Written Notice
Upon the initiation of a change of management, all paperwork must be completed by client in a timely manner to ensure the change of management goes smooth. A 30 day written notice must be given to Elite stating a specific termination date so that all units are transferred over in an organized fashion. The ERC management notice accepts a 30-day written notice by either party. Please refer to your management agreement for more information. Your written notice must include your signature. You may convey this to us by mail, fax, or a scanned document by email attachment.
Keys/Building Access
It is the client's responsibility to make sure to collect all keys from Elite's office either personally or by sending an authorized representative. Should any keys be missing or not available, Elite is not responsible for changing out locks, but will do so if given authorization and that will be billed in accordance with standard billing rates. Client can request a final walk through of the units prior to change of management with an Elite staff member so long as a 14 day notice is given prior.
Notice to Current Tenants
ERC will mail the notice to the current tenants of the date ERC will no longer manage the property. It is Owner’s responsibility to advise tenants where to make future rental payments and work requests after the notice period.
Subsidized Tenants
Chicago Housing Authority:
Change of Management (COM) and all required docs are to be submitted by your new management company. The COM takes about 30-45 days to complete. Please be advised you will not receive any CHA payment until the COM is complete.
If your property has a pending applicant that is awaiting their initial CHA inspection, the tenant's move will be cancelled once the COM is submitted and your new management company will need to resubmit their paperwork. If a tenant at your property has an annual inspection scheduled we will attend any and all inspections as needed up until the terminating date of management. Any inspections scheduled following the transfer of management are to be attended by your new management company.
Distribution of Documents
ERC will supply current tenant documentation to the owner. Most or all of the necessary documents will already be posted to your owner portal on AppFolio. It is you responsibility to inform ERC of any additional documentation you require.
Utilities
It is responsibility of owner and New management company to transfer all the utilities over their name and change billing address before termination date of management. If not transferred by termination date, ERC may removed from its name.
Final Distribution of Funds
Elite promises to initiate a final accounting reconciliation to make sure that all outstanding bills, credit card charges and utility account reads are done as fast as possible, please note this takes time. All remaining client funds will be transferred to client's account once Elite verifies that all bills, accounts and housing authority payments have been successfully transferred over.
All funds will be transferred within 60 days of termination date if there are no pending bills or charges and no more rent being submitted to ERC by tenant or 3rd party. If there are CHA tenant occupying any of the Unit and we receive payment from CHA after termination date of management, it will take 90 days after the last CHA payment has been received as CHA can reverse the payment. Management fees will be charged to the rent received.
We need to ensure all material, utility, or other charges are 100% settled prior to the final disbursement. ERC will issue a 1099 for funds collected during the current tax year when the tax year ends.
It is Owner's responsibility to remit the balance due if the account is negative before the date of termination and pay the pending bills. If the account balance is negative, the management contract will not be considered terminated.