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A property manager receives a maintenance request for a broken air conditioner during summer. The repair will cost $800 and the property manager has a maintenance authority limit of $500. What should they do?

Correct Answer

B) Contact the landlord for approval before arranging the $800 repair.

Property managers must stay within the spending authority in their management agreement. Because the quote exceeds the $500 limit, they must contact the landlord for approval before proceeding, and keep the tenant informed, even where the repair is urgent.

Answer Options
A
Proceed with the repair, because an air conditioner failure in summer is an emergency.
B
Contact the landlord for approval before arranging the $800 repair.
C
Advise the tenant to arrange and pay for the repair themselves.
D
Wait until the next routine inspection to assess the air conditioner.

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Related Topics & Key Terms

Key Terms:

authority limitlandlord approvalmaintenancefiduciary dutydelegation
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