When acting as an agent, what responsibilities does a property manager owe to the principal?

A property manager, when acting as an agent for a principal, is expected to uphold a fiduciary duty, which encompasses a range of responsibilities critical to the relationship between the agent and the principal. The correct answer highlights five essential duties: care, loyalty, obedience, accounting, and disclosure.

Care refers to the obligation of the property manager to act with the level of competence and diligence that a reasonable agent would exercise, ensuring the property is managed effectively. Loyalty is the duty to act in the best interests of the principal without compromising their interests for personal gain. Obedience involves following the lawful instructions of the principal, provided they align with the expressed goals and standards of the agency agreement.

Accounting is the responsibility of the property manager to report and handle all financial transactions transparently and accurately, ensuring the principal is informed about the management of the property. Lastly, disclosure pertains to the obligation to keep the principal informed about relevant information that could affect the management of the property, including market conditions, tenant issues, and any other factors that could influence the owner's decision-making.

Together, these responsibilities create a comprehensive framework that ensures the property manager acts ethically and effectively in the best interests of the principal, thereby fostering trust and maintaining a professional relationship. Other choices that