Should You Pay Your Rent If the Property You're Renting Is Being Foreclosed on?

Now this is one of the questions I’ve been asked several times. Many renters out there have seen their rental properties hit by the recent increase in foreclosures.

More often than not the landlord doesn’t inform them that anything is wrong and tenants find out when someone comes and puts up an announcement on their door.

It’s a sad way to find out you might be moving by no fault of your own.

So what’s the answer to the title question of this post?

Well, I’ll give you a clue to the answer.

Let’s just say that the answer isn’t going to make many of you out there happy. You must all remember that more than likely there is some form of contract involved between the tenant and the landlord. So having said all of this the answer is yes. That is if you want to continue to live there.

Remember that there’s two time frames for eviction depending on what type of agreement and the total consecutive time you’ve been renting the property. More than likely if you’re on a month-to-month agreement then the landlord is only requiered to give you a 30 day notice to vacate. If on the other hand you have a year or more lease then you are given a 60 day notice. The 60 day notice is if the person buying the property plans to live on the property. At worst case scenario you can negotiate and/or petition the new owner to work with you on honoring the lease you have or terms for you to have as smooth a transition as possible.

It doesn’t seem fair but the bottom line is that even though your landlord isn’t fulfilling their contractual mortgage duties, you as a renter are expected to fulfill your contractual duty with your landlord.

I wish I could paint a better picture for all of those who rent but this is one of those cases where life just isn’t fair. Also, don’t fall for any rental that is priced so low to believe as this could be a sign that not all is well with the property.