Landlord Foreclosing on Condo

[scrapjackie]

What is the name of your state? Michigan

Two weeks ago my husband and I recieved notice that our landlord was in the process of foreclosure on the condo we rent from him. We have rented from him for 2 years, never missing a payment. We are on a month to month lease agreement. We have 90 days before the sheriff takes the condo, but we want to be out by the end of april.

It is time for use to pay our March rent. I am having a hard time writing a check for funds that will NOT be put towards the condo. It is so upseting to know that for months now we have been putting money in his pocket while he was being deliquent on the mortgage for the condo.

Do I have to continue paying him rent when we know it is not going towards the condo? It would really help to have this money to pay for the unexpected moving expenses and finding a new place.

Also if we don't pay him any more, are we going to lose our deposit? Again that would be helpful for the inconvient move we now have to do!

Thanks in advance for your advice!

 

[FarmerJ]

You need to give proper written notice that meets your states laws for a month to month renter sent via a means that gives you a reciept and pay your rent , to not do so could get you into a eviction hearing, your LL is entitled to be paid and for all you know your LL could possibly stop the foreclosure from happening.

 

[reenzz]

As long as your landlord is in possession of the condo..you still need to pay rent... After all you ARE living there. What he does with your rent payment is basically none of your business. The landlord has plenty of time to avert the foreclosure. By not paying rent...you are only setting yourself up for an eviction procedure.

 

[nextwife]

What is the name of your state? Michigan

Two weeks ago my husband and I recieved notice that our landlord was in the process of foreclosure on the condo we rent from him. We have rented from him for 2 years, never missing a payment. We are on a month to month lease agreement. We have 90 days before the sheriff takes the condo, but we want to be out by the end of april.

It is time for use to pay our March rent. I am having a hard time writing a check for funds that will NOT be put towards the condo. It is so upseting to know that for months now we have been putting money in his pocket while he was being deliquent on the mortgage for the condo.

Do I have to continue paying him rent when we know it is not going towards the condo? It would really help to have this money to pay for the unexpected moving expenses and finding a new place.

Also if we don't pay him any more, are we going to lose our deposit? Again that would be helpful for the inconvient move we now have to do!

Thanks in advance for your advice!

Just a correction:

The LL is not foreclosing, the LLs LENDER is foreclosing.


If you want to stay put, have you considered negotiated a buy out between his lender and him? Buying the home you live in?

I work in the default mortgage area of a bank, and the banks will really try to work with a seller in default, often agreeing to significant short sales to avoid taking the property. It might be a great opportunity to not have to worry about renting. Many mortgage loans, BTW, include language that provides an assignment of rents to the lender upon default, which gives the lender rights to the rent.

And I agree that a FC may never happen. A huge percentage of defaulted mortgages do reinstate and avoid FC.

 

[scrapjackie]

Our LL has told us that is he no longer paying on the mortgage and that he is just going to let the condo go. He never wanted in the first place but he couldn't unload it to anyone.

Honestly, I would never buy this place. I have a child and it is not really in a great area for him. We were thinking of moving but not so suddenly. Now it is just a scrabble and it sucks to give him more money when it is not going to the correct use. I know it is none of my business but I think it is just heartless not to tell your tenants on the first sign of problems. He was just milking us for money!

 

[reenzz]

While it may "suck" to move at a time inconvienient for you...your landlord is not "milking" you for money. He provided a place for you to live...you paid for that place....how is that "milking"????

 

[noisefrazzle]

Our LL has told us that is he no longer paying on the mortgage and that he is just going to let the condo go. He never wanted in the first place but he couldn't unload it to anyone.

Honestly, I would never buy this place. I have a child and it is not really in a great area for him. We were thinking of moving but not so suddenly. Now it is just a scrabble and it sucks to give him more money when it is not going to the correct use. I know it is none of my business but I think it is just heartless not to tell your tenants on the first sign of problems. He was just milking us for money!

You lived in his place, he collected money from you for it, that's not milking, that's a rental agreement. What the landlord does with rent payments is his business. And while in a perfect world the landlord would let his/her tenants know of financial trouble in a timely fashion, one of the reasons s/he doesn't is for the exact reason you've given here: tenants feel as if they have a right to stop paying the rent.

NF