Posted on: 24th Feb, 2011 11:56 am
I am wondering if my landlord can evict me when they have signed an Assignment of Rents agreement with a bank, or does the bank have to be the one to evict? I understand that WA State has BS laws regarding payment of rent to owner/landlord even though they are being foreclosed on, but dang it to heck, I am not paying those people another penny just so my family can be out on our ear. I found through county documents that they signed this agreement with the bank and I was wondering who's responsibility it is to do the eviction?
Your landlord can evict you, but it's a sticky situation. Typically, if the bank wants to enforce the assignment of rents, they have a process to go through to ensure that you're paying them now instead of your landlord. Most deed's of trust come with an Assignment of Rent clause and it's not typically enforced in the event of a foreclosure. So, the simple answer is they can evict you, but there are some negotiating tactics you can use.
The landlord is not allowed, at least in California, to collect the rents without paying his mortgage. It's called skimming. You might tell your landlord that you require that he get out of foreclosure in order for you to continue paying rent and tell him that you will create an escrow account which you'll pay into monthly and when he gets out of foreclosure. He could still evict you though so you have to be careful.
If you don't do that, here is the best advice, call the Trustee who is handling the foreclosure and find out when the foreclosure is. Let's say it's schedule for April 15th. Don't pay for the month of April at all. They won't be happy but they're not going to evict you when they're about to be evicted in a few days themselves. As well, after the foreclosure takes place, the bank or whomever will take a month or two to get things squared away and they might even offer you money to move. We're a hard money lender and we have to foreclose on people on occasion, but for us, we move very fast in a foreclosure, contrary to how a large bank works. I hope this helps.
Nick Lekas
[Phone Number External link deleted as per forum rules. Thanks.]
The landlord is not allowed, at least in California, to collect the rents without paying his mortgage. It's called skimming. You might tell your landlord that you require that he get out of foreclosure in order for you to continue paying rent and tell him that you will create an escrow account which you'll pay into monthly and when he gets out of foreclosure. He could still evict you though so you have to be careful.
If you don't do that, here is the best advice, call the Trustee who is handling the foreclosure and find out when the foreclosure is. Let's say it's schedule for April 15th. Don't pay for the month of April at all. They won't be happy but they're not going to evict you when they're about to be evicted in a few days themselves. As well, after the foreclosure takes place, the bank or whomever will take a month or two to get things squared away and they might even offer you money to move. We're a hard money lender and we have to foreclose on people on occasion, but for us, we move very fast in a foreclosure, contrary to how a large bank works. I hope this helps.
Nick Lekas
[Phone Number External link deleted as per forum rules. Thanks.]