Belt Auction

Any suggestions? My landlord's house is in foreclosure and up for auction next month.?

Hi I need some help. I was served papers for my landlord who lives upstairs, for a foreclosure back in Dec. we talked to her about it, and she said that she is working it all out, and not to worry. I came home on Wednesday the 22nd of Apr. and there was a huge Sheriffs Auctions Sale notice posted to the front door. I again went up and talked to her because I don't want to be locked out of my apartment or lose my belongings because of her mishap. She again told me don't worry about it that the mortgage company she is working with tells her that everything is ok don't worry about the notice. I looked it up on the internet and it is posted for Auction. I walked away feeling like she was lying to me because in her next breath she said her husband would be home on Friday the 24th and not to say anything to him about it. (hes been in boot camp since Jan.) We spoke to her on Sunday and told her that we were looking for a new apartment and she was like..."well, if that's how you feel about it" and has been ignoring us ever since. We have found a new apartment and are planning on moving in May 15th. We ran into her husband and he asked what were we doing spring cleaning, and we told him no that we are moving and planning on doing it the 15th of May. Needless to say she never said anything to him about us moving out. Here is my issue she has a $400 deposit of mine, I don't want to pay my rent for May since my (month to month) lease is up on the 5th and we are moving on the 15th. I feel because she hasn't been honest with us she is forcing us to take on this financial burden of having to come up with more money for a new deposit and 1st months rent...Which we really don't have. My plan is to let her keep the deposit of $400 and that will be the rent for the 10 days we will be there. So since she is avoiding us like the plague, and we don't see her I have to write a letter to her. I am not concerned about being put on the do not rent list. I just don't want to come home and have locks on the doors and lose my belonging. Please be kind thank you in advance for your suggestions.

Public Comments

1. you should worry. your landlord has no control about what will happen. the auction may not take place. that is true. But if it does she no longer owns property and the lease is terminated as of that day. Your idea with deposit is a good one.
2. Actually your idea with the deposit is ILLEGAL. No state allows you to use your deposit as rent without prior permission from the landlord. You owe full rent for the term of your lease as long as your landlord is still the legal owner of record. Failure to pay rent are grounds for eviction and legal procedures.
3. Hi, Sorry to hear about what you're going through, and welcome to a topic that many folks want to hear the answer to. You don't say what state you are in,but I am a property manager and former Housing Commissioner in California and here is the information I have instructed the 600+ agents at my office to give their clients: Once the bank takes over or sells the property at auction, they will post a 60 day notice to vacate to the tenant and an immediate notice to vacate for the property owner. During that 60 days, do not pay rent to anyone, but rather save those funds to get into your next home.You most likely will not receive any deposit monies back. The current landlord will not pay monies to evict you as they don't even have funds to pay the mortgage. The bank wont evict you as long as you are gone by the end of the 60 day notice. Your credit most likely wont be affected if you do things this way. I wont say this is how things go 110% of the time, but its a very good and simple translation of what will happen for the tenant during the foreclosure process. And currently there is a moratorium on foreclosures, so they should hold off selling at auction until after the moratorium is lifted, sometime late in the 3rd/4th quarter of this year...maybe even after that. Hope this helps. If you need more time before you move, by all means stay put and save your money right now. Keep in mind that you will have 60 days notice to move, and be able to save your money for those 60 days, so its something to think about. Id stay put, pay rent, and move after you get the 60 day notice from the bank. Some folks even stop paying rent now, as they know the landlord isn't sending the funds to the mortgage holder, and if they don't have enough money to pay the mortgage, they probably don't have enough money to pay an attorney to evict you. I don't recommend not paying rent now, but I do recommend not paying the rent once you get the 60 day notice from the bank. Hope this helps, and sorry for the very long answer.
4. Reenzz is correct. Legally you are not allowed to use your security deposit to pay your last month of rent without permission from the landlord. But I understand your fear of not getting the security deposit back. The proper (legal) way to handle the situation is to pay rent when it is due through the day you move out and then take her to small claims court if she doesn't return your security deposit.
5. No matter how put out or inconvenienced you feel it does NOT reduce your legal obligation to pay the rent! You are still legally required to pay May rent! Deposit is NOT rent! It is illegal to use it as such without prior landlord approval! Being denied future rentals is the least of your worries. She can sue you for unpaid rent!