Property Q&A in Los Angeles>Question Details

Clockhartsmi…, Home Buyer in Los Angeles, CA

My family and I live in a home we have been leasing for 5 years. Home sold today on auction.com but is pending. What are our rights?

Asked by Clockhartsmith, Los Angeles, CA Sun Nov 3, 2013

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Do you have a Lease? If so, it is still valid and the new owner must respect it. Also, as a Tenant, I suggest you go to http://www.dca.ca.gov/publications/landlordbook/index.shtml and do a little homework.
1 vote Thank Flag Link Sun Nov 3, 2013
I'm not giving you legal advice but I had a client who was confronted with the same situation and they ended up holding their ground and not moving until they received a very generous cash for keys offer that allowed them to pay their first, last & Sec del, move comfortably and timely. Just a thought.
1 vote Thank Flag Link Sun Nov 3, 2013
You should check to see what your lease document states. I would recommend speaking with a real estate professional or even a lawyer if you do not understand the document.

Typically speaking you should have 30 days to vacate the premises once you have been given notice, but every situation is unique and so it is important to speak with a real estate agent or lawyer so you truly understand your rights.

Hope this is helpful. Best of luck to you!

~John

John Graff, REALTOR®
Real Estate Consultant
213-519-5758
http://www.PropertyForSaleinLA.com
BRE: 01938560
Coldwell Banker Residential Brokerage - Sunset Strip
9000 Sunset Blvd. #100
West Hollywood, CA 90069
1 vote Thank Flag Link Sun Nov 3, 2013
The Foreclosure Eviction Ordinance applied to rent controlled properties only. Single family homes are not subject to rent control. In 2011 the city council passed an amendment extending the coverage of the foreclosure eviction ordinance to single family homes for a one year period which expired in 2012, and I don't believe it was renewed or extended further. And In addition it is irrelevant because this property was not foreclosed on. It was sold on auction.com which is an alternative method for selling property which some sellers choose. IT IS NOT A FORECLOSURE.
0 votes Thank Flag Link Mon Nov 4, 2013
Randy...call RSO and ask...it does apply to single family homes.
Flag Mon Nov 4, 2013
Randy...if you read the ordinance, it does apply to single family homes in the case of foreclosure.

"The Los Angeles City Council enacted the Foreclosure Eviction Ordinance (Ordinance No. 180441) on December 17, 2008. This Ordinance provides that banks or lenders who foreclose on single family homes new multi-family properties (those with a Certificate of Occupancy after October 1, 1978) cannot evict tenants merely because they foreclose on the property. They can only evict a tenant based on the legal reasons permitted under the RSO. This ordinance, which was adopted with an urgency clause, became effective December 23, 2008, and applies to any rental units to which title is obtained through a foreclosure on or after December 17, 2008."

and yes...you are correct...we do not know if the property was foreclosed or not. Many banks are foreclosing and then auctioning off the properties to get them off of their inventory.
0 votes Thank Flag Link Mon Nov 4, 2013
The questioner did not say it was foreclosed on and sold at a trustees sale, but that it sold on auction.com and is currently in escrow. That is not a foreclosure. The seller may not have even been in default. Moreover the property is apparently a single family home, and as mentioned earlier single family homes are never subject to rent control so the foreclosure eviction ordinance would not apply to this property even if it had been foreclosed on.
0 votes Thank Flag Link Mon Nov 4, 2013
The Foreclosure Moratorium that I referred to is stated below:

In the City of Los Angeles, there is a moratorium on evictions due to foreclosure on SINGLE FAMILY HOMES and the properties are subject to parts of the rent control ordinance. See the attached link.

