If you have a written lease, and you are not related to the landlord, and the bank forecloses, you should be able to remain through the end of the lease.
I am not an attorney and my opinion should not be interpreted as legal advice, it is not.
Best of luck,
Newport Beach & Palm Desert CA
Up and util the banks takes the proerty through foreclosure, your landlord is still the owner.
You have a contract with the landlord to pay a set amount of monthly rent. Be very careful . If you fail to pay your rent the landlord could begin the eviction process. The last thing you want is an eviction on your credit history.
Remember, the loandlord's bank could take anywheer from 90 days to SEVERAL months to actually foreclose on the property, in the meantime if you reside there you must pay your rent.
If you are worried about the situation with th eproperty, you should give your 30 day notice and move out on your own accord.
Best of Luck to YOU,
Kawain Payne, Realtor
No, your landlord is not breaking the law in collecting rent. Your lease is with the landlord, not her mortgage company.
C2 Financial Corporation
Unfortunately, No. The contract you have with the landlord is between you and the landlord and the contract the landlord has with their lender is between them. The fact the landlord is breaking that contract does not affect this one.
You should have a Realtor or someone watch the auction date for the home you are renting, you do not want to get surprised by a sheriff telling you to move NOW. You are in a tough spot but you are still obligated by your contract. See if you can end the lease early and move.
Brian Wilson, Realtor
I signed a lease with a so-called property manager. Really just a glorified neighbor.
I have not once spoken to the landlord. Who has moved out of state. The bank has come out to the house and said its in foreclosure, and that if they were me they would suggest for my familys sake for me to move out before 2months is up. All of their attempts at contacting her have been null. The mortgage is not being paid for months now, but my rent has. I cannot move without getting my deposit back or not paying rent. Im very anxious as a single mother. I have also received a letter from the home insurance company saying that the insurance hasn't been paid and that in the underlying terms of her mortgage she must pay for home insurance. My lease does not have the landlord's name anywhere on it. Everything was done through this so called property manager. Nothing has been fixed when I have requested. The landlord didn't come down to meet me the week after signing my lease like I was told she would. Im feeling like the whole thing is a big scam. The bank field agents Ive spoken to said they see this all the time.
WHAT DO I DO??
Some intense poster below tries to align rent skimming to the "Implied warranty of habitability" which to me is a comparison of apples to oranges. One does not necessarily have anything to do with the other.
There also has to be the intent to defraud. There are many defenses to the allegation of rent skimming.
I suspect your issue is more associated with how her lack of payment to the lender/servicer is going to impact you. the answer is that you are still obligated to pay, whether she does or not. You can't use her lack of payment as an excuse for you not to pay. You have protections under California and Federal laws from eviction if the lender forecloses as long as you can document you are paying rent. If the foreclosure does occur, you will have a minimum of 90 days to vacate the premises or, the remainder of any bonafide lease, whichever is greater, provided you pay rent.
The owner has an agreement with the bank that is not tied to the agreement he has made with you. You are still obligated to pay the rent even if he is not making his mortgage payments. He may get a loan modification or the home may end up in foreclosure. You should consult an attorney for more information.
You have a contract--a lease agreement--with your landlord. You pay rent; she provides you a place to live.
She has an agreement with her lender(s). She pays the rent and they don't foreclose.
But there's nothing that requires her--either in the lease or in the law--to pay her mortgage.
The two are completely separate.
I believe the law only governs the first 12 months of the new loan (whether purchase or refinance). After that, I believe the landlord can collect rent regardless of whether mortgage is current or not.
For further information and clarification, please call your local housing authority @ 866-557-7368
I know this is of little consolance, but if you've lived there at least 12 months, and IF the home actually ends up on the auction block, then the new owner must honor the existing lease. If you are on a month to month contract, and over 12 months, then the new owner must provide a minimum of 60 day notice to vacate.
â–º Have you considered buying ??? With the new grants, a first time buyer may qualify for 0.5% down < $500 down for every $100,000 of purchase price >. Qualifying is about as hard as qualifying to rent a home with the right agent and loan officer working for you. -Oh, and you might end up paying LESS in mortgage than RENT !!! Lastly you have additional tax write offs, which either give you a larger tax refund at year end or you can lower your monthly liabilities to have a bigger paycheck !
Jerry - it doesn't cost you anything to get you prequalified for a mortgage and its done in complete privacy... heck, you could just say goodbye to renting forever !!!!
Don't know of a good realtor in your area, let me know and I can recommend one to you !!!
Most Kindest Regards,
KELLER WILLIAMS REALTY
JD Power & Associates Ranked #1 Buyer Satisfaction 2008, 2009, 2010
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No, she is not breaking the law. A homeowner is free to essentially do anything they want with the home since they own the property. One option that sometimes occurs is that the homeowner will sell the home to the current occupants through a short sale.