My father rents a home. He has always just had a month to month agreement and yesterday he found out the house is being foreclosed on. He has no idea what stage of the process they are in and now the owners are not returning calls/emails. Is it legal for them to take his money, then not pay they mortgage on the property?
2007-05-31 04:57:09 · 12 answers · asked by Ashley Hall 2 in Business & Finance ➔ Renting & Real Estate
Of course he still has to pay his rent. Whether or not the the owner pays his bills (the mortgage) is none of yours or your fathers business!
Once the new owner takes the property they may or may not serve him 30 day notice. Again, he has no say in that other than that no matter what he must be given 30 day notice.
2007-05-31 05:12:29 · answer #1 · answered by Not Laughing w/ U 3 · 1⤊ 0⤋
Sure. These are two separate issues entirely. Since he's month-to-month, he should probably plan on moving fairly soon. The new owner will be able to put him out with 30 days notice in most locations. If the new owner plans to keep it as a rental he might be able to stay but this can be a messy situation. If he had a lease, he'd be protected until the expiration of the lease but without a lease he's wide open to being put out.
Whoever buys the house WILL be responsible for any deposit that your Dad put up, even if they don't collect it from the current landlord.
Please ignore the rubes that advised he stop paying rent! He can be evicted for non-payment of the rent! The fact that the property is being foreclosed upon has NO BEARING on his obligation to pay his rent on time or the current owner's right to collect that rent!
2007-05-31 05:02:39 · answer #2 · answered by Bostonian In MO 7 · 5⤊ 0⤋
Eventually, he's required to send the rent to the mortgage company. Depends on if he bought the home as an investment property or not (different language on the documents).
The landlord might just be able to keep the money until the sheriff's sale, at which point your father will want to make sure it's going to the bank.
If you know he's being foreclosed upon, do you know which bank it is? If so, I'd try to contact them and see what they say.
2007-05-31 12:43:01 · answer #3 · answered by Yanswersmonitorsarenazis 5 · 0⤊ 0⤋
Yes, it is legal for themt o take his money and not pay their mortgage, this is two different scenarios here.
Foreclosures take awhile before it actually happens and even when it does, the bank or the new owners will give the tenant time to leave.
If your Father is unable to contact his landlords, then by all means he should stop paying any rent and save his money to find another place.. But your father should stay in the rental unit until the foreclosure is final and he gets something in the mail from the new owners before he finally moves.. But let hime save his money to get out unless the new owners bought it for investment purposes..
How did you Dad find out about the foreclosure? The mortgage lender lawyers usually have a website with all their sale dates of upcoming foreclosures, foreclosure sale dates are usually listed in the newspaper under public notices as well.
Good luck
2007-05-31 05:11:13 · answer #4 · answered by Chef D 4 · 0⤊ 1⤋
He needs to do three things:
1- pay his rent on time
2- look for another place to stay
3- talk to the old owners about how to use the deposits before paying the next rent
any day could be an eviction day for him
if he is handicapped, he may get extensions enforced on the new owner to stay for a little longer
2007-05-31 09:15:46 · answer #5 · answered by TH 4 · 0⤊ 0⤋
Yes, it is legal. Your father's month to month tenancy contract is with the owners of the property, and not with their bank or lender. Your father should continue to pay his rent as agreed upon, and monitor the stages of foreclosure. The NEW owners are entitled to the rents from the premises only after they have taken actual ownership, and they should be advising the tenant of the date of this change.
Your father, having only a MTM tenancy, should consider moving from the premises, since his tenancy may well be abruptly ended by any new owner with proper notice.
(And I have to agree with Bostonianinmo and others who are advising you to ignore the rubes who are advising against further payment. They are QUITE clueless....:)
2007-05-31 05:15:00 · answer #6 · answered by acermill 7 · 2⤊ 0⤋
No, he should not pay any more rent. He propboby will not get his deposit back either. Forclosures can take months before someone is given notice to vacate the premisis. What he should do to be lefit is give his 30 days notice and find another place to live and tell the owner to take his last months rent out of his deposit. That way, he can save for another deposit for a place a get out within 30 days
2007-05-31 05:01:59 · answer #7 · answered by livin the dream 5 · 1⤊ 2⤋
His contract is with the owners, not the lien holders. As long as they are in title to the property they may legally collect the rents.
2007-05-31 05:13:17 · answer #8 · answered by mazziatplay 5 · 2⤊ 0⤋
its wrong that this is happening but my suggestionw ould be for him to move. to stay and continue living without a lease is not protecting his rights as a tenant. give 30 days notice so he cvan get his security back, find a new place for him to live without this stress.
2007-05-31 05:40:36 · answer #9 · answered by spadezgurl22 6 · 0⤊ 0⤋
I don't think so. But I would get them out before the home is returned to the bank.
2007-05-31 05:00:50 · answer #10 · answered by papster 3 · 0⤊ 1⤋