Therefore, the inclusion of the property manager's compensation is crucial for clarity and legal compliance in property management practices in Oregon.