||Accredited Residential Manager (ARM)
Standards and Functions Requirements
As of January 1, 2012, AMO Applicant Firms will need to demonstrate that they meet certain standards and functions in relation to firm operations and servicing the client. These new standards are based upon the Best Practices: Real Estate Management Service which provide a reasonable framework for the professional delivery of real estate management services.
Applicant firm must meet specific standards for operations of the firm as follows:
- Was established and conducts its business activities in compliance with all applicable laws and regulations.
- Has established and enforces policies and procedures for firm operations.
- Maintains firm, property, and client records in accordance with regulatory, contractual, and company guidelines.
- Has established, maintains, and updates as needed an accounting system that complies with accepted accounting procedures, firm operations, and client obligations.
- Was established with and adheres to internal financial controls for the handling of firm and client funds and does not commingle funds of multiple clients or client funds with firm funds.
Applicant firm must meet specific standards for servicing the client as follows:
- Has a written management agreement, as mutually agreed upon between the firm and its clients, that establishes the business relationship.
- Develops and implements leasing policies and procedures for properties managed in accordance with regulatory, contractual, and firm guidelines.
- Fully discloses to the clients acceptance of any rebates, fees, commissions, discounts, or other benefits, monetary or otherwise.
Applicant firms must meet 18 of 28 functions relative to operations of the firm and to servicing the client and property as follows:
- Develops and executes an emergency preparedness and response plan.
- Provides for professional development, training, and/or credentialing of employees.
- Establishes written job descriptions that accurately define employee responsibilities.
- Prepares and monitors an annual budget.
- Develops, maintains, updates, and communicates a strategic plan.
- Participates and supports employee involvement in industry organizations and/or community groups.
Servicing the Client and Managing Properties
- Develops and maintains a client customer service plan.
- Develops and maintains a written leasing plan.
- Prepares a management plan.
- Establishes and enforces written operating policies and procedures.
- Recommends and assists in implementing capital improvements.
- Establishes and follows procedure for reporting loss claims and potential loss claims.
- Establishes and executes, if needed, an emergency preparedness and response plan.
- Establishes security policies and procedures.
- Maintains emergency and life safety equipment.
- Establishes and maintains an environmental and health safety management program.
- Develops and implements a written marketing plan.
- Establishes rental rates.
- Provides adequate staffing.
- Develops, maintains, and enforces general safety guidelines and awareness to protect tenant/resident safety.
- Establishes a customer service plan for tenants/residents.
- Develops and adheres to written policies and procedures on tenant/resident selection in accordance with regulatory, contractual, and firm guidelines.
- Monitors that tenants/residents are in compliance with lease terms, including rent collections.
- Prepares annual operating budgets.
- Assesses, develops, and implements plans for preventative and routine maintenance.
- Requires contractors providing goods or services to meet minimum insurance requirements.
- Receives, deposits, and accounts for all incoming funds accurately and protects the client’s funds against all foreseeable contingencies, depositing such funds in an escrow, trust, or agency account with an insured financial institution.
- Disburses and accounts for outgoing funds and payables accurately.