Posted on: 10th Feb, 2010 11:07 pm
If I foreclose on a rental property that still has tenants in it and stop paying my mortgage, do I still collect rent or do I tell my tenants to stop paying rent to me. Or do I just send the mortgage company the rent amount even if it is less then the monthly mortgage?
You should inform your tenants that you are letting the property go into foreclosure. Your tenants may stop paying the rent to you. Rather, if they want to stay in the property, they can contact the lender, negotiate with him and pay the rent to him. Thus, it will help them to stay in the property.
And if they decide that they don't want to stay after the foreclosure since it takes a long time for the foreclosure to take affect do they just live there for free?
Hi Guest!
Welcome to forums!
It will depend upon the lender whether or not he would allow you to stay in the property for free. He may ask you to pay a certain amount as rent in order to stay in that property.
Feel free to ask if you've further queries.
Sussane
Welcome to forums!
It will depend upon the lender whether or not he would allow you to stay in the property for free. He may ask you to pay a certain amount as rent in order to stay in that property.
Feel free to ask if you've further queries.
Sussane