Hearth Property

These Long‑Term Rental General Terms (the “LTR General Terms”) govern the long‑term rental management services provided by Hearth Property LLC (“Hearth,” “Manager,” “we,” or “us”) to the property owner (“Owner,” “you”) and are incorporated by reference into the Hearth Property Services Agreement — LTR Short Form (the “Short Form”). Together, the Short Form and these LTR General Terms constitute the “Agreement.”

1. DEFINITIONS

1.1 “Agreement” means the Short Form plus these LTR General Terms, including any exhibits or addenda.

1.2 “Property” means the real property described in the Short Form.

1.3 “Tenant” means any applicant(s), occupant(s), lessee(s), or resident(s) under a Lease.

1.4 “Lease” means any lease, rental agreement, month‑to‑month agreement, addendum, renewal, extension, or other occupancy contract for the Property.

1.5 “Gross Rent Collected” means all amounts actually received by Manager (or received by Owner but required to be remitted to Manager) from or on behalf of Tenant as rent or rent‑equivalent consideration for occupancy under a Lease, including base rent and any recurring rent components expressly denominated as rent (e.g., pet rent, month‑to‑month premiums, utility reimbursements if characterized as additional rent), but excluding (i) refundable security deposits, (ii) refundable pet deposits, (iii) third‑party damage claim proceeds intended to repair/replace specific damage, and (iv) sales/occupancy taxes collected where applicable. If local law requires different treatment, local law controls.

1.6 “Management Fee” means 8% of Gross Rent Collected per calendar month.

1.7 “Owner Reserve” or “Reserve” means Owner’s funds held by Manager to pay Property expenses.

1.8 “Emergency” means, in Manager’s good‑faith discretion, a condition where delay risks personal safety, materially damages the Property, materially increases Owner’s liability, prevents habitability/essential services, or risks violation of law.

2. APPOINTMENT; AGENCY; EXCLUSIVE RIGHTS

2.1 Appointment. Owner appoints Manager as Owner’s agent for the limited purposes of marketing, leasing, and managing the Property in accordance with this Agreement, subject to applicable law.

2.2 Exclusive Marketing/Leasing Rights. Owner grants Manager the exclusive right, during the Term, to advertise, market, show, and lease the Property and to manage Tenant relations. Owner shall not (and shall not permit others to) list, show, or lease the Property without Manager’s prior written consent.

2.3 Authority. Subject to the authorizations in the Short Form and Exhibit A (Owner Authorizations), Manager is authorized to:

(a) advertise and show the Property (including self‑guided showings where available);

(b) accept applications and conduct screening using lawful, nondiscriminatory criteria;

(c) prepare, negotiate, execute, and renew Leases on Owner’s behalf using Manager’s preferred forms, consistent with local law;

(d) collect rents and other permitted Lease charges;

(e) issue notices (including notices to pay/quit, cure/quit, or terminate) where permitted by law;

(f) coordinate and supervise vendors and repairs and pay invoices from Owner funds; and

(g) coordinate eviction proceedings through licensed counsel where required.

Owner grants Manager a limited power of attorney solely to execute documents and take actions reasonably necessary to perform the foregoing; Owner agrees to execute additional documents reasonably requested to evidence such authority (including broker‑of‑record disclosures where applicable).

3. SERVICES INCLUDED (FULL SERVICE; NO ADD‑ON MANAGEMENT FEES)

3.1 Marketing & Leasing Services. Manager will, as applicable:

(a) take or coordinate professional real estate photos;

(b) create and distribute listings to major rental marketing channels (platform availability varies);

(d) facilitate Instant Tours™ (self‑guided tours) where appropriate and lawful;

(e) collect applications and conduct screening (credit, background, eviction history, income verification, rental references) through third‑party providers;

(f) prepare and execute Leases and required disclosures/addenda;

(g) coordinate move‑in and provide access setup (codes/keys) and initial condition documentation as reasonably determined by Manager.

3.2 Ongoing Management Services. Manager will, as applicable:

(a) collect rent, track delinquencies, and communicate with Tenants regarding payment;

(b) provide Tenant communications and issue resolution (including after‑hours for urgent issues);

(d) conduct periodic inspections as reasonably determined (and as permitted by law/Lease);

(e) coordinate renewals, rent adjustments, and notices consistent with law;

(f) coordinate move‑out, final accounting, and security deposit disposition pursuant to law; and

(g) coordinate eviction processing through counsel where required.

3.3 Technology & Operations. Manager may use software, automation, and AI‑assisted tools to improve response times, documentation, scheduling, and operational efficiency. Owner acknowledges that some communications may be assisted by automation; Manager remains responsible for oversight of operations consistent with this Agreement.

