| Property Management: Terms and Conditions |
| This agreement is made between Calibre Group, Inc. dba The Travel Directory (hereinafter referred to as the Property Manager) acting as the Property Management Company and the Home Owner (hereinafter referred to as the Owner) who is declaring to be the legal property owner. Whereas the Property Manager desires to provide rental and property management services and Owner desires provision of such services for the fully furnished and equipped property/properties located in the 'Properties' link. The Commencement Date (the date of first billing for Property Management Services) is to be referred to as the Anniversary date and this agreement is subject to an automatic 12 month renewal on the Anniversary date. This agreement may only be terminated, after the first Anniversary date, by either the Owner or Property Manager serving at least 90 days prior written notification to the other party. An email constitutes written notice whereas a text message/sms does not. Now therefore, in consideration of the mutual covenants and promises of the two parties, it is hereby agreed to the following:- |
| 01) Property Manager Obligations |
| Property Manager agrees to be responsible for and to provide the services outlined below: To manage and maintain the property to a satisfactory standard. To obtain all necessary licensing. To administer utility services. To make payment of all monthly bills on behalf of the Owner except where the Owner declares they are paying a bill directly. To make regular property inspections. To manage and promote rentals for the property. To provide a detailed monthly statement of income and expenses. To provide access to the Property Manager website for the Owner to obtain up to date information on the property description, property features and an availability calendar. |
| 02) Responsibilities of Owner |
| Owner is responsible for all expenses associated with the property including mortgage repayments, Homeowner Association fees, insurance premiums, real estate taxes and general running costs. When Owners balance falls below the required Reserve value, the Owner agrees to top up their Reserve when requested to do so by the Property Manager. Failure to comply could result in certain bills remaining unpaid, the disconnection of services and/or the losing of rentals. Should such a situation arise then the Property Manager has the right to cancel the Agreement forthwith. |
| 03) Reserve |
| The Owner agrees to maintain a reserve value of at least US$1,500 (one thousand five hundred United States Dollars) to be used for the sole purpose of costs relating to the general running and rental of the property. This value is reduced to US$500 where Owner settles their own utility bills. |
| 04) Building Insurance |
| The owner agrees to arrange and maintain in force a rental dwelling policy covering the property and with a limit of liability of no less than US$300,000. This is the minimum legal requirement but may be increased to US$1,000,000 for additional premium. Owner must provide evidence of current policy to Property Manager. Without such evidence rentals may not be placed in the property. |
| 05) Limited Power of Attorney |
| Owner agrees to provide a Limited Power of Attorney to enable Property Manager to act on behalf of the owner in relation to the supply of services and utilities. See separate form. |
| 06) IRS Forms |
| Owner agrees to submit for W-7 directly to the US IRS and to provide Property Manager with their personal taxpayer ID number. Overseas owners agree to complete and sign W-8ECI relieving Property Manager of responsibility for payment of personal income tax on behalf of the Owner. If W-8ECI is not completed, then Property Manager will legally be required to withhold 1/3 (one third) of all rental income pending final tax computation with US IRS. All US citizens are required to complete an IRS form W-9. This relieves Property Manager from the responsibility of paying personal income tax to the US IRS on behalf of the Owner. |
| 07) Owners Occupation and Renting of Property |
| Owner has full rights to use the property provided that a vacancy exists for the period required. In the event of a reservation being in place that Property Manager cannot place elsewhere, then the Owner agrees to honor the existing reservation or pay compensation to Property Manager to locate the reservation outside of Property Manager inventory. Owner is to advise Property Manager of all reservations they make directly including if pool heat is required and/or a later checkout time than the normal Property Manager policy. |
| 08) Payments to Owner |
| Property Manager will make every effort to rent the property at the optimum rates possible and endeavor to achieve the highest levels of occupancy. Property Manager agrees to pay the Owner (on request) up to the amount where a balance on the Owners account exceeds the agreed Reserve value set forth on the latest published Homeowner Statement. Notwithstanding, where the Owner account excess includes credit funds for rentals that have not yet been settled to Property Manager, the right is reserved by Property Manager reverse such transactions. |
| 09) Property Management Fees |
