Owner FAQs

1. Getting Started & About Grace Management

• How long has Grace Management been in business?

  Grace Management is the most experienced property management firm in Denver, serving real estate investors and residents since 1978. We combine 'old school' family-owned customer service (we actually return phone calls), with the most up to date technology (we have even been named the national property manager of the year) to create an unmatched experience for our owner-investors as well as our tenant-residents. We teach continuing education to the property management industry, we provide expert witness work on behalf of the industry, and we serve as a contact for state regulators. Learn more here.

• Can I get some owner-client references?

  Any company can find a few owner-clients to say something nice about them. The BEST way to research a company is to review any BBB complaints the company has received (Grace Management has one complaint in the past 3 years, and it was a tenant disputing how much of their security deposit we retained.) Click here to search BBB complaints filed against any company. Also review independent Google reviews. Click here to view our online reviews.

• Aren’t all property management companies basically the same?

  No. Many property management companies only provide limited services for discounted pricing; some firms are designed for owners who like to be very involved in the day-to-day management of their homes; and some firms (like Grace Property Management) are Full Service firms designed to give owner-clients a full service, stress-free, hands-off experience. At Grace Property Management we handle ALL aspects of the property management cycle with professionalism and expertise. Property Management in Colorado is legally complex, and you want a professional overseeing what may be your most valuable asset. As you consider partnering with a property management company, be sure to ask them the following questions:

  • Is each individual property manager licensed? (All Grace Management Property Managers are fully licensed and go through a detailed internal and ongoing training process)
  • What if I want to cancel my service with you? (Most property management companies have long term contracts with expensive termination fees. Grace Property Management offers the only month-to-month contract in the industry with no termination fees or penalties; because we believe that we should earn your business every day and you should have the flexibility to leave if you want to.)
  • What "other" fees could you charge me? (Many property management companies have hidden fees for things like paying bills, eviction services, dealing with HOAs, or property inspections. Grace Management does not charge for any of those services; they are part of our full service management offering.)

  Click here to view what is included in our full service property management offering.

• Is Grace Management the best option for every real estate investor?

  No. We are a relationship based property management business and we work with owner-clients who are looking for a full-service experience and believe in providing well maintained properties. We reject the idea of a landlord vs tenant mentality. Instead, we believe that when property management is performed with integrity, both the resident and the landlord benefit.

• Can you help me buy or sell real estate?

  Yes. We offer sales services exclusively to our owner-client group and we can help you buy another rental, or sell your current property. We have closed over $50MM in real estate transactions.

• How do I get started?

  Click the link and one of our Executive Property Managers will contact you.

2. Fees & the Management Agreement

• What is the cost for property management?

  Click here to view our fair and transparent pricing (with no hidden fees!)

• Do I have to pay a management fee if my property is vacant?

  No. We believe we should only be paid if you get paid. So our management fee is a percentage of the actual rent we collect. If we do not collect any rent, or if the property is vacant, you do not pay us anything. See details here.

• Does Grace Management charge any recurring fees directly to tenants?

  Grace Management charges a $25 per month lease admin fee to each tenancy. This fee helps support our full service management services and keep our owner fees low.

  View more information here.

• Is there a maintenance or escrow reserve I need to pay?

  Yes. We will collect a $600 escrow reserve from you at the time you sign your property management agreement. This is YOUR money and it will be deposited into our bank trust account as the reserve for YOUR property. We will potentially use these funds to pay for expenses that may arise between the time we send you your rental income, and the time we collect the rent from the tenant the following month. But we will always maintain this reserve as long as we manage your property. When we stop managing your property it will be returned to you.

• Can I negotiate or change the terms of the management agreement?

  No. Our property management agreement is designed to give our owner-clients maximum flexibility (it is a month-to-month term with NO termination fees or penalties). It is also designed to allow us to serve our owner-clients with a consistent, high-quality, full-service management experience every time. It has been prepared by the Denver law firm TSM. Click here to view our property management agreement.

3. Marketing, Leasing & Prepping the Property

• How do you advertise my rental property?