3.4 Included Hardware/Setup. Included at no additional management charge:

(a) smart lock (installed/programmed);

(b) exterior‑only Ring® camera (installed/configured; no interior cameras);

(d) listing distribution.

Hardware ownership/transfer rules are governed by Exhibit B.

4. EXCLUDED / SPECIAL SERVICES

4.1 Excluded Services (No Obligation Unless Separately Agreed). Unless Manager agrees in writing, Manager is not obligated to:

(a) manage major capital projects/renovations, insurance reconstruction, or structural repairs;

(b) serve as a licensed general contractor or perform construction;

(d) remediate mold/biohazards or perform industrial cleaning;

(e) provide armed security services; or

(f) manage Owner’s personal property unrelated to leasing.

If Owner requests any excluded service, the parties may execute a separate written addendum describing scope and compensation (if any).

5. OWNER OBLIGATIONS (NON‑NEGOTIABLE OPERATIONAL REQUIREMENTS)

Owner shall:

5.1 Provide Accurate Information. Provide complete, accurate, and timely information about the Property, including known defects, prior claims, and operating constraints.

5.2 Habitability & Compliance. Maintain the Property in a condition that complies with all applicable federal, state, and local laws (habitability, smoke/CO alarms, disclosures, lead‑based paint, rent control, registration/licensing where applicable).

5.3 Insurance. Maintain, at Owner’s sole cost:

(a) landlord property insurance (hazard) and general liability suitable for long‑term rentals;

(b) loss‑of‑rents coverage recommended;

Owner shall name Manager, and Manager’s members/managers/officers/directors/employees/agents, as Additional Insureds where available, and such coverage shall be primary and non‑contributory to Manager’s policies to the fullest extent permitted by law. Owner shall provide proof upon request.

5.4 Utilities / HOA / Taxes. Pay all utilities not paid by Tenant, HOA/COA assessments, taxes, and other charges related to ownership unless expressly shifted to Tenant in the Lease and collectible.

5.5 Access. Provide Manager necessary access (keys, codes, gate fobs) and authorize Manager and vendors to access the Property as needed, consistent with law and the Lease.

5.6 No Interference. Not circumvent Manager by taking over communications with Tenants, issuing conflicting instructions, or making side deals with applicants/Tenants, unless Manager consents in writing.

5.7 Fair Housing Compliance Cooperation. Owner shall not instruct Manager to apply criteria or make decisions that are discriminatory or unlawful. Manager may refuse any Owner instruction that Manager reasonably believes violates applicable law.

6. FEES; NO OTHER MANAGEMENT FEES; DISBURSEMENTS

6.1 Management Fee. Owner shall pay Manager the Management Fee equal to 8% of Gross Rent Collected per calendar month. This is Manager’s only management compensation under this Agreement.

6.2 No Other Management Fees. Manager charges no leasing fee, renewal fee, onboarding fee, routine inspection fee, maintenance coordination fee, or invoice markup.

6.3 Owner Expenses; Pass‑Through. Owner is responsible for all Property expenses and third‑party costs, including repairs/maintenance, vendor invoices, utilities, HOA/COA dues, taxes, permits, fines, locksmith costs, towing, court costs, and attorney fees. Manager may pay such costs on Owner’s behalf from collected rents and/or Reserve. Manager does not add markups to third‑party invoices.

6.4 Reserve Requirement. Owner shall fund and maintain the Reserve set forth in the Short Form or Exhibit A. Manager may require an increased Reserve if recurring expenses or Property condition warrants (acting reasonably).

6.5 Deductions; Shortfalls. Owner authorizes Manager to deduct the Management Fee and Owner expenses from rents and Owner funds held. If funds are insufficient, Owner shall pay amounts due within five (5) days of notice. Failure to fund may result in suspension of non‑critical services and/or termination for cause.

6.6 Monthly Statements and Remittance. On or about the 1st business day of each month, Manager will provide an itemized statement for the prior month and remit Net Proceeds (if any) to Owner, after deductions authorized by this Agreement.

6.7 Returned Payments; Chargebacks. If any Tenant payment is reversed/returned (NSF, chargeback, fraud), Owner bears the loss. Manager will reasonably pursue collection but does not guarantee recovery.

7. SECURITY DEPOSITS AND TRUST FUNDS

7.1 Collection and Holding. Manager may collect security deposits and other permitted deposits as allowed by law and the Lease. Manager will hold and disburse deposits as required by applicable law (including trust/escrow handling and accounting rules where applicable).

