PMaaS Terms & Conditions - My Zeal Property (v1.0)

These Terms and Conditions (the "Terms") govern the management services we provide to you, including your access to and use of any related tools, resources, or systems associated with the services provided by Zeal Realty LLC dba Zeal Property Management and its agents.

Any references to "you" or "your" and similar references herein shall be understood to refer to "Owner" as defined in your Master Services Agreement ("MSA"). The terms "Agreement" and "MSA" are used interchangeably and shall refer to your Master Services Agreement, including any incorporated schedules, exhibits, attachments, or other referenced documents therein.

The terms "we", "us", "our", and similar references shall mean and refer to Zeal Realty LLC dba Zeal Property Management, the Property Manager and service provider under this Agreement.

The term "Property" shall mean, individually and collectively, each property described in the MSA, including, for any property with multiple units, each such unit. Pricing described herein shall apply to each Property, or each unit where applicable, on an individual basis unless otherwise expressly specified.

Procurement
The Owner acknowledges and agrees that except as otherwise agreed to in writing by the Property Manager is the sole procuring cause of any lease, written or oral that may be negotiated during the term of the Master Services Agreement, even if said lease may have been negotiated either directly or indirectly by the Owner.

Term
The term shall commence on the Effective Date specified in the MSA and shall continue for the duration of the term set forth therein, unless earlier terminated in accordance with the Terms.
Termination
Either party has the right to terminate this Agreement by giving the required written notice as follows:
- a) Expiration
  Either party may cancel this Agreement prior to the start of the renewal period by providing thirty (30) days written notice to one another.
- b) Early Termination by Owner
  Owner may cancel this Agreement prior to the expiration of the agreed-upon Term by providing thirty (30) days written notice to Property Manager and the Owner shall be obligated to pay a cancellation fee equal to 50% of the total annual Management Fee ("Early Termination Fee"), unless the thirty-day notice serves the purpose of indicating non-renewal. Owner pays Property Manager the Early Termination Fee within ten (10) days of giving notice of early termination.
- c) Early Termination by Property Manager
  We may terminate this Agreement at any time with cause by providing 30 days written notice to you. We reserve the right to withhold funds for thirty (30) days after the end of the month in which the Agreement is terminated to pay any obligations related to the Property, and Owner shall pay the Property Manager any remaining proceeds within 30 days of the termination date. Additionally, the Property Manager may at its option continue to hold Owner liable for any commissions and/or fees due or monies owed to the Property Manager if the tenant remains on the property after such termination by the Property Manager.
- d) Notice
  Acceptable written notice shall only be sent by certified mail, return receipt requested.
Rental Rate and Deposits
- a) Price Changes
  In the interest of reducing time on market and keeping the property consistent with possible fluctuating market conditions, Property Manager is given the authority to negotiate the initial market offering of Rent as outlined in your MSA within a 7% variance without seeking the prior approval of Owner.
- b) Security Deposit
  At Property Managers discretion, a security deposit of no less than the equivalent of one (1) month's Rent, or a monthly non-refundable fee may be required as a condition of renting. Property Manager shall be given sole authority to determine the amount of Security Deposit or Monthly Fee required of a renter consistent with our company policies and procedures.
- c) Assurance Fee
  Property Manager may offer tenant the option to pay a non-refundable fee ("Assurance Fee") in lieu of a Security Deposit in accordance with FL Chapter 83.491. This fee is not a Security Deposit and payment of the fee does not absolve the tenant of any obligations under the rental agreement, including the obligation to pay Rent as it becomes due and any costs and damages beyond normal wear and tear which the tenant or his or her guests may cause.
- d) Security Deposit Option
  The tenant will retain the right to pay a Security Deposit instead of an Assurance Fee at any time by providing written notice to Property Manager, at which time Property Manager will provide to tenant the amount required as a Security Deposit. Upon written acceptance of the Security Deposit amount by the Parties, Tenant shall be obligated to make the Security Deposit payment in full, or at tenant's option, may pay the Security Deposit in monthly installments in addition to making Assurance Fee payments until such time the Security Deposit has been fully paid, then the Assurance Fee will terminate.
- e) Insurance Notice