  Our comprehensive and proven marketing program attracts high quality applicants from a variety of sources. Click here to view details.

• How do you show the property to qualified prospects?

  We use secure self-showings for most vacant homes because it gives prospects the flexibility to tour on their own schedule, inevitably viewing the home faster, expediting the leasing process. After completing more than 10,000 showings, we’ve found this to be a safe, reliable, and convenient way for renters to view properties.
  
  Before any showing is approved, each prospect speaks with a live agent in our Thornton office to verify identity and confirm basic screening information. Once they’re cleared, we issue a one-time access code for our electronic lockbox. This code is geo-located, meaning it only works when the mobile device that received it is physically on the property.
  
  We monitor every showing and regularly check on our vacant homes to ensure they remain secure and well-maintained.

• How long will it take to get my property rented?

  Properties that show well and are priced appropriately should rent in approximately 30 days or less. We will give you price recommendations as well as weekly activity feedback to ensure we minimize any vacancy time.

• How updated does my property need to be in order to rent it?

  The quality of a property is equal to the quality of the tenant it will attract. Therefore you want your property to be updated and clean. We can take care of getting your property fully rent-ready to ensure it meets the state habitability requirement and attracts high quality applicants. Click here for details on our rent-ready standards.

• Should I leave behind my washer & dryer?

  You must maintain any personal property you leave behind. That means that if you provide it, you must fix it when it breaks. Therefore we recommend our owners only leave well functioning washers & dryers in the property. For more information on personal property watch this https://www.youtube.com/watch?v=6EhiuxZMOuI

• Will Grace Management manage my property if I already have a tenant in place?

  Yes. We are experienced in taking on the management of a property with a current tenant in place. We often take over management in situations where a tenant may be delinquent in rent or the owners are having difficulty managing a current tenant. When this happens, we perform a full lease audit and work with the tenant to ensure that they either conform to the terms of the lease and bring their rent current, or when necessary, vacate the property.

• Does Grace Management manage furnished or short term rentals?

  No. We do not manage furnished properties or short term rentals. We specialize in long-term rentals. Click here to view our list of recommended companies who manage short term and furnished properties.

4. Tenant Screening & Selection

• How do you screen tenants?

  In depth tenant screening is the foundation of a good property management experience. We have screened over 20,000 applicants using our time tested in-house screening process. We comply with all federal and state laws governing applicant screening. Click here for details.

• Can I be involved in the selection of a tenant?

  No. While there is always some level of risk, you can trust us to maximize the likelihood of placing a high-quality tenant in your property. Our applicant screening process has processed over 20,000 applicants and we know exactly what to look for. We comply with all fair housing rules and regulations as well as Colorado applicant screening laws.

• Do I have to accept pets in my rental?

  Although you do NOT have to accept pets in your rental, over 70% of Colorado tenants come with pets. That means that if you choose NOT to accept pets, you are reducing your prospective inquiries by 70%. We do recommend our owner-clients allow pets, and we provide our owner-clients with a $1,000 pet damage guarantee. Click here for details.

• Do I have to accept ‘Section 8’ or subsidized housing in my rental?

  Yes. Colorado state law includes ‘source of income’ as a protected status. This means landlords may not discriminate based on where tenants receive their income (including government subsidized programs).

5. Leases, Legal & Compliance

• Who provides the lease agreement?

  We use an in-house, custom, attorney prepared lease agreement package designed to be fair and provide maximum legal protection to all parties. We also include a pet addendum, EPA required lead based paint disclosures, mold disclosure, state required radon disclosure, and crime free lease addendum. Click here for details.

• Do I need to sign the lease for a new tenant?

  No. As your legal agent, Grace Management signs all of the legal documents on your behalf.

• What local and federal laws do I need to be aware of before I rent out my house?

  There are multiple laws governing rental real estate including federal and state fair housing, habitability laws, tenant rights laws, applicant screening, rent-ready standards, and more. We ensure your property and the management experience is fully compliant with ALL rules, regulations, and laws. Click here for details.

• Does a Property Manager need to be licensed in Colorado?