7.2 Disposition. Security deposit itemization/return timing and permissible deductions shall comply with local law. Owner remains ultimately responsible for lawful disposition; Manager will administer based on information reasonably available.

8. MAINTENANCE, REPAIRS, AND VENDOR MANAGEMENT

8.1 Routine Maintenance. Manager may coordinate routine maintenance and repairs and pay invoices from Owner funds.

8.2 Authorization Limits. The non‑emergency authorization limit is as stated in the Short Form (or Exhibit A). Expenses above that amount require Owner approval, except in an Emergency.

8.3 Emergency Authority. In an Emergency, Manager may take reasonably necessary action and incur expenses without prior Owner approval, with prompt notice.

8.4 Vendor Selection. Manager may hire and supervise third‑party vendors as independent contractors. Manager will exercise reasonable care in selection but does not warrant vendor workmanship. Owner’s remedies for defective work are against the vendor.

8.5 Warranties. Owner shall provide copies of warranties/service contracts. Manager may submit warranty claims but is not responsible for warranty denials.

8.6 Capital Improvements. Manager is not obligated to manage capital projects absent written agreement.

9. TENANT SCREENING; FAIR HOUSING; CONSISTENT CRITERIA

9.1 Nondiscrimination. Manager will perform services in a nondiscriminatory manner consistent with applicable fair housing laws. Owner agrees not to request discriminatory screening or selection.

9.2 Screening Providers. Manager may use third‑party screening services and may use technology/automation to process applications. Owner acknowledges screening results can be incomplete or inaccurate; final decisions are made using Manager’s documented criteria and judgment.

9.3 Screening Criteria. Manager will apply consistent, written screening criteria (Exhibit A) to reduce legal risk and ensure operational consistency. Owner may not require deviations without Manager’s written consent.

10. LEASE ADMINISTRATION; RENT CHANGES; RENEWALS

10.1 Lease Forms. Manager may use Manager’s standard lease forms and addenda suitable for the jurisdiction, including disclosures related to devices (smart locks/cameras), entry, notices, and local requirements.

10.2 Rent Amount and Adjustments. Manager will recommend rent based on market conditions. Unless Owner specifies otherwise in Exhibit A, Manager may adjust asking rent and renewal terms to achieve occupancy and lawful increases.

10.3 Entry and Notices. Manager will comply with statutory entry notice requirements and lease terms for inspections/repairs/showings.

11. EVICTIONS, COLLECTIONS, AND LEGAL MATTERS

11.1 Coordination Only; Counsel Required. Manager is not a law firm and does not provide legal advice. Where required by law or prudent practice, Manager will coordinate eviction and collection matters through licensed counsel selected by Manager (or approved by Owner).

11.2 Costs. Owner is responsible for all court costs, filing fees, service of process, attorney fees, and collection agency fees. Manager may advance costs from Owner funds/reserve if available.

11.3 Settlements. Manager may negotiate payment plans or move‑out agreements when Manager reasonably believes it reduces loss and exposure, subject to Owner instructions and law.

12. INSTANT TOURS™; SMART DEVICES; PRIVACY

12.1 Instant Tours™. If Manager offers self‑guided tours:

(a) prospective occupants may be required to verify identity and agree to a tour waiver;

(b) tours may be monitored/logged for safety and security;

(c) Owner acknowledges and accepts the inherent risk of third‑party entry; Manager will implement commercially reasonable safeguards but does not guarantee prevention of theft, vandalism, or injury.

12.2 Smart Lock. Access codes may be issued, rotated, and logged. Owner shall not share master codes except as approved by Manager.

12.3 Exterior Camera. Any Ring®/camera is exterior‑only. Interior cameras are prohibited. Manager will disclose the presence of exterior cameras to Tenants as required by law and in Lease documents. Owner acknowledges that audio/video recording laws vary and agrees Manager may modify camera settings and/or disable features to comply with law.

13. INSURANCE; INDEMNITY; LIMITATION OF LIABILITY

13.1 Owner Insurance; Additional Insured. Owner shall maintain insurance as in §5.3 and provide proof. Failure is a material breach.

13.2 Indemnification. To the fullest extent permitted by law, Owner shall indemnify, defend, and hold harmless Manager and its affiliates and personnel from and against any claims, damages, liabilities, losses, fines, penalties, costs, and expenses (including reasonable attorneys’ fees) arising out of or related to:

(a) ownership, condition, or use of the Property;

(b) any Tenant or applicant claims;

(d) instructions from Owner; or

(e) acts/omissions of third‑party vendors,

except to the extent caused by Manager’s gross negligence or willful misconduct as finally determined by a court/arbitrator of competent jurisdiction.