  If Owner uses any portion of the Assurance Fee to purchase insurance, the tenant is not insured and is not a beneficiary of the Owner's insurance coverage, and that the insurance does not limit or change the tenant's obligations to pay rent and fees under the rental Agreement or change the Tenant's obligation to pay the costs of repairing damage to the premises beyond normal wear and tear.
Disbursements
We will disburse funds to you by no later than the 15th of each month, provided the tenant has paid their rent in full and on time. Funds received will be subject to a reasonable seasoning period to ensure payment clearance and availability for disbursement. If the tenant pays rent late, the seasoning period may extend beyond the 15th of the month, and disbursement will occur within a reasonable timeframe thereafter. If any amounts disbursed in good faith become uncollectible for any reason, you agree to promptly reimburse us for the full amount.
Pets
If pets are permitted in your MSA, then no aggressive breeds consistent with Property Managers policy shall be accepted. If the Property is in a Homeowners/Condo Association and pet restrictions apply, then the most restrictive policy shall rule between these Terms and their rules and regulations. A non-refundable pet fee at a rate consistent with our company policy will be collected per pet and distributed to Owner. If pets are not permitted, this paragraph shall not infringe upon the rights of renters who may require medically necessary animals to reside with them.
Fees
In consideration of the services to be rendered, Owner agrees to pay Property Manager each month all the forms as compensation and reimbursements as may be applicable as they become due for each property listed in your MSA:
- a) Management Fee
  Owner shall pay us a monthly management fee consistent with the rate(s) as published on our website at https://zealrealty.com/property-management/ (the "Management Fee") beginning on the Effective Date and payable on the first day of each month thereafter, from the operating account or from other Owner funds. Owners with customized pricing plans will not be published and must refer to their MSA. You acknowledge and accept that Management Fee increases by ten percent (10%) or less during the Term are binding and cannot be used as a basis for cancellation. In the event of price increases greater than ten percent (10%), such increases will only take effect upon the renewal of the Term.
- b) Tenant Identification and Placement
  Owner shall pay us a listing fee consistent with the rate(s) as published on our website at https://zealrealty.com/property-management/ (the "Listing Fee") for each new tenant placement. Owners with customized pricing plans will not be published and must refer to their MSA. You acknowledge and accept that if Listing Fee increases by ten percent (10%) or less during the Term are binding and cannot be used as a basis for cancellation.
- c) Lease Renewal
  If after the initial lease period, the lease is renewed with the original tenant, Owner shall pay us a listing fee consistent with the rate(s) published on our website at https://zealrealty.com/property-management/ ("Renewal Fee").
- d) Inflation Adjustment Fee
  If the total Consumer Price Index inflation rate exceeds 3.75% (the "Rate") as measured by the U.S. Bureau of Labor Statistics, an additional fee of twenty-five cents ($0.25) per basis point above the Rate shall become due for each month in which the Rate is exceeded.
- e) Bill Payment Fee
  A processing fee of no less than the greater of $2.50 or 5% of the total amount for each bill paid on behalf of the Owner will apply. This fee is an administrative charge added on top of any consumable costs associated with paying the bill, such as postage, check fees, or payment processing expenses.
- f) Reimbursement of Expenses
  You agree to reimburse us for all reasonable and necessary expenses incurred in the management, maintenance, and operation of the property. This includes, but is not limited to, costs related to repairs, maintenance, utilities, insurance claims, legal or compliance matters, vendor payments, administrative services, and any other expenses incidental to the management of the property.
- g) Miscellaneous Compensation
  Property Manager shall be entitled to a commission from all Rent monies collected from the tenant or retained from the security deposit or last month's Rent if owed by the tenant upon vacating the Property, and shall have the right to retain any charges deemed "additional rent" or fees in the lease agreement.
Operating Reserve Fund
You shall always maintain a minimum account balance of $500.00 with us. These funds will be utilized to cover costs associated with necessary repairs, general maintenance, property upkeep, and any other fees or expenses incurred in the performance of the services performed with this Agreement. If recurring monthly payments are being made on behalf of the owner, the property management company reserves the right to require an increased account balance sufficient to cover these recurring transactions in addition to the $500.00 minimum.
Property Manager's Authority
You expressly grant us with the following authority:
