RENT MONEY - Do You Know What Your Landlord is Doing With Your Rent Money?

RENT MONEY - Do You Know What Your Landlord is Doing With Your Rent Money?. Even renters are being affected by the slowing housing market in Temecula, Murrieta and other parts of Riverside and San Diego. In a growing number tenants are evicted from their homes through no fault of their own.

These tenants pay the required deposits, made his rent and utility payments on time, maintain the property (sometimes even better) and yet being served with eviction.

Homeowners who can not keep making their payments, are becoming "reluctant landlords" and rent their homes in an effort to avoid foreclosure. Rain on the theory that rarely works, because you can not rent his house to cover the mortgage payment and this "negative cash flow," along with new housing costs usually placed in a worse financial position . To stop making their mortgage payments and continue to collect rent. So they've created a "cash cow" which will run until the bank foreclosed and evicted the tenants.

If you are a tenant who has decided to wait out the housing crisis, there are things you can do to protect themselves.

Here are some:

1. If you are renting a house from a private party and start getting registered letters addressed to the owner at home, do not ignore your landlord probably has stopped making their house payments.

2.You "probably receive more than one if the owner has stopped making payments. Usually, it will be once a month for each month that is lost until the bank presents its NOD (Notice of Default). If you receive a letter and let, it is likely that the owner caught up in their payments, if they it is time to CYA (cover your assets).

3. The next step should be to contact a local real estate agent and ask them if they will review the public records of the property address and see if a Notice of Default or Notice of Trustee Sale has been filed. Relax, you're not invading the privacy of its owner is a public record and available to anyone who requests it, and the service is usually free.

4. If your first check of public records does not reveal anything, we must remain vigilant. If you remain registered letters delivered. It's just a matter of time before the ads are presented, which means that foreclosure proceedings are in full swing.

5. I will introduce this approach with the caveat that I will not give legal advice and you should consult with an attorney who specializes in this.

Depending on the type of loan the owner has the possibility is very possible that their is an "assignment of rents" clause in its deed of trust. The allocation of the income which means that in the event that the borrower (owner) does not meet your payments the lender is entitled to rents.This not mean you are getting a free pass in the rent. Put the money in savings, because the lender may ask (almost never do). Otherwise you may have saved a portion of the down payment so you can make the change from renter to homeowner.

Most county bar associations have an organization of low-cost legal reference that you can talk.

6. If the area has a lot foreclosures and has decided to raise rent an apartment to rent an apartment, repeat # 3 for every house in your account.

This problem is reaching epidemic proportions and to the Center for Disease Control has not found a way to control the outbreak, so it's up to you to do your due diligence. As the old adage "An ounce of prevention is worth a pound of cure"

Greg Cook is a mortgage professional with 30 years experience in helping buyers make the right decisions for their piece of the American dream. His view at street level to help their clients wade through the millions of bytes of information online and make the best decision for your family.
P5ZSE62NUCXW

Related Post