Tenants in foreclosure are those who are getting stuck when their landlord defaults on a rental property’s mortgage.
This is a difficult situation, but as the economy works its way out of this downturn, more and more tenants will find themselves forced to find new housing.
As a landlord, I think tenants sometimes overestimate their connection with a property. It is not their home in the sense that they can always live there.
It is a rental. They are only connected by a lease, and many of us think a lot of tenants don’t care about following it.
But now we have tenants who are hurt, angry and upset because they may have to move.
CNN has a story about a lady caught up in this gray area between lease and leave.
Her landlady rented to her even though the property was in the foreclosure process.
I think in this case, this tenant does have a point. I also believe she was misled believing everything was okay between the landlady and the bank.
So here’s what we can expect.
Some of our future tenants, the smart ones, may be asking us if we have a mortgage or if we are behind on our mortgage.
We shouldn’t take offense at that.