"The Los Angeles City Council enacted the Foreclosure Eviction Ordinance (Ordinance No. 180441) on December 17, 2008. This Ordinance provides that banks or lenders who foreclose on single family homes new multi-family properties (those with a Certificate of Occupancy after October 1, 1978) cannot evict tenants merely because they foreclose on the property. They can only evict a tenant based on the legal reasons permitted under the RSO. This ordinance, which was adopted with an urgency clause, became effective December 23, 2008, and applies to any rental units to which title is obtained through a foreclosure on or after December 17, 2008."

https://lahd.lacity.org/lahdinternet/LinkClick.aspx?filetick…
0 votes Thank Flag Link Mon Nov 4, 2013
Seems like you have received a lot of information...
good luck, here are my two cents. It seems your residence is within Los Angeles City limits look at this website. http://lahd.lacity.org/lahdinternet/

May you find all the help and guidance you need.
0 votes Thank Flag Link Mon Nov 4, 2013
You have been given some misinformation. I assume the home you have been living in is a single family dwelling (a house). Single family homes are never subject to rent control under any circumstance in California. It also would not be in foreclosure if it just sold. You mention that you have been leasing for five years. The question is are you currently on a lease or are you renting month to month. If you are on a lease, and it is a one year lease, the buyer at the auction must honor that lease. So the lease would remain in effect until the expiration of the lease in however many months that is at which time you would have to vacate. If you are more likely on a month to month tenancy, the new owner can give you a notice to vacate immediately. In California if you have been there for less than a year, they can give you a 30 day notice, but if longer than a year as in your case, they are required to give you a 60 day notice. As for the anecdotal story about the person getting cash for keys, the situation may have been quite different. They may have been on a lease with 4,5,6 months or more to go on their lease and they agreed to voluntarily leave early for receipt of cash. In other words the new owner bought out the lease. If you are on a lease with quite a few months to go that might be a possibility, but if you are on a month to month which is my guess, then they should give you a 60 day notice, and there'd be nmo reason for keys for cash. You should inquire about the return of your security deposit. The previous owner to whom you gave your security deposit is gone and it is very unlikely you can get it back from him even if you could locate him. The new owner having bought at auction probably did not get the security deposit transfered to him and will probably be reluctant to give it to you since he doesn't have it. However, as the new owner of a rental property, the new owner would, I believe, have the obligation to return it to you. He inherited the lease and all it's terms and conditions including the return of your security deposit. I would ask for confirmation in writing that they will be returning your security deposit when they contact you. Some tenants would simply not pay the last month or two of rent applying the amount of the security deposit toward that rent. However, that is not really a legal option. If they don't refund it to you, the legal option would be to take them to small claims court.
0 votes Thank Flag Link Sun Nov 3, 2013
I beg to differ with you. In the CIty of Los Angeles, there is a moratorium on evictions due to foreclosure on SINGLE FAMILY HOMES and the properties are subject to parts of the rent control ordinance. See the attached link.

"The Los Angeles City Council enacted the Foreclosure Eviction Ordinance (Ordinance No. 180441) on December 17, 2008. This Ordinance provides that banks or lenders who foreclose on single family homes
new multi-family properties (those with a Certificate of Occupancy after October 1, 1978) cannot evict tenants merely because they foreclose on the property. They can only evict a tenant based on the legal reasons permitted under the RSO. This ordinance, which was adopted with an urgency clause, became effective December 23, 2008, and applies to any rental units to which title is obtained through a foreclosure on or after December 17, 2008."

https://lahd.lacity.org/lahdinternet/LinkClick.aspx?fileticket=37lmA1AUynA%3D&tabid=264&language=en-US
Flag Mon Nov 4, 2013
There are many variables in this question. Is the property in foreclosure? Has the owner given you notice that the property was being sold?

Your options are yes...speak to a real estate attorney.

if you reside in the City of Los Angeles and the property is in florclosure, you may have rights under the City of Los Angeles Foreclosure Moritorium, which states that a single family home would be subject to the Rent Control Ordinence if the property is in foreclosure.

Otherwise, the new owner would need to notify you of the change of ownership and if they want you to vacate, give you appropriate notice to vacate...at lease 60 days...possibly 90 days.

I would contact your current landlord to see what is up.

Good luck!

Feel free to contact me if you want more detail.

Kat
0 votes Thank Flag Link Sun Nov 3, 2013
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