13.3 Limitation of Liability. To the maximum extent permitted by law, Manager’s aggregate liability arising out of this Agreement shall not exceed the greater of (i) one (1) month’s Management Fee actually collected for the Property in the three months preceding the event, or (ii) $1,000. In no event shall Manager be liable for consequential, incidental, special, exemplary, or punitive damages, lost profits, loss of rent, or diminution of value, even if advised of the possibility, except where prohibited by law.

13.4 No Guarantee. Manager does not guarantee rental rate, vacancy duration, tenant performance, or collection outcomes.

14. TERM; TERMINATION; TRANSITION

14.1 Term. The Agreement begins on the Effective Date and continues for an initial term of twelve (12) months (the “Initial Term”), then renews month‑to‑month unless terminated as provided herein.

14.2 Termination for Convenience. After the Initial Term, either party may terminate with sixty (60) days’ written notice.

14.3 Termination for Cause. Either party may terminate upon material breach if uncured within ten (10) days after written notice (or immediately if the breach threatens safety, illegality, or nonpayment of amounts due).

14.4 Effect of Termination. Upon termination:

(a) Manager will cease marketing and management activities and transfer keys/codes and records as reasonably required;

(b) Owner shall assume responsibility for Tenant communications and compliance;

(d) devices owned by Manager (if any) may be removed per Exhibit B.

14.5 Survival. Sections relating to fees owed, indemnity, limitation of liability, dispute resolution, and confidentiality survive termination.

15. DISPUTE RESOLUTION; GOVERNING LAW; NOTICES

15.1 Good‑Faith Resolution. Parties will attempt to resolve disputes informally within thirty (30) days after written notice of dispute.

15.2 Arbitration; Class Action Waiver (If Enforceable). Except for small claims or injunctive relief to protect property or confidential information, any dispute arising out of this Agreement shall be resolved by binding arbitration administered by a reputable provider (AAA/JAMS) in the county/state designated in the Short Form (or, if none, where Manager’s principal office is located). EACH PARTY WAIVES THE RIGHT TO A JURY TRIAL. To the fullest extent permitted by law, disputes shall be brought only in an individual capacity and not as a class or representative action.

15.3 Governing Law. The Agreement shall be governed by the laws designated in the Short Form; however, mandatory landlord‑tenant laws of the Property jurisdiction apply where controlling.

15.4 Notices. Notices must be in writing and delivered by email and/or certified mail to the addresses in the Short Form (effective upon confirmation of receipt or as otherwise required by law).

16. MISCELLANEOUS

16.1 Independent Contractor. Manager is an independent contractor and not Owner’s employee/partner.

16.2 Entire Agreement. The Agreement is the entire agreement and supersedes prior discussions.

16.3 Severability. If any provision is unenforceable, the remainder remains effective.

16.4 Assignment. Manager may assign this Agreement to an affiliate or successor. Owner may not assign without Manager’s written consent.

16.5 Electronic Signatures. Electronic signatures and counterparts are valid and binding.

EXHIBIT A — OWNER AUTHORIZATIONS (Complete for each Property)

A1. Target Asking Rent Range: $__________ to $__________

A2. Minimum Lease Term (months): _________

A3. Reserve Amount (minimum): $__________

A4. Non‑Emergency Repair Authorization Limit: $__________ per occurrence

A5. Screening Criteria (must be lawful and nondiscriminatory): _____________________________

A6. Pet Policy: ☐ No pets ☐ Pets allowed with restrictions: ________________________________

A7. Utilities: Tenant pays ☐ all ☐ some (specify): ________________________________________

A8. Owner Special Instructions (if any): _________________________________________________

EXHIBIT B — HARDWARE / PHOTOS OWNERSHIP & USE

B1. Smart Lock and Exterior Camera provided/installed by Manager are intended to support leasing and management operations.

B2. Unless otherwise stated in writing, hardware purchased by Manager remains Manager’s property and may be removed upon termination; Owner shall reasonably cooperate with removal.

B3. Photos: Manager may use photos for marketing during the Term. Ownership/license terms: ☐ Owner owns photos upon delivery ☐ Manager licenses photos to Owner for Property marketing only (select one in the Short Form or default to license).

EXHIBIT C — INSTANT TOURS™ SAFETY/WAIVER (summary; final waiver executed by tour participant)

C1. Tour participant enters voluntarily at own risk; must comply with rules; no pets/children unless allowed; no weapons; no smoking; no photographing personal items; immediate exit upon request; violations may be reported.

LONG‑TERM RENTAL GENERAL TERMS

Last Updated: January 1, 2026