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My well to do Landlord Just advise he is Underwater and Placing the house on the Market Short Sale


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2010 Jan 13, 3:03pm   6,239 views  19 comments

by Gina   ➕follow (0)   💰tip   ignore  

What are my rights in California?

Who is the state agency that regulates Tenant Landlord?

Any recommendations?

When we leased the Realtor stated they were very well off financially and we could extend two, three, or four years.

Now I am expected to move because of the deceit. Do I have any recourse?

Should I have the security deposit moved into escrow while we lease month to month, until they sell?

#housing

Comments 1 - 19 of 19        Search these comments

1   Gina   2010 Jan 13, 3:28pm  

lease expires at end of month, the was supposed to be renewed, now due to the owner being underwater, he is being forced to short sale to get out from under. we signed the lease based off of the realtor telling us the property wasn't distressed and the owner was well off and wanted to lease it to us year after year.... we based our decision off of the realtor and owners claim to be finacially stable and assurance the property was not going to be affected.

Don't want to stay as they will be looking to show the house until it sells. We value our privacy and dont want it to be invaded.... looking to find out what our rights are as far as shpwoing the house until we move.....

2   timikis   2010 Jan 13, 4:06pm  

From my undestanding of the law, the landlord must give you a 24 hour notice, and then he is entitled to visit the house for whatever reason, be it selling or checking up on things.

As far as the realtor telling you that the landlord was well off, things are changing so rapidly for everyone because of the recession. Maybe the landlord was in good standing when you rented the house and since then could have lost his job or had other financial misfortunes. This economy is sad for everyone ..... tenant and landlord alike.

3   Â¥   2010 Jan 13, 6:51pm  

timikis says

and then he is entitled to visit the house for whatever reason

Not in California; the reasons are rather more limited than 'whatever'. However, showing the house is one allowed reason. 24 hour notice is required, and the house can only be shown during business hours.

Banks are giving "cash for keys" to get tenants out cleanly. Good luck.

4   Gina   2010 Jan 13, 10:42pm  

No, market dropped and his interest only adjustable rate mortgae is getting ready to change. I agree sad for everyone, but at least if the Realtor was honest, I could have made an informed decision as this was predicatble. I would not have leased that home under those circumstances.

5   grywlfbg   2010 Jan 14, 3:28am  

CrazyMan posted this link in another thread:

http://www.nolo.com/legal-encyclopedia/article-30064.html

I haven't read it yet but it may have some answers for you.

6   inflection point   2010 Jan 14, 10:42am  

Sorry G,

Its a real pain to move. You might want to demand your security deposit for the keys.

7   HousingWatcher   2010 Jan 14, 11:42am  

It's irrelevant as to what the realtor said about the financial condition of the landlord because in real estate, everything must be in writing in order to have any type of recourse. Oral statements are invalid.

8   Gina   2010 Jan 14, 12:50pm  

Not according to the civil courts and the California Department of Real Estate. Licensed Real Estate professionals should tell the truth and not misrepresent the facts. I recommend anyone in California who has been lied to by a real estate agent to file a complaint with the California Department of Real Estate and Consumer Affairs. This profession has to be held accountable and needs to be thoroughly investigated. They have ruined many lives and destroyed retirement incomes for millions of citizens through lies, deceit, and fraud. All this for a commission, what a way to make a living. The only way to stop the lies and theivery is not to buy into it and report them to the authorities.

9   Gina   2010 Jan 14, 1:08pm  

Suing in Small Claims Court
A lease-holding tenant who has to move out so that new owners may move in might consider suing their former landlord in small claims court. Here's how it works.

After signing a lease, the landlord is legally bound to deliver the rental for the entire lease term. In legalese, this duty is known as the "covenant of quiet enjoyment." A landlord who defaults on a mortgage, which sets in motion the loss of the lease, violates this covenant, and the tenant can sue for the damages it causes.

Small claims court is a perfect place to bring such a lawsuit. The tenant can sue the original landlord for moving and apartment-searching costs, application fees, and the difference, if any, between the new rent for a comparable rental and the rent under the old lease. Though the former owner is probably not flush with money, the awards in these cases won't be very much, and the court judgment and award will stay on the books for many years. A persistent tenant can probably collect what's owed eventually.

For more information on suing a landlord in small claims court, see Everybody's Guide to Small Claims Court or Everybody's Guide to Small Claims Court in California, by Ralph Warner (Nolo).

by: Janet Portman , Attorney

10   Gina   2010 Jan 14, 1:12pm  

grywlfbg and crazyman

Thanks for the link it was very helpful.

http://www.nolo.com/legal-encyclopedia/article-30064.html

11   Gina   2010 Jan 14, 3:44pm  

The realtor stated they had plenty of equity in the home and assured us the owners were well to do and that leasing year to year would not be an issue. An interest only ARM with less than 5% down proves the misrepresentation and misleading information provided by the realtor.

