Our Landlord is in Foreclosure PLEASE HELP - Posted by Houston Hopefuls

Posted by Carver on March 16, 2002 at 21:23:58:

Some banks are open to lease/options, though I have never heard of them renting to a tenant.

Our Landlord is in Foreclosure PLEASE HELP - Posted by Houston Hopefuls

Posted by Houston Hopefuls on March 16, 2002 at 18:29:49:

The home that we are leasing is currently in foreclosure and we just found out a few moments ago that the home will be auctioned on the first Tuesday of next month, April 2nd.

What can we do to stop the foreclosure action? We don’t have money for a down payment right now as we have been working to clean up some credit issues.

Is there ANYTHING we can do to stop the foreclosure? Should we approach the bank and ask to assume the mortgage?

My family would appreciate any advice you would be willing to offer.

Does Texas have the tenant anti-eviction Act? - Posted by Ben (NJ)

Posted by Ben (NJ) on March 18, 2002 at 13:21:46:

In NJ, the foreclosing plaintiff is prohibited from evicting a tenant merely because he has taken over the property. He must adhere to the terms of the lease. Speak to a local attorney and see if Texas has a similar statute.

Re: Our Landlord is in Foreclosure PLEASE HELP - Posted by Allan (SATX)

Posted by Allan (SATX) on March 18, 2002 at 04:36:16:

Being you’re from Texas, the auction being on the first Tuesday may indicate its prob. for back taxes (as Texas tax sales are held by the Sheriff on the first Tuesday.) Check with the county and see if he owes back taxes and for how much, it’s public record.

Allan

Re: Our Landlord is in Trouble!! - Posted by Nate(DC)

Posted by Nate(DC) on March 17, 2002 at 24:02:34:

I am assuming that you have been making your rent payments on time.

If the loan is in foreclosure, that means the landlord has been taking your rent payments, not applying them to the mortgage, and using them for something else.

I believe this is called “Rent skimming” which is almost certainly a violation of his loan documents and may be a criminal offense.

Do you trust your landlord? I wouldn’t if I were you.

NT

Re: Our Landlord is in Foreclosure PLEASE HELP - Posted by JoeKaiser

Posted by JoeKaiser on March 16, 2002 at 21:27:52:

Tell me about the loan(s) on the property . . .

Joe

Re: Our Landlord is in Foreclosure PLEASE HELP - Posted by TC

Posted by TC on March 16, 2002 at 18:56:29:

Do you have any cash to work with?If so you might start first by trying to call your landlord and see if they would give up any information,mainly what it would take to bring the mortgage current.If they will cooperate with you could tell them that you can help if they will deed the property over to you.Once they do this,you pay what it takes to bring it current.You then keep the payments made on the mortgage.This would give you time to get a new mortgage.Or you could continue to make the payments on the existing mortgage.This of course would carry a risk of the existing mortgage being accelerated if the lender decided to do so.

Good Luck

TC

Re: Our Landlord is in Foreclosure PLEASE HELP - Posted by Scott

Posted by Scott on March 16, 2002 at 18:46:42:

I doubt there is anything you can do to stop the foreclosure. You have no obligation to the bank to give them access to your house during the auction. Don’t pay any additional rent…you need to save up for your move which you will have to make.

Re: Our Landlord is in Foreclosure PLEASE HELP - Posted by Houston Hopefulls

Posted by Houston Hopefulls on March 16, 2002 at 19:00:30:

Thanks for the advice. I know that our landlord does not want to lose the house. We will look into this option.

Thanks again.

Re: Our Landlord is in Foreclosure PLEASE HELP - Posted by Glenn-OH

Posted by Glenn-OH on March 16, 2002 at 18:58:48:

You might be able to stay in the house if an investor or bank buys it. Go to the auction if you can. See who buys it. Talk to them about continueing to rent. They will probably want to keep you in it as a renter, if you work with them from the beginning. Just make sure that you save your rent for the new landlord. If the current landlord threatens any eviction, see if you can put the rent in escrow for use with the new landlord.

Re: Our Landlord is in Foreclosure PLEASE HELP - Posted by TC

Posted by TC on March 16, 2002 at 19:05:38:

Your Welcome.Hope it can help you guys.

TC

Re: Our Landlord is in Foreclosure PLEASE HELP - Posted by Houston Hopefulls

Posted by Houston Hopefulls on March 16, 2002 at 19:02:39:

Great advice. We will look into escrowing our rent to prove that we are serious. She does not have any equity in the house to speak of, so I doubt that an investor will buy. Are banks open to “renting” to current tenants?

Re: Our Landlord is in Foreclosure PLEASE HELP - Posted by MicheleCO.

Posted by MicheleCO. on March 17, 2002 at 12:38:07:

This method of buying is called subject-to. You can find more info by doing a search in the archives. Good luck.

Re: Our Landlord is in Foreclosure PLEASE HELP - Posted by Dave T

Posted by Dave T on March 17, 2002 at 12:18:19:

Quite a few years ago, I bought a bank-owned property that had tenants. The bank rented the property on a month-to-month basis to offset their holding costs until the property could be sold.

I kept the tenants after I negotiated a new lease at a higher rent.

Re: Our Landlord is in Foreclosure PLEASE HELP - Posted by Terry (Houston)

Posted by Terry (Houston) on March 16, 2002 at 19:38:09:

Do you know how much equity they do have? Or how much behind they are?

You can reach out to me at the email and maybe we can talk off line.

Terry (Houston)

Re: Our Landlord is in Foreclosure PLEASE HELP - Posted by HenryTX2002

Posted by HenryTX2002 on March 16, 2002 at 20:16:24:

Terry, Did you go to the RICH club meeting on the first saturday of March? Your domain quickhousebuyer.com looks familiar.