Any rent collected by a property manager is?

• A. Trust money
• B. Escrow funds
• C. Property revenue
• D. Owner's money

Answer: (A)

Rent collected by a property manager is trust money. The manager acts as a fiduciary, holding these funds in the broker’s trust account on behalf of the owner rather than using them for the manager’s own purposes. They belong to the owner and are disbursed according to the management agreement, after any authorized fees and expenses are accounted for. This separation protects both parties and ensures proper trust accounting.

Escrow funds are held to satisfy conditions in a specific transaction, which doesn’t fit the ongoing nature of rental collections. The rent isn’t the manager’s revenue, and it isn’t “the owner’s money” in the manager’s hands until it’s remitted per the agreement.