Monday, December 12, 2011

Landlord going foreclosure, do I have to pay rent?

I'm in Minnesota, for the 2nd time in 2 years my landlord is facing foreclosure. Here we go again, having to move against our will plus all the expenses involved when one moves. My second landlord failed to renew our lease last summer of 2008. Last January 2009, we've got the dreaded visit from the county sheriff to notify that our landlord was on default. Under MN law, the landlord has 6 months to redeem the property from the bank, this upcoming June 6th, the bank will take over the property. The landlord already admitted she wont be recovering the property so she agreed to pay her $800 a month (from $1,200). My wife got down to 3 days in her job and last month we only sent her $500 for rent. We are struggling to keep up with our current bills plus saving over $2,500 for a new month deposit and rent plus the expenses involved while moving.





We gave the landlord when we moved in a $1,200 deposit plus a month of rent. That deposit thinned by a few hundred dollars a few times when our rent was a day or 2 late for a left over amount of around $800 still on our favor. Today is May 27th and in 9 days this property will belong to the bank. Should I pay these folks the rent? They just left a message saying they were going to legally proceed.





What are my options or rights if I have some?


Thanks in advance for your help.|||I am not sure why you are deducting rent. Until June 6th this is her property and you owe 1,200 a month rent to live in it. It does not matter what she does with her money, that is not an issue. The issue is you are living in her property and agreed to pay her 1,200 a month. By "legally proceed" she means she is suing you for the money you illegally withheld. The judge will award her the rent, interest and court costs.|||Technically, his contract with the mortgage company is completely seperate from your contract with him. Regardless of what he's doing you are still legally obligated to pay. However, I highly doubt that he's going to have the $800 deposit to give back to you, so I would not suggest paying your last month's rent. If for some crazy reason he decided to sue you for the last month's rent, counter-sue for the $800. Good luck.|||once the bank owns the property the lease is not valid.





do not pay the bank rent. they want you out to sell the property. you do not have a lease with bank|||Do not pay anymore - the landlord has violated the lease. You will need money to move and a deposit on new place. You know you will not get your deposit since it is pretty sure she spent it.|||You are living there so, of course, pay your rent.|||First, I think you should be entitled to your full deposit.


Yes, I think you are obligated to pay your full month's rent if you lived there for a full month. If not, they COULD take legal action. The only thing is, is that most lawyers won't want to pick up the case because it just is not over that much money.





-edit-


I agree with above poster (aldajara).


You should wait to see if he is going to give you your deposit. Maybe meet up somwhere and hand each other the cash.|||I dont agree with that last post from "landlord"! I also just found out that the house I am renting is now in foreclosure! EVERY landlord by law has to notify you if the property is in foreclosure and by not doing so it is breaching the contract - its not always written in every contract but there is a state law that says this. I am contacting the attorney general tomorrow on my issue %26amp; if I were you would do the same. Another question to ask is, if the funds are not going directly to the property will the state of minnesota give you your renters rebate? I'll post again if I find more info out to.

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