How to Fire Your Property Manager in Texas

A step-by-step guide for Texas landlords switching property managers, covering trust accounts, security deposit liability, TREC complaints and what to collect before you cut ties.

Last updated September 21, 2026

You're paying 8 to 10 percent of your rent and still chasing your own manager for answers. That's the moment most Texas landlords start searching for this. The good news is that switching is mostly paperwork, and Texas law is clear on who owns the money.

Here's how to do it cleanly.

Step 1. Read your management agreement

Texas has no statute setting the terms of a management contract, so the agreement is your rulebook. Look for these.

Notice period to end the agreement
Termination or cancellation fees
Leasing fees you might owe for tenants the manager placed
Any clause claiming a fee if you keep a tenant they found

If the manager breached the agreement, you may be able to end it early. Ask a Texas attorney.

Step 2. Send written notice

Send it by email and by any method your agreement names. Give an end date and list everything you expect back by then. Keep it short and factual.

Step 3. Know who's on the hook for deposits

This is the part landlords miss. In the Texas Property Code, the "landlord" is the owner, not the manager. The one exception is a manager who held themselves out as the owner or lessor in the lease (Tex. Prop. Code § 92.001).

So if your old manager fumbles a tenant's deposit, the tenant's claim can land on you. And the penalty for bad-faith withholding is $100 plus three times the deposit plus attorney fees (§ 92.109). Get every deposit accounted for before you let go of the old manager.

Step 4. Get your money out of the trust account

A Texas broker who agrees to hold other people's money has to keep it in a clearly labeled trust account, separate from the broker's own funds, and keep records for 4 years (22 Tex. Admin. Code § 535.146).

Brokers have to account for or hand over money belonging to others within a reasonable time. Failing to do that is grounds for discipline (Tex. Occ. Code § 1101.652(b)(9)). If your old manager stalls, a complaint to the Texas Real Estate Commission gets attention.

Step 5. Collect everything

Ask for all of this before the end date.

Security deposits for every tenant, with each amount listed
The trust account ledger showing rent collected and fees taken
Signed leases and renewals, including the late-fee clause
Move-in condition reports and photos
Tenant contact details and payment history
Open repair requests, vendor contacts and warranties
Keys, codes, remotes and gate cards
Year-to-date statements for your taxes

Step 6. Tell your tenants

Send each tenant one clear, dated message. Where to pay rent from now on, who to call for repairs, and that their deposit is safe and accounted for. Texas repair duties kick in when a tenant gives notice "to the person to whom or to the place where rent is normally paid" (§ 92.052), so tell tenants where that is now.

Step 7. Take over the day-to-day

Line up vendors, set up rent collection, and make sure repair requests reach someone fast. Texas presumes 7 days is a reasonable time to fix a health or safety problem after notice (§ 92.056), and the clock doesn't pause for a management handover.

Who can manage for you in Texas

Leasing property or controlling rent for someone else is broker activity, and it requires a license from the Texas Real Estate Commission (Tex. Occ. Code § 1101.002). An owner leasing their own property doesn't need one, and neither does the owner's employee (§ 1101.005). Check any new manager's license on TREC's website.

Your switching checklist

Read the agreement for notice, fees and clawbacks
Send written notice with an end date
Account for every tenant deposit, since you stay liable
Get trust account money and ledgers back
Collect leases, condition reports, keys and records
Tell tenants where to pay and where to send repair requests

Switch to Taz

Taz is an AI property manager for landlords who want the work done without handing over a slice of every rent check. It answers tenants day and night, routes repairs to vendors, sends rent reminders and keeps the records in one place, for a flat monthly price per door. See how Taz works.

Where this guide says a state has no rule on something, that means we found no statute setting one, which is not the same as none existing. Local ordinances and court practice can add requirements. Confirm anything you plan to rely on.

This guide is general information, not legal advice. Your agreement and your specific facts matter. Talk to a Texas attorney before ending a contract. Last checked September 2026.