Found out our landlord surrendered the house we are living in....

Walker in WA

LoanSafe Member
Jan 3, 2012
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We defaulted on our mortgage back in Feb 2011 and have our foreclosure date 08/31/12. Being proactive we found a rental in July and are just now getting settled. Prior to moving in I checked the county website and saw no info regarding the rental property and being in foreclose in addition to flat out asking the landlord and she assured me verbally it was not.

Neighbor approached us a couple days ago saying previous tenant moved because house was in foreclosure...huh?

Found old tenants info and spoke to her on the phone, she said she got a notice back in April from a trustee saying landlord had filed for BK and had "surrendered" the home. She confronted landlord and was assured everything would be fine but they parted on bad terms.

I immediately try to contact landlord to confront her and she has not answered her phone yet. Her emails state she is "out" and will be back in the office tomorrow.

Heres the kicker....we prepaid 6 months rent to get a discount. $9000 CASH!!!!!

Im freaking!!!!!

What do I do??? I don't want to move again!!!!
 

jakelabry

LoanSafe Member
Jun 4, 2009
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Really? She's just doing what the folks on here would recommend she do - rent, don't pay mortgage, and pocket the cash. Now, I believe that as the renter, I wouldn't be giving a landlord money that was going into their pocket instead of paying the mortgage causing me the anxiety and insecurity you are experiencing. Your 9K is long gone but I believe the rental agreement you signed has to be honored by the bank or whomever is foreclosing - you did sign one, right? I would not give that woman one more penny in rent, though. Don't believe the bs about you being legally obligated - you're as legally obligated as she is.
 

freedomwon

LoanSafe Member
Oct 30, 2010
2,794
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California
Before you get too freaked out, I would go to the county recorders office & get copies of the docs filed on the property within the last couple of years. Have you checked on line again using the grantor / grantee search tab? What do you come up with now? Anything?

Look for the NOD, NOTS, assignment of deed of trust etc. See what you can secure as evidence first.

Are you paid up through the end of December? Also was the entire $9K paid to her in one lump sum (in 1 check)?
 

Walker in WA

LoanSafe Member
Jan 3, 2012
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1
Before you get too freaked out, I would go to the county recorders office & get copies of the docs filed on the property within the last couple of years. Have you checked on line again using the grantor / grantee search tab? What do you come up with now? Anything?

Look for the NOD, NOTS, assignment of deed of trust etc. See what you can secure as evidence first.

Are you paid up through the end of December? Also was the entire $9K paid to her in one lump sum (in 1 check)?
I looked for all recorded docs on that particular property, no NOD, NOTS, nothing. We paid $9000 cash in one lump sum and another $1500 by check. She said she would mail us the receipt as we met at the property. We do not even know if its in foreclosure...I just know that the previous tenant received a letter from a trustee stating that the owner filed for bankruptcy and is surrendering the property. When the old tenant tried contacting the trustee they gave her little info and the landlord said "everything was fine" and not to worry.

After speaking with the previous tenant, things did not end well and was sorry she did not track me down to warn me.

Kinda freaking, but I guess I will give the landlord her chance to explain anything if needed.
 

freedomwon

LoanSafe Member
Oct 30, 2010
2,794
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California
If you have a signed lease agreement with her, you should be in good shape. I'm concerned you don't have a receipt for the $9k you gave her. If you haven't left a detailed msg for her concerning the bk, you might want to begin with getting that receipt first. You could offer to receive the receipt by e-mail or fax. Once you've gotten the receipt, then confront her about the bk.

I certainly understand you don't want to move again. Should the property end up being surrendered, you might consider working something out so you can continue to remain renting there.
 

Walker in WA

LoanSafe Member
Jan 3, 2012
10
0
1
UPDATE! Our landlord is set to foreclose on August 9th. She took the $18k CASH that we gave her along with our deposit and pocketed it, never paying her mortgage. The lender is Flagstar. We are hoping that we may have the opportunity to rent it from the new owner (which is likely to be the bank) but im not sure what the odds are on that.

I cannot tell you how frustrated I am with this woman. She's lied to us over and over. Very frustrating and just plain wrong.
 

Evan Bedard

Call 1-800-779-4547
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Aug 26, 2007
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San Diego, California
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UPDATE! Our landlord is set to foreclose on August 9th. She took the $18k CASH that we gave her along with our deposit and pocketed it, never paying her mortgage. The lender is Flagstar. We are hoping that we may have the opportunity to rent it from the new owner (which is likely to be the bank) but im not sure what the odds are on that.
I'm sorry to hear what has happened Walker and I realize it's now a month past the foreclosure. This is why we always suggest to let the renter know ahead of time when walking away and renting out the home, this can be an unwanted surprise for anyone although you may have at least an additional 90 days (or until the lease is up) to remain in the home. Were you able to negotiate an additional 90 days or more in the property citing the PTFA?