Foreclosure in 28205>Question Details

Zoobaby80, Renter in 28205

Landlord informed me that he was going to go into foreclosure. Now he is MIA. How do I find out how much time I have before then bank deadbolts doors?

Asked by Zoobaby80, 28205 Mon Jul 18, 2011

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Laws protecting tenant rights are pretty strong in North Carolina.
some Good reading is at:
http://www.rentlaw.com/eviction/nceviction.htm
http://portal.hud.gov/hudportal/HUD?src=/states/north_caroli…

Ultimately, you should expect to move and if you need assistance in finding a new place,
Here are some rental sites that might help.
http://www.socialserve.com/tenant/NC/index.html
http://www.move.com/
http://www.rentals.com/
http://www.rentalsincharlotte.com/

If you want to explore becoming a homeowner, you should look for a Realtor whose personal service includes fitting financing to each buyer’s needs. We can direct our clients to variety of lenders, including jumbo loans, lock and shop, income protection and specialty financing programs in the NC/SC Greater Charlotte area. For some income and credit qualified households, there are loans for buyers with 580 FICO credit scores, not credit dependent loans, 100% financing and low and no down payment loans and options for closing cost assistance.
1 vote Thank Flag Link Mon Jul 18, 2011
This is a legal question and is better you ask an attorney for advice. Sorry, am not qualify to offer you legal advice. Best to you!
1 vote Thank Flag Link Mon Jul 18, 2011
Tenants in foreclosed properties have rights including the right to remain in the home or condo. I'm not sure how varied those rights might be from bank to bank or institution to institution but I know Fannie Mae and Freddie Mac properties allow the tenants to remain, even after they begin to market the property for sale.

If the owner has informed you but you've seen nothing from a bank or lender you should receive some type of notice soon, whether it be a letter on the door, an agent knocking, or something else, but there is a process and they won't show up and lock you out. You also can negotiate moving expenses since this is not your fault or situation. I've helped friends and clients get costs to relocate including the actual move expense, funds for new deposits on new rentals and utilities. The amount isn't outrageous, but it is very helpfurl in an unexpected move.

To find out your rights I'd try the HUD or Fannie Mae hotlines - google them online. Best of luck.
1 vote Thank Flag Link Mon Jul 18, 2011
Don't panic. I was in this situation a year ago and everything worked out great. If you play your cards right you are about to save a boatload of money.
First, if you can locate your current landlord, find him and get him to sign a new lease for however long you wan't to stay in the property. Because of new tenant protection laws the lease will be honored. I signed a new lease the day before the foreclosure and was able to stay 18 months after the foreclosure.
If you plan to buy a house in 18 months or so make the landlord a cash offer for the washer, dryer, fridge, stove ext. Right before foreclosure he will be very receptive to a little extra cash especially since he will be losing those items anyways. I bet you can get them for $50 each. Just make sure you right up and keep the contract.
Keep paying your rent and sit back and wait for the foreclosure notice. Once this happens the bank (most likely Fannie or Freddie) will send contact information for an agent to discuss moving out. Show them the lease you have and tell them you want to stay. They will make you a good offer to leave (2 months rent + lost security deposit). If you decline to leave, you can talk them into lowering the rent and staying through the end of your lease (that’s what I did - shoot for 15% lower rent).
If you really want to squeeze all you can out of it, delay contacting the agent they assign to sign a new lease with you. You could push it until you get an eviction notice but that’s playing with fire. Regardless, you won't be paying any rent from the date of the foreclosure until you sign a new lease with them.
0 votes Thank Flag Link Tue Jul 19, 2011
Absolutely do not stop paying your rent until such time as you either speak with an attorney or the owners lienholder. The reason is this: If you are under a written lease and are paying market rent, the lienholder is probably obligated to honor the lease. If you stop paying then you may subject yourself to eviction. If you cannot contact the owner then contact the substitute trustee. Their contact info is typically found on the last page of the notices that are probably being posted on the house door.
0 votes Thank Flag Link Mon Jul 18, 2011
you have received some good answers. I would say that the bank will have to deliver a notice of foreclosure to the house. The bank is required to send that notice to the house beign foreclosed and the residence of the mortgage holder. On that notice you will find the court date.

Uon receiving it you can try to talk with the bank about staying in the house while they try to sell it. However; the chances are slim this will happen. But, because you are not the mortgage holder the bank will after the foreclsoure have to start an eviction of you. you will be served notice to evict and have a set amount of time to vacate the house.

The time is variable depending on where he is at in the foreclosure process.... I also want to let you know this scenario I explained to you is based on a recent experience a friend fo mine had in the same situation as you. Yours could be different. but they will give you time to get out of the house.
Web Reference: http://www.davedicecco.com
0 votes Thank Flag Link Mon Jul 18, 2011
There are some good answers below but talking to the bank will be hard for you to do. It will be easier to contact the attorney who is acting as the trustee for the bank. Their information should be on the letter left on the door. My understanding is that tenants who have a valid lease in place cannot be forced from their home. However, if the bank allows you to stay, then you will have to make payments to them through a local property manager. The other option would be that a real estate agent will offer you "cash for keys'. Again, the attorney acting as trustee will be your best resource. Good luck!
0 votes Thank Flag Link Mon Jul 18, 2011
You need to find out your specific rights in CA for renters. Some banks, in some instances are honoring the lease of a tenant currently in the home. However, I strongly suggest that you seek counsel on your situation. Below is a link the HUD.gov for renter rights.
0 votes Thank Flag Link Mon Jul 18, 2011
In no case will you come home to find that the doors have been DEADBOLTED.
There have been many new laws passed to prevent abuse of tenants by landlords and Banks.
In the very worst case, you will be visited by a Real Estate Agent asking to vacate, and they will probably offer some "moving" money, which is intended to help you move quickly and without stripping the house. This can be between $1,000 and $3,000 so you will be receptive. Relax.

Good luck and may God bless
0 votes Thank Flag Link Mon Jul 18, 2011
Wow, not good. Is he still holding your security deposit? I would recommend that you hold off paying him any more rent - but you might want to speak to an attorney about that. If you want to give me the address of the property, I can check the title to see who is holding the mortgage - or you can do this yourself as it is public information. Trying to find the right person to speak with at the bank will be challenging, and, once you find out who that is, they may not disclose any information to you as their loan information is confidential. But, you can try. Other than that, I don't know what to recommend. If you do hear back from your Landlord, he can talk to the bank and give you a better idea of how much time you have left there. If you want to break your lease and just leave, I would recommend having the Landlord sign a release (if he ever shows up again). Foreclosure is typically a lengthy process....especially with all of those the banks have to deal with nowadays. Some banks are even pushing off foreclosure and letting properties just sit in limbo because they don't have the staff to address them. Hope this helps a little bit.
0 votes Thank Flag Link Mon Jul 18, 2011
Hello -

It's my understanding that the foreclosure status does not affect your lease terms. You may want to call a lender to discuss the details as to how this may work.

good luck -
Scott
0 votes Thank Flag Link Mon Jul 18, 2011
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