- a) Management and Control
  Full management and control of the Property with authority to collect Rent and other monies and securities from tenant in Property and issue receipts thereof.
- b) Application Processing
  To accept and qualify applications for rental and to perform credit checks and other screening services, to approve or decline such applicants according to our policies. Owner shall not be provided with the tenant's credit report or application.
- c) Lease Management
  For Property Manager to prepare and negotiate new leases, renewals and terminations of existing leases as deemed appropriate by Property Manager. Property Manager is authorized for and on behalf of Owner to execute leases and lease renewals.
- d) MLS Listing
  To list or withhold listing the Property on the multiple listing service ("MLS") for any period of time as deemed appropriate by us, and we are authorized for and on behalf of Owner to execute data entry and exclusion forms where necessary.
- e) Repair Services
  To provide for all negotiating and contractual arrangements (in the name of the Owner) by independent contractors for any and all repair services, vermin extermination, and trash removal deemed necessary by the Owner or the Property Manager.
- f) Maintenance Authority
  Owner grants Property Manager permission, at Property Manager's sole discretion, to make and maintain ongoing repairs, general maintenance, and upkeep of the Property as needed without seeking prior approval if all incidents combined do not exceed $500.00 per month. Any improvement, repair or general maintenance item that exceeds $500.00 (except emergency repairs), Owner's written approval shall be obtained first.
Property Manager's Responsibilities
We agree to accept the following responsibilities:
- a) Diligent Management
  To use diligence in renting, leasing, operating and management of the Property for the period and upon the terms herein provided. However, Property Manager does not guarantee the payment of Rents by tenant but will make every reasonable effort to collect same when and as they become due.
- b) Financial Reporting
  To render monthly statements of receipt, expenses and charges and to remit to Owner receipts, less disbursements.
- c) Deposit Management
  To deposit all receipts collected for the Owner (less any sums deducted or otherwise provided herein) in an FDIC insured operating account separate from Property Manager's operating account.
- d) Security Deposit Handling
  Property Manager shall hold security deposits for the Property in a non-interest-bearing account. To minimize legal disputes and liability to both the Owner and the Property Manager, Property Manager retains the sole and exclusive right to refund any security deposits in full or part to an applicant or tenant.
Owner Responsibilities, Representations and Warranties
The Owner agrees to accept the following responsibilities and makes the following representations and warranties:
- a) Property Status
  The property is not subject to any outstanding default, foreclosure, contract of sale, option to purchase, contract for deed, nor any other contractual obligation which would conflict with, preclude, or prohibit us from performing our duties described herein.
- b) Environmental Hazards
  Owner has no knowledge of any environmental hazards related to the Property and agrees that if any environmental hazards arise that the Owner shall take full responsibility of any cost associated with such environmental hazards.
- c) Property Condition
  To maintain the Property in a safe and habitable condition. Owner warrants that all fixtures and operating systems, including without limitation, plumbing, air conditioning, heating and electrical systems, appliances, garage doors and opener(s), ceiling fans, smoke detectors, mailbox and attached lighting fixtures are in satisfactory operating condition.
- d) Insurance Requirements
  To at all times carry at Owner's expense, such insurance against liability, for personal injury and property damage as shall be adequate and necessary to protect the Property Manager and the Owner and to keep Property adequately insured, and immediately notify Property Manager should insurance lapse.
Owner Contact with Tenants
Owner accepts and agrees to not contact tenant(s) in any way while this Agreement is in effect. All communications to and from all parties must always go through Property Manager. Owner agrees and understands that if Owner has any contact with the tenant(s) in person, by mail, by phone or otherwise, the Owner agrees that contact with the tenant(s) may be cause for Property Manager to terminate this Agreement and continuing to hold Owner liable for all commissions due.
Self-Showing Technology
By using our service, you give us permission to use self-showing technology on your property, allow approved prospects access into the home without an agent present, apply sticker decals on/in the home for improved showings and safety, and on vacant properties for us to turn off the main water valve to avoid any possibility for water damage.
