Foreclosure in Spring>Question Details

Mel,  in Texas

Our landlord went bankrupt and now our house is owned by the courts. If the house sells, do we have to vacate

Asked by Mel, Texas Fri Jan 25, 2008

before our original lease ends? To prevent foreclosure, how would we go about taking over the loan our landlord had?

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7
Mel,
You do not need to be speaking to us. You need legal advise. Most attorneys will do the initial sit down for nothing. go to an attorney that handles bankruptcies and real estate.
Things to think about
Have you been making lease payments to the bankrupcy court?
Are you in danger of having some one showing up at your door and telling you you have 1 to 24 hours to clear out.
It might be worth paying a lawyer $150.

Hope you can get this worked out, You should now a Real Estate Attorney that can help you
0 votes Thank Flag Link Fri May 23, 2008
Give us the address, and county so someone can look into it for you. That is if you are comfortable with this.
0 votes Thank Flag Link Thu May 22, 2008
You need a Lawyer. Your lawyer can talk to the bankruptcy court, as they are the deciders.
0 votes Thank Flag Link Wed May 21, 2008
Unfortunately, there are several unscrupulous investors out there who have purchased properties through mortgage scams or fraudulent investor groups. Many of these unethical people had no intention of ever paying the mortgage to begin with and borrowed more than the value of the home and then pocketed the difference. They then find an honest and unsuspecting renter who has no representation and they take advantage of them. I would highly advise you find a reputable Realtor in your area and have them walk you through the process before signing anything. They will make sure your interests are served first, and can advise you of any potential pitfalls and their services to you should be free of charge. Always have competent representation whether it is a seasoned Realtor with several years experience or a trusted real estate attorney.
0 votes Thank Flag Link Wed May 21, 2008
Your lease is between you and your landlord. If the bank or court takes over possession of the property they can sell the property at foreclosure. The new owner may or may not want to use the property as an investment and may or may not want to negotiate a new lease with you. They have the right to evict you because they do not have a lease agreement with you. You can try to sue your landlord, but that is basically pointless because they don't have any money. If you want to try to buy the house, you need to contact the court or lender and let them know you are want to purchase. You'll want to get pre-approved and move quickly in trying to make a deal with the bank. I assume this is probably a foreclosure situation with a lender involved. They may make you a deal. But be careful what you get yourself into. There may also be other liens on the property that make the "deal" you think you might get... not a "deal" anymore. Get the full picture and get a Realtor or attorney to help you.
Web Reference: http://www.grayhometeam.com
0 votes Thank Flag Link Wed Feb 20, 2008
It is very possible you may have to vacate. The best thing is to contact the new owner (bank) and tell them your situation. If you are willing to pay rent to them, they may be willing to let you stay. If you want to stay in the house, they may also allow you to get prequalified and buy it. You just need to let them know what your intentions are. This is not always an easy process, but it is possible.
Web Reference: http://www.teamlynn.com
0 votes Thank Flag Link Sat Jan 26, 2008
Bruce Lynn, Real Estate Pro in Coppell, TX
MVP'08
Contact
Your contract should stand. Contract law varies state to state, but the typical way it works in my understanding is that your contract would have precedence over a buy sell agreement that could happen in the future. They might offer to buy you out, but I think they have to accept your lease agreement and simply take over the previous landlord's position (ie get all the benefits like rent, but also all the duties like the lost possession rights they handed over to you until the lease end date).
Typically you can find out information about the mortgagee at the county courthouse and perhaps find a way to contact the bank and see if they would be interested. If it is owned by the courts as you say, ask when the auction will be and see if it will be priced at a point where you'd like to bid. Act fast and good luck!

Brendan Murphy
Broker, CRS, GRI, ePro
Raving Real Estate
Laramie, WY 82070
0 votes Thank Flag Link Fri Jan 25, 2008
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