March 25, 2025
When it comes to property investments, a general agent plays an important role in keeping things running smoothly. Unlike a special agent—who might only handle a single transaction—a general agent has broader authority on behalf of the principal. This means they can manage a wide range of responsibilities without needing approval at every turn.
Having a general agent is especially valuable for property owners who lack the time or expertise to deal with daily operations. Whether it’s handling tenant concerns, scheduling maintenance, overseeing finances, or making sure everything follows legal requirements, a general agent provides comprehensive oversight. They must always protect the principal’s interests, showing loyalty and confidentiality each step of the way.
In the sections below, we’ll explore the key characteristics of a general agent, share a real-world example, and highlight the benefits property owners can enjoy when delegating these responsibilities.
A general agent carries several important traits that help them handle a property’s day-to-day obligations effectively. These traits include ongoing authority, a broad scope of tasks, and a fiduciary responsibility to act in the principal’s best interests.
1. Ongoing Authority: Once authorized, a general agent can act without constantly seeking approval. This independence lets them address issues swiftly—especially during emergencies like sudden repairs.
2. Broad Scope of Responsibilities: Unlike a special agent who handles only a narrow set of tasks, a general agent manages multiple aspects of a property or business. Tenant relations, maintenance, finances, and compliance all fall under their watch, helping to protect and even increase a property’s overall value.
3. Fiduciary Duty: Loyalty, confidentiality, and full disclosure form the core ethical standards of this role. By upholding these principles, a general agent builds trust and ensures decisions are made in the principal’s best interests.
Next, let’s look at a practical scenario that shows exactly how a general agent’s authority works.
Picture Jane, a busy investor with a multi-unit apartment complex. Although she has an impressive portfolio, she doesn’t have the time or experience to oversee everyday operations. To keep things running smoothly, she hires a property management company to act as her general agent.
Once appointed, the company’s responsibilities expand to cover every facet of the property. First, they handle tenant-related tasks: marketing vacant units, running background checks, and finalizing leases. They also respond to tenant questions and efficiently resolve any complaints.
Beyond tenant relations, the company coordinates maintenance, oversees repairs, and makes sure the building meets safety guidelines. During emergencies—like a burst pipe in the middle of the night—they can call for repairs immediately, protecting both tenants and Jane’s investment.
They also focus on the property’s finances, collecting rent and tracking expenses while keeping an eye on the budget for future improvements. Jane regularly receives financial reports, giving her peace of mind without juggling the details. Additionally, the general agent follows local housing laws, manages any evictions, and stays on top of record-keeping, reducing legal risks.
This example shows how a general agent can offer a complete solution for busy property owners. Next, let’s see why hiring one can be a smart move.
Hiring a general agent can be a game-changer, especially for property owners who juggle multiple responsibilities. By appointing a general agent, often through a property management company, owners simplify daily tasks, comply with legal standards, and improve profitability—all while saving valuable time.
1. Ongoing, Independent Management: Perhaps the biggest perk is that a general agent can handle an array of tasks without constant supervision. From tenant screening to rent collection and repairs, they operate with enough freedom to keep your property running without disruption.
2. Efficiency and Expertise: Because they manage so many responsibilities, general agents are well-equipped to make quick decisions. Whether it’s dealing with urgent repairs or negotiating with tenants, their expertise preserves tenant satisfaction and safeguards property value.
3. Fiduciary Obligation: A general agent is legally required to act in the principal’s best interests. This duty includes confidentiality and full disclosure, giving property owners the confidence that all operations meet ethical and legal standards.
By handing over these management tasks, property owners can enjoy smoother operations, strategic oversight, and more freedom to pursue other goals. This arrangement keeps property portfolios well-maintained and profitable, perfectly aligning with the owner’s objectives.