short sales collecting rental,but not paying mortgage

[tomser]

if short sale in my 2 rentals and collect rental money and not payng mortgage payment then what happens how the lender reactes and what kind of action they may take???

thank you for your comment

tomser

[amiesheikh]

Don't tell them that you are getting rental income. They won't find out.

[jakelabry]

Originally Posted by tomser

if short sale in my 2 rentals and collect rental money and not payng mortgage payment then what happens how the lender reactes and what kind of action they may take???

thank you for your comment

tomser

You should more concerned about what your tenants will do when they find out they are being evicted because you aren't making the payment. The tenants may be justified in refusing to pay rent in this case. Depending on your state, there may also be laws protecting your tenants from you.

[amiesheikh]

Just tell your tenants u r doing the short sale and that you can give them notice once you have the approval letter. They'll most likely have 30 days to find a new place to live b/c the buyers will probably need that long to go to closing. Or u can have it in the contract that the closing will take place 30 days from the date the lenders approval letter is recieved.

And don't tell the bank that you're collecting rent. Screw the bank.