| Property Manager will charge Owner US$270.00 monthly for administration which includes all services outlined in ‘01’. All Owner reservations will be subject to a handling fee of US$0. All Owner reservations Guest Registration will be subject to a handling fee of US$0. All Owner reservations Security Deposit will be subject to a handling fee of US$25. This fee will only be valid in the event that Owner asks Property Manager to take care of the Security Deposit. All owner reservation false Call Out will be subject to a handling fee of US$35. |
| 10) Remote Control Platform / Monitoring |
| Property Manager will charge Owner monthly US$30.00 for a property where a Remote Control Platform has been installed. For any property where no Remote Control Platform is installed, Property Manager will charge Owner going monthly rate for property monitoring. |
| 11) Rental Commission |
| Property Manger will receive the following rates of commission: I. Tour Operator / Travel Agent / Wholesale: 0% II. Credit Card Fee: 5% III. Owner Reservation Fee: 10% ‘II’ and ‘III’ will only be valid in the event that Owner asks Property Manager to take monies for the reservation. Payments are disbursed towards tax authorities and owners on departure. |
| 12) Property Repairs |
| Property Manager will arrange all general repairs that are essential for maintaining the home to a level satisfactory to market conditions. Owner agrees to give Property Manager the right to carry out repairs up to US$500 without prior notification to the Owner. Any repair costing more than US$500 will be submitted to the owner for authorization unless the repair is an emergency and required in order to comply with obligations to the renter. In those circumstances the Property Manager agrees to notify the Owner promptly and Owner agrees to meet the costs of repair. |
| 13) Promotional Use of Property |
| If Property Manager requires the use of the property for promotional purposes, then Property Manager agrees to pay the owner rental for any such periods. |
| 14) Termination |
| This Property Management agreement may be terminated by the Property Manager or the Owner giving the other party at least 90 days written notice, subject to completion of at least 12 consequetive months of service from the Commencement Date. In the event of termination of this agreement, Property Manager agrees to release any balance on the Owners account not less than 90 days from the completion of termination period. If there is a debit balance, then Owner agrees to make payment to Property Manager such balance amount on or before the termination date. |
| 15) Hold Harmless |
| It is agreed that the Owner will indemnify Property Manager and hold harmless any responsibility for changes in legislation affecting rental properties or any other circumstance that affects the marketability of the property and will also indemnify any costs or damages so associated. The Owner also will indemnify Property Manager and hold harmless for any acts of god. In addition the owner agrees to indemnify and hold harmless Property Manager together with its agents, employees, representatives from all claims, damages, law suits associated costs, losses and expenses and this will include attorneys fees and legal costs that may arise from injury to any person or property occurring on, within or about the home arising from the services provided by Property Manager under this agreement provided that Property Manager is not in any way grossly negligent in the duties that have been performed. |
| 16) Levels of Occupancy |
| Property Manager will endeavor to ensure that the property is occupied as much as possible and will also endeavor to obtain the optimum rental rates available at any given time. However, this Agreement is in no way a guarantee either expressed or implied as to the frequency of occupation or the level of rental income. Property Manager cannot be held responsible for payment of rentals but will make every effort to ensure that rental payments are made promptly as and when they come due. |
| 17) Owners Rentals |
| Whilst Property Manager will submit to whichever government authority all sales tax and tourist development tax collected on rentals provided by Property Manager, it is clearly stated that on Owner reservations the Owner must ensure that all taxes are collected and forwarded to Property Manager by the 1st of each month unless the Owner is making monthly declarations directly with the respective authorities. It is a crime under Florida law not to remit these taxes as and when they fall due. |
| 18) Agreement |
| Owner agrees not to pass details of this Property Management agreement to any other party without the prior written consent of Property Manager. Property Manager agrees to a 30 day cooldown period, from the commencement date, for Owner to query or cancel this agreement. After such period, Owner agrees to be bound by these terms and conditions. |
| 19) Governing Law |
| All parties to this Agreement agree that any and all litigation arising out of this agreement shall be initiated and maintained exclusively in the circuit courts of Seminole County / Lake County, Florida, USA. The laws of the state of Florida shall govern this Agreement. |