I will be satisifed if they pay my relocation cost. I'm quite confident a Realtor who misrepresents and provides misleading financial information in his/her official capacity, also has other issues when an investigative authority starts to look into the complaint.

In addition my right to privacy and convenant of quiet enjoyment with people coming to look at the residence has been violated.

12   samsmom   2010 Jan 14, 8:11pm  

this exact situation is also happening to someone in my mothers group. She lives in Marin County. Her landlord just gave her 60 days notice to find another place because he is putting the house up for a short sale. She is totally freaking out and panicking about finding another place since her kids are in school. Strangely, she is not taking your attitude of having her tenants rights violated, which may be her issue even more than yours. (not to compare, but I believe her lease is still valid plus the hassle of possibly not being able to find a suitable rental in the same school etc.)

Its tough times out there with lots of sad stories starting to happen much closer to home. Another person in my group just walked away from their condo in Emeryville and allowing it to foreclose due to being worth 1/2 of what they paid, plus apparently there was a drive by shooting in front of their building right after the crash while she was home with her newborn baby. Now they renting it out to someone else while letting the place foreclose and renting a house in the suburbs to feel safer with their baby.

13   Gina   2010 Jan 15, 1:34am  

Yes- if the lease was signed under misrepresentations. (not funny- disgusting and deplorable behavior) So a message to the Realtors in disguise in this forum. Because of actions like these and others, Consumers should not purchse or lease a home involving a realtor. Buy or Lease direct is the way to go.

I guess it is buyer beware and my bottom line is to never, never, never, trust real estate agents again.... They lie, misrepresent, cheat, and defraud for profit. How disgusting and deplorable to have to conduct business in this manner.

I'm contacting a real estate attorney today and filing formal compaliants with the California Departmnent of Real Estate, Consumer Affairs, and Better Business Bureau.

I recommend others that have been lied to, or given misinformation to do the same.

I am also going to contact the News Media and congress to expose these filthy tactics and the comapnies and people who are involved.

14   Katy Perry   2010 Jan 15, 2:08am  

First You Hold all The Power.
Tell them There will be no home sale as long as you live there,... period. Tell them if you want the house in good condition and vacated in a timely manner it is going to cost two times you security deposit. or make up a number. If You dont open the front door no one can come in. ( change the locks) if they do come in Take off your cloths.
My point is no one can sell a house with a uncooperative tenent (well easily). so what will bring you to the table so every one will be happy?

15   Katy Perry   2010 Jan 15, 2:23am  

You'll be getting a Cash for Keys Offer with in two weeks. Tell them it's not enought and you'll get another offer. CFK= you leave on said date with house in broom sweep condition.
I worked In this business for a year (property preservation) Yes they will call you a dead beat
yes they will brand you as uncooperative (Realturd Word)

Yes they will pay you to leave
oh yes they will pay.

16   dont_getit   2010 Jan 15, 4:13am  

Danimal says

First You Hold all The Power.

Tell them There will be no home sale as long as you live there,… period. Tell them if you want the house in good condition and vacated in a timely manner it is going to cost two times you security deposit. or make up a number. If You dont open the front door no one can come in. ( change the locks) if they do come in Take off your cloths.

My point is no one can sell a house with a uncooperative tenent (well easily). so what will bring you to the table so every one will be happy?

Unless you have nothing to lose, you could do this. If you have good credit history and rental history, the owner can evict. Once its in record, good luck finding a good rental.

17   Katy Perry   2010 Jan 15, 8:48am  

First off I should have stated do not mail in another months rent. It's is now a barganing chip!
Also There are three or four ways this could go
you hold all the power
they have to deal with you first.

.

dont_getit says

Unless you have nothing to lose, you could do this. If you have good credit history and rental history, the owner can evict. Once its in record, good luck finding a good rental.

This is not black and white. individuals/landlords will only care about your job and ability to pay.

Rental agencys may be turned offby this. But Money Talks these days

Take your three months free rent wave it under some landlord nose.

you hold all the power believe it

Just Believe it!

18   Katy Perry   2010 Jan 15, 9:16am  

lookforevan says

Danimal, just one question though. Is there a Cash for key offer if there is no lease and the landlord can just evict you under normal course of action/notice. That seem to be what G is facing.

CFK offers are usually from the bank to the owner during forcloser

But this has moved to tenants as well

with a short sale "that's what he thinks he is doing now this changes often" you could still get a CFK offer.

If it where me, I have great credit and rental history i would fake that an eviction doesn't scare me. I realize that it is in my best interest to sit and wait.
Eviction(which is always worst case) is a really a mellow process anyways you'll have plenty of notice and won't even have to clean the place. They don't throw your stuff out on the lawn while your at work. not in california. you have rights.

you hold all the power
all the power!
and you don't even need a lawyer

19   Gina   2010 Jan 15, 12:05pm  

What would make me happy is an apology, and for the real estate company to pay for my moving expenses to another house in the same neighborhood. Especially as they are sending other realtors to the house to show clients and expect me to be there to let them in, and collect their business card for them. This just keeps getting better.

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