Landlords often assume that property managers are fully handling the legal side of their rentals—but recent enforcement data from the Utah Division of Real Estate suggests otherwise. From unlicensed activity to trust account violations, the Division has stepped up its scrutiny in 2025, and the trends offer a clear warning: compliance is not optional.
Top Property Management Violations in 2025
The Division’s most common disciplinary actions this year include:
- Unlicensed Property Management: Individuals managing rental property for others—without a license—continue to trigger enforcement.
- Trust Account Violations: Failing to deposit rent and deposits into a compliant trust account remains a frequent problem.
- Advertising Issues: Improper or deceptive advertising, especially involving for-rent signs or online listings, is under the microscope.
- Lack of Broker Oversight: Principal brokers who don’t monitor their agents or trust accounts face liability—even when they weren’t directly involved.
If you’re a landlord using a property manager—or acting as one—you need to understand these risks.
Why Enforcement Is Increasing
With more rental properties in Utah than ever before, regulators are watching the industry closely. Enforcement is not random—it reflects patterns of noncompliance, consumer complaints, and systemic risks. In short: they’re going where the violations are.
The 2025 focus appears to stem from:
- Growth in self-styled “property managers” who are not licensed
- Widespread misuse of personal payment apps like Venmo and Zelle
- Brokerages failing to supervise leasing agents
- Increased investor ownership of small rental portfolios
Learn more about trust account issues here:
Utah Property Manager Payment Rules: Cracking Down on Personal Venmo and Zelle Use
What This Means for Landlords
Even if you’re not a licensed manager, these enforcement trends matter. Why?
Because landlords are legally responsible for the conduct of their agents. If your manager violates Division rules, it can impact your lease, your eviction case, and your finances.
Landlords should:
- Confirm their property manager is properly licensed
- Request regular trust account summaries and documentation
- Ask how their rent payments are collected and deposited
- Review the property management agreement to ensure compliance
If something doesn’t feel right—dig deeper. You could be liable.
Protect Your Investment Through Oversight
You don’t need to micromanage your property manager. But you do need to monitor the relationship. That means asking questions, reviewing documents, and understanding how your money is handled.
For deeper insight on potential risks, see:
When Property Management Becomes a Legal Liability in Utah
Landlords: Don’t Let Someone Else’s Mistake Cost You
At Duckworth Legal Group, we help Utah landlords spot compliance red flags early—before they lead to expensive legal consequences. Whether you need help evaluating your property manager or resolving a dispute, we’ve got your back.
Call 801-882-7444 or email us to schedule a consultation.