  Any company that offers any type of property management service must be licensed in Colorado. The state of Colorado has multiple requirements that must be fulfilled before they will grant a real estate license to the company and the company must be licensed to practice real estate or property management in Colorado. Most property management companies meet these requirements, but most individual property managers do not. Be sure to ask your property manager if they are personally licensed to practice property management in Colorado. (All Grace Property Management Property Managers are personally licensed and fully trained to practice property management in Colorado.)

  To become licensed in Colorado an individual must:

  • Complete 168 hours of state provided education
  • Pass a comprehensive exam
  • Pass a personal background check
  • Hold proper insurance

  Confirm licensure here.

• Does the CARES act apply to my property?

  In June 2023 the Colorado Supreme Court ruled that even though the CARES act has expired, the notice provision of the still applies in Colorado. To determine if your property is considered to be 'covered' click the link below for a detailed guide.
  
  Does the CARES act apply to my property?

• Are there risks in renting out my property?

  Yes. Before renting out your property, you should understand the many risks, which generally include comprehensive legal and lease compliance, property habitability / landlord repair requirements, and tenant rights laws. Click here to view our owner risk disclosure.

6. Payments & Financial Reporting

• How do I access my financial reports?

  Our owner-clients have a secure on-line portal which gives 24/7 access to financial reporting. Click here for details.

• How do I get my money each month?

  We close out the monthly accounting cycle and do an ACH direct deposit of your funds on the 10th day of each month.

7. Maintenance, Repairs & Inspections

• Who takes care of maintenance?

  We will handle all repair requests (even the middle of the night emergencies) and we use pre-screened, high quality, fair-priced vendors. Click here for details.

• Do you inspect my rental property?

  We perform an annual mid-lease property assessment (at no cost to you). The purpose of this assessment is to ensure the property is being well cared for, there are no lease violations, and to look for potential deferred maintenance issues before they become a problem.

• Can I do my own property repairs or use my own vendors?

  While a property is vacant, you are welcome to do whatever make-ready work you would like to do on your property. When a tenant is living in the property, we do need to screen who is accessing the property for the protection of the tenant-residents. Therefore we will use our pre-screened and pre-approved vendors. If you have a favorite vendor, give us their contact information – as we are always looking to add new high quality vendors to our group!

• Can I use a home warranty company?

  We strongly discourage the use of home warranty companies as they often provide a delayed, and less than exceptional experience and outcome. Click here to view more information on home warranty companies and what we recommend https://www.youtube.com/watch?v=9__Uox07Yus

8. Security Deposits

• How is the amount of the security deposit determined for my rental property?

  Colorado law regulates many aspects of the applicant screening process including security deposit limits. Our security deposits are structured to provide maximum protection to the owner, while ensuring minimum financial impact to a qualified applicant. For more information on our applicant screening process visit https://www.rentgrace.com/tenant-screening.

• Who holds the security deposit?

  Grace Management holds all tenant security deposits in our security deposit trust account. This is done to comply with State of Colorado security deposit and trust accounting rules and regulations as determined by the Colorado Real Estate Commission. View our guide for handling security deposits in Colorado here.

• When the tenant moves out, who does the security deposit return?

  When a tenant moves out we will do a property check-out and we will complete the security deposit return process. We will withhold any funds from the tenant’s security deposit that are legally due and allowable. Colorado state law is very clear on what things may NOT be charged to a tenant’s security deposit and all security deposit returns are completed to comply with state law. For more information on these rules view this video https://www.youtube.com/watch?v=s0k_PYBIOr0

9. Rent Collection, Evictions & Guarantees

• What if the tenant does not pay rent?

  We handle the entire rent collection process. Although it is rare - should a tenant not pay rent, we handle the entire legal eviction process on your behalf.

• Do you provide a tenant placement guarantee?

  Yes, if we place a tenant and they break their lease during the first 12 months – we will release it for free (click here to view our other owner-client guarantees).

• Do you provide any type of eviction guarantee?

  Yes. Our tenant screening process is so strong that we will personally pay up to $1,000 in eviction legal fees should an eviction occur on your property (click here for details).