We rent an apartment in Nevada to stay in when we’re in the US since I normally live overseas. I have a lease valid through the rest of the year. There was a Notice of Default filed on the complex (200 units) and now there has been a Notice of Sale for the place.
It will go up for public auction on the local courthouse steps on June 3rd and there is about $40 million in debt involved. It was built in 2006 and has about 60% occupancy with quite a few units never having been lived in. It is a higher-end place with rents well above the median… it was originally designed and parceled to be condos and was later converted to apartments, but could easily be re-condoized.
I am worried about being evicted. I expect to be overseas as I am leaving next week and will not return until around the 20th of June.
You are not my lawyer, but what are the chances of this happening? I know they give people just 48 hours eviction notice and I can’t imagine they’d throw 120 lease-holders out on the street… but they could I guess.
Should I pay June Rent? It is due the 1st, but not late until after the 5th… and as of 11am on the 3rd, the current owner will not own it.
PS: We normally pay rent by credit card since it works when I am not here to give them a check, I get the miles and I think I may have a bit more protection if the wrong party gets the rent after/during the Auction Sale.
Though by no means certain, it’s extremely likely that the new owner will be quite interested in retaining tenants - and receiving their rents each month. And the consequences to you of ceasing to pay rent will be much the same as would have been the case before the sale.
It may make sense to wait until the 5th - you might know more by then.
You sure about that? In California, it was 30 days, but recently changed to 60 days for tenants.
Also, new owners often pay tenants to leave rather than evict (aka “Cash for Keys”).
Also, in California, once the new owner takes over at the foreclosure sale, your old landlord is no longer your landlord and you would not owe your old landlord rent for your post-foreclosure possession of the property. Check you local law and/or consult an attorney familiar with your state. Your local court may have a free clinic.
Practically speaking, this means you would owe your current landlord rent from June 1 to June 3 only, at which time, your current landlord goes bye bye. Again, check your local laws to be sure.
Also, if your lease predates the recording of the mortgage, they may not be able to evict, but this is rare and may not apply in your state.
Yes, we would owe June 1 to 3 to the current owner. I just feel uneasy paying eg $100 for June rent… hard to deal with from 6,000 miles away. In California it might be 60 days, but here in Nevada it is 48 hours to leave according to everything I have read.
Google results show it’s 3 days notice in Nevada. If that’s true, it’s pretty harsh. Once the notice period expires, I assume they file an eviction lawsuit. Again, check your local laws to be sure.
Maybe get a friend or neighbor to monitor the place for notices. Hire an attorney. If a notice pops up, have your friend contact you to contact your attorney so the attorney can stall the eviction lawsuit.
If they file an eviction lawsuit, they will likely have to serve you a summons, which could take some time since you are not home.
Although you may owe your current landlord $100 for June rent, you might want to use that to put toward hiring an attorney instead. Your landlord may or may not sue you later to get that $100. If you do nothing, you could come back from overseas to find yourself homeless with all your stuff in the local dump.
Pay who and how much? On the 5th, there is no more lease and the old landlord can’t evict for failure to pay June rent. The old landlord can only go to court, probably small claims, to collect 3 days back rent, and may not even bother, especially if the old landlord is planning on stealing the entire security deposit.
Post-foreclosure, the old and new owners probably have no details to work out.
Again, check your local laws and consult an attorney in your state. Don’t rely on me.
I have given a set of keys to a friend, but both my wife and I plan to be out of the USA. I am looking at changing tickets, but have a meeting in Europe 9-11 June. We are putting our most valuable and important things in storage this afternoon at a unit we have had for years.