Ask Me Help Desk - My rental house is being foreclosed on.What are my rights?

:confused: :confused: Hello. I have been renting my home since February 2008, for $850.00 monthly. I was served documents on Monday June 23, 2008 stating that the house was being foreclosed on within the next three months. I had to find another home within this time. The owners (4) have not paid the mortgage since January 2008 (they rented me the house even when they were late on their mortgage payments) I paid $2000.00 for security deposit and 1st months rent. It went to the Real Estate Company to be put in Escrow. I also never received a copy of the signed lease, even though I asked for it twice! The realtor simply stated that she would mail a copy each time. I never received it!

After receiving the foreclosure documents, I called the Realtor asking about this issue. She informed me that she had no idea and she would call the owners.

Calling back she stated that she spoke with the owner and they were shocked; they stated they had no idea, they have been paying the mortgage and this was a mistake.. They wanted a copy of the foreclosure documents. I quickly made copies and mailed to the Real Estate Office.

I asked the Realtor Tuesday what I should do... I stated that I did not want to keep paying the owners $850.00 a month if they were not paying the mortgage that I would pay the bank directly. The realtor stated that I was to continue paying her the money orders and being that the owners were not paying the mortgage, she would take the money and put in into a account. When I asked about my deposit, after all, I am getting thrown out of a house I've been paying for 7 months early from the lease, so I asked if I would receive my full deposit back, that would help in paying for ANOTHER home. She harshly said, "you will only receive half the deposit back IF the house is in proper order". Is this fair?!

I spoke with the realtor again yesterday (Wednesday) she informed me, quite harshly again, that she has spoken to her lawyer and the lawyer said, "I have to continue paying the owners the rent and if I do not then the realtor can evict me in three days time"

I don't know what to do... I don't have the money to go out and pay another $2000.00 dollars for another home when I have lived there for 5 months. What are my rights? Are there any laws being abused here?! What are the options? The realtor is being the most nastiest person throughout this ordeal and I don’t know if I should/be able to take this to court to get my full deposit or... What?

Don't know if this will help, but here is a post with answers on a similar situation:

https://www.askmehelpdesk.com/real-e...ts-213506.html

California is the only state with any laws protecting the renter at this point that I know of.

In general as long as you live there, you have to pay the rent to the landlord. You can not pay the bank direcly. If you do not pay the rent while they still own the house, they can evict you and you may forfeit your deposit for being evicted for non payment of rent.

Only after the home is actually sold, does that break the lease so you are not obligated, and if it is foreclosed, BUT only after the bank takes it, do they owe your deposit back to you. If you move out early and they will give you 1/2 of your deposit, actually that may be about as good as this is gong to get, unless you live in California.

Quote:

Originally Posted by Fr_Chuck

California is the only state with any laws protecting the renter at this point that I know of.

In general as long as you live there, you have to pay the rent to the landlord. You can not pay the bank direcly. If you do not pay the rent while they still own the house, they can evict you and you may forfiet your deposit for being evicted for non payment of rent.

Only after the home is actually sold, does that break the lease so you are not obligated, and if it is foreclosed, BUT only after the bank takes it, do they owe your deposit back to you. If you move out early and they will give you 1/2 of your deposit, actually that may be about as good as this is gong to get, unless you live in California.

Thank you for your response... I was afraid of that! I have consulted a lawyer and the clerk of courts... being that the owners knew they couldn't pay the rent before I moved in they are taking legal action. Guess we will see what happens. Hopefully I can get my full deposit back and just get out from it!! Thank you for your help!! :)

Quote:

Originally Posted by Whispros

:confused: :confused: Hello. I have been renting my home since February 2008, for $850.00 monthly. I was served documents on Monday June 23, 2008 stating that the house was being foreclosed on within the next three months. I had to find another home within this time. The owners (4) have not paid the mortgage since January 2008 (they rented me the house even when they were late on their mortgage payments) I paid $2000.00 for security deposit and 1st months rent. It went to the Real Estate Company to be put in Escrow. I also never received a copy of the signed lease, even though I asked for it twice! The realtor simply stated that she would mail a copy each time. I never received it!

After receiving the foreclosure documents, I called the Realtor asking about this issue. She informed me that she had no idea and she would call the owners.

Calling back she stated that she spoke with the owner and they were shocked; they stated they had no idea, they have been paying the mortgage and this was a mistake..They wanted a copy of the foreclosure documents. I quickly made copies and mailed to the Real Estate Office.

I asked the Realtor Tuesday what I should do....I stated that I did not want to keep paying the owners $850.00 a month if they were not paying the mortgage that I would pay the bank directly. The realtor stated that I was to continue paying her the money orders and being that the owners were not paying the mortgage, she would take the money and put in into a account. When I asked about my deposit, after all, I am getting thrown out of a house I've been paying for 7 months early from the lease, so I asked if I would receive my full deposit back, that would help in paying for ANOTHER home. She harshly said, "you will only receive half the deposit back IF the house is in proper order". Is this fair???!!!

I spoke with the realtor again yesterday (Wednesday) she informed me, quite harshly again, that she has spoken to her lawyer and the lawyer said, "I have to continue paying the owners the rent and if I do not then the realtor can evict me in three days time"

I don't know what to do...I don't have the money to go out and pay another $2000.00 dollars for another home when I have lived there for 5 months. What are my rights? Are there any laws being abused here??!! What are the options? The realtor is being the most nastiest person throughout this ordeal and I don’t know if I should/be able to take this to court to get my full deposit or.....What?!

If im a tenants and the home is being forclosed and there is a action this month and just found out do i got to move right away or do i get a grace period.