:confused: Hello all.. I'm from Cali and here is my problem. I signed a year lease Mar 07. This past Sept. the landlord tells me they are selling due to ARM loan and the mortgage now being double of what it was before. They were going through financial hardships and would not beable to refinance or pay their mortgage anymore. They wanted to get rid of us as soon as it went into Escrow. My hubby and I explained the Ca laws and that neither of us could terminate the lease without an agreement.

They did not want to "buy" us out at an agreeable amount. So we are still there. They decieded to not sell, then sell, then not, etc. Next thing you know a realtor is our front door snaping a photo from the bank that loaned then the money. According to him they hadn't paid and the bank was getting ready to file a NOD notice of default. The few times I've talked with the owners they tell me how broke they are so here is my question...


If I don't pay all the rent in our last month what could happen to us? We paid a security deposit of $1000.00 and the rent is $1400 leaving $400 for us to pay in the last month. The place is already way better then when we first moved in so that doesn't concern me.

The landlords are out of state, will they have to file in the county we live in?



We will be moving anyway... I really don't want to get screwed out of a deposit.

Thanks for all who may help!

PS. Yes the contract says "security deposit" and it also states we cannot use it to pay the rent.

Since you're moving anyway I'd suggest using the security money as rent as the mortgage company is sure not going to give you a dime back as the contract was not with them but the owners of the property. The owners are not going to give your $1,000 back even if you would pay your $1,400 rent and left the place in mint condition. Face it, they're not coming back. If you want to chance it, go for it. I'd even go as far as not paying a dime from now until you move either. This is not legal advise here, but advice you can either take or leave. How long until moving time for you? If the property is in escrow who are you paying your monthly rent check to? The bank? I sure hope it is not to the owner. It does take over a month before anyone can evict you for nonpayment of rent even if they give you a 3 day notice for nonpayment of the rent, wait the 3 days, then file something in the courthouse, then have the papers served, then wait 20 days for you to file an answer or go to a hearing, then have the judge decide (who generally gives 7 to 10 days for you to vacate), then you leave. All in all the process takes about a month. So why would you want to throw your money away when the landlord already has your money? I don't care what the contract says not using the security deposit for rent... that's only put in there for when you decide to move and want to use the security as last month's rent and then don't clean up the place and leave it a wreck. It's up to you, it's your money...

If you don't pay, they can evict you of course, and if there is money due, they can sue you in court for the balance. Give you a negative reference for future rental and so on.

And if he is first going into default, he will still have the property for months, a foreclosure does not happen very quickly.