Self-showing technology is one that allows us to verify a prospects credentials and then provide access to the Property using a smart lock to increase the number of showings for a property by making it more accessible.
You agree to indemnify and hold us harmless from any claims, losses, damages and expenses, including reasonable attorney fees, of any nature, whether for personal injury, property damage, or costs, arising out of (a) the Owner(s) enforcement of this Agreement, or (b) the Prospect's access to the Property.
Prospective Tenant Acceptance Criteria
We make this disclosure to notify you of the criteria that will be used to place a prospective tenant in your property. This policy is in place to ensure consistent treatment amongst all prospective tenants. Property Manager uses Enhanced Tenant Screening powered by On-Site. Enhanced Tenant Screening evaluates new tenant performance and lease outcomes by combining tenant report data and RealPage's vast rental history database, leveraging over 30 million rental records to more accurately predict which applicants may be at risk for significant bad debt or eviction.
Property Manager maintains the following acceptance criteria:
- a) Income
  Prospective tenants shall have a combined total gross monthly income of no less than 2.5 times the rent amount.
- b) AI Scoring
  - An AI Score between 1-449 would produce a recommendation of Decline
  - An AI Score between 450-600 would produce a recommendation of Accept with conditions
  - An AI Score between 601-1000 would produce a recommendation of Accept
  - An AI score other than Accept may be considered with additional deposit requirements
- c) Collections
  Prospect shall not have any active collection accounts or unsettled charge off accounts associated with their credit profile, except for Medical and Student Loan accounts which are not taken into consideration.
- d) Criminal Background
  Prospect shall not have any felony convictions that involve injury or threat of harm to persons, damage to property or involve the manufacturing, distribution, or sale of narcotics within the last 7 years.
- e) Eviction
  Prospect shall not have ever been evicted or currently face eviction from a property within the last 7 years.
- f) Court Proceedings
  - Prospect shall not be involved in an active bankruptcy
  - Prospect shall not be involved with a property foreclosure within the last 7 years
Dispute Resolution
This Agreement will be construed under Florida Law. All disputes between Property Manager and Owner based on this Agreement or its breach will be mediated under the rules of the American Arbitration Association or other mediator agreed upon by the parties and shall be held in Orange County, Florida.
Owner and Property Manager agree that disputes not resolved by mediation will be settled by neutral binding arbitration in the county in which the Property is located, in accordance with the rules of the American Arbitration Association or other arbitrator agreed upon by the parties.
Attorney's Fees
In any action between Owner and a tenant in which Property Manager is made a part because of acting as an escrow agent under this Agreement, or if Property Manager interpleads escrowed funds, Property Manager will recover reasonable attorneys' fees and costs, to be paid out of the escrowed funds and charged and awarded as court costs in favor of the prevailing party.
Partial Invalidity
Invalidation of any provision of this Agreement by judgement or court order will not affect any other provision, all of which remain in full force and effect; provided, however, any court of competent jurisdiction is hereby empowered, to the extent practicable, to reform any otherwise invalid provision contained in this Agreement when necessary to avoid a finding of invalidity.
Time is of the Essence
Time is of the essence with respect to each party's performance of its obligations under this Agreement. If any date under this agreement falls on a Saturday, Sunday or legal holiday, such date shall be automatically extended to the next business day.
Governing Law
The interpretation, construction, and governance shall align with the laws of the state where the Property is situated. If any clause in this Agreement conflicts with relevant local laws, it will be automatically revised to meet those laws' requirements.
Fair Housing Notice
In compliance with Federal Fair Housing Laws and any State or Local Laws or Ordinances. Please do not ask or expect us to place any restrictions on your property based on a prospective tenant's or occupant's race, color, religion, handicap, sex, national origin, familial status or service member status. Federal, State and/or Local Laws prohibit us from placing any such restrictions on the properties we handle for rent or illegally discriminating in any way.
Miscellaneous
This Agreement is binding on Property Manager's and Owner's heirs, personal representatives, administrators, successors and assigns. Signatures, initials, documents referenced in this Agreement, counterparts and modifications communicated electronically or on paper will be acceptable for all purposes and will be binding.

Property Management as a Service (PMaaS)

Terms & Conditions