Plenty of rental owners stay with a property manager they are not happy with simply because switching sounds like a hassle. Maybe calls go unanswered, owner statements are confusing, maintenance bills seem high, or units sit vacant longer than they should. The good news is that changing managers is a routine process. With a little planning, your tenants barely notice and your rent keeps flowing.
Here is how to do it step by step.
Step 1: Read Your Current Management Agreement
Before you say anything to your current manager, pull out the agreement you signed and read it carefully. The terms in that document will shape your timing and costs. Look for:
- Term and renewal: Is it month-to-month, or a fixed term that renews automatically? Some agreements only allow cancellation at the end of a term.
- Termination clause: What does it say about ending the agreement? Some allow termination for any reason with notice. Others limit it to specific circumstances.
- Notice period: Many agreements require written notice a set number of days in advance. Note the exact requirement and how notice must be delivered.
- Termination or cancellation fees: Some managers charge a fee to cancel, or a fee tied to remaining months on the term.
- Leasing fee provisions: Check whether the manager claims any ongoing fee or commission for a tenant they placed, even after you leave. This is common and worth understanding up front.
- What happens to records and funds: The agreement may spell out how deposits, reserves, and documents will be transferred.
If anything in the agreement is unclear, or the manager disputes your right to terminate, talk with a real estate attorney before you act. It is much easier to get the details right at the start than to untangle them later.
Step 2: Choose Your New Manager First
Do not send a termination notice until you know who is taking over. A gap between managers means nobody is collecting rent, handling repairs, or answering tenant calls. Interview a few companies, compare what is included in their fees, and ask how they handle transitions. Our guide on how to choose a property manager in Phoenix covers the questions worth asking.
Compare pricing carefully. Look at the monthly management fee, leasing or placement fees, renewal fees, and any markups on maintenance. A low monthly rate can be offset by add-on charges elsewhere. You can see exactly how our fees are structured on our pricing page.
Step 3: Give Notice the Right Way
Once your new manager is lined up, send written termination notice to your current company following exactly what the agreement requires. Keep it short and professional. Include:
- The properties covered
- The effective termination date
- A request for all records and funds to be transferred by that date (or a reasonable date after)
- Contact information for your new manager, if you want them to coordinate directly
Keep a copy and proof of delivery. There is no need to explain your reasons or get into a debate. A calm, businesslike handoff tends to go faster.
Step 4: Collect Everything You Need
This is the step that matters most. Your new manager needs a complete picture of each property and each tenancy to pick up where the old one left off. Request the following:
Lease and Tenant Records
- Current signed leases, plus any addenda, renewals, and pet or HOA agreements
- Rental applications and screening documents, where they can be shared
- Tenant contact information
- Tenant ledgers showing rent charged, payments received, late fees, and any balance owed
- Any notices served to tenants and related correspondence
Security Deposits and Funds
- A full accounting of each tenant's security deposit and any other refundable deposits
- Transfer of the deposit funds themselves, either to you or to your new manager's trust account
- Any owner reserve held in trust
- A final owner statement showing all income and expenses through the termination date
Security deposits deserve extra attention. When the tenant eventually moves out, someone has to account for and return that deposit properly. You want a clear paper trail showing how much was collected and where it went. Our post on security deposits in Arizona explains why careful deposit handling matters.
Property Records
- All keys, garage remotes, gate fobs, pool keys, and mailbox keys
- Move-in inspection reports and photos for current tenants
- Maintenance history and recent work orders, including any open repairs
- Vendor list, with contact info for the HVAC company, plumber, pool service, and others who know the property
- Warranty information for appliances, roof, or major systems
- HOA contact information, CC&Rs, and any outstanding violation notices
- Utility account details, especially for anything in the owner's name
Move-in inspection reports are easy to overlook, but they are critical. Without them, it is hard to document damage at move-out. If you are not sure what a good report looks like, see our move-in and move-out inspections guide.
Step 5: Communicate With Your Tenants
Tenants need clear, written notice of the change so they know where to pay rent and who to call for repairs. The worst outcome is a tenant who keeps paying the old company, or who does not know who to call when the AC goes out in August.
A good tenant notice includes:
- The name and contact information of the new management company
- The date the change takes effect
- Exactly how and where to pay rent going forward
- How to submit maintenance requests, including emergencies
- Reassurance that their lease terms are not changing
Ideally, the notice goes out from you or your new manager, with your current manager confirming the change. A friendly introduction from the new company helps tenants feel comfortable. Existing leases stay in effect, so the tenant's rent, term, and deposit carry over unchanged.
Step 6: Time It Well
You can switch managers any time, but some timing makes the process smoother:
- Line up the effective date with the start of a month. A clean cutoff makes rent collection and accounting much simpler.
- Avoid switching mid-turnover if you can. If a unit is vacant or a tenant is moving out, it can be easier to let one company finish the turnover or hand it over at a clear point.
- Watch for pending legal matters. If an eviction is in progress, coordinate carefully so nothing falls through the cracks.
- Allow time for notice. Work backward from your notice period so the new company is ready to take over the day the old one stops.
A Word on Cost
If price is part of why you are switching, you do not have to choose between good service and a fair fee. Columbia Properties offers a Price Match Guarantee: we will beat a competitor's monthly management fee by 1% of revenue. Bring us your current agreement and we will show you the comparison.
How Columbia Properties Can Help
We handle transitions for owners regularly across the Phoenix area, Northern Arizona, and Tucson. When you move your properties to Columbia Properties, we coordinate with your previous manager to collect leases, ledgers, deposit accounting, keys, and maintenance records, introduce ourselves to your tenants, and get rent collection and maintenance set up without a gap. You will get monthly owner statements and access to our owner portal from day one. If you are ready to make a change, visit our switching page to see how the process works.
Get a Free Rental Analysis
Columbia Properties helps Phoenix-area landlords maximize cash flow and minimize the headaches of managing rentals, all for a transparent flat fee.
Request Your Free Analysis