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At what point did you move into a Rental?

Discussion in 'Deed in Lieu of Foreclosure - Do You Need Help to ' started by ClueLess, Mar 19, 2009.

  1. ClueLess

    ClueLess LoanSafe Member

    My situation: Bought CA townhome in 2005 for $325,00. No money down. 1st lender is Chase, 2nd is with Ocwen. Loan modifications on both loans in 2008. Lasted about 6 mos till we defaulted again. Last payments were made in Sept 08. Total payments per month + HOA is + $2500/mo. NOD filed on 2/18/09. We are in "pre-foreclosure" status. i guess we still have till May/June to remain in this home till a Notice of Trustee Sale is filed.

    We always planned to move into a rental (single family home) eventually. I am very specific with the location and price range of a rental. We found one yesterday (thru a property mgmt co.) and we got approved for it. We will make it a slow move since we're not forced out of our current home yet. It will give us time to get rid of junk accumulated the last 4 STRESSFUL years. I didnt want to miss out on a rental within my preferred area and price range. Who knows if one will not be available by the time May/June arrives?? Is it premature to already find another place to live?

    For those of you already moved out, at what point did you find your rental or place to live? Some lady from Chase left a message on my answering machine to call (at my earliest convenience)...but I'm gonna keep ignoring. I'm not interested in working anything out at this point.

    Thanks for reading =)
  2. KT in CA

    KT in CA LoanSafe Member

    We are 3 months late this month, no NOD yet, but we have already secured a rent that will be available for us to move into mid-May/beginning of June, depending on how big of a hurry we are in. I don't think you are rushing it. We have kids and we needed to find a place to live before school started again in the fall. If it was just my husband and I we would have waited it out, but the kids need to feel secure. And as it turns out, this house is incredible and the timing of it is perfect. i think you've done just fine!
  3. Feelingtrapped

    Feelingtrapped LoanSafe Member

    Did either of you have any trouble with the property management company regarding your credit/foreclosure situation and a rental?

    In my experience so far, they (5 different agencies) have been more than willing to assist us locate a rental and were only concerned with the income qualitfications.

    They seem hungry for renters and want us to move like NOW!

    Have yours been similar?

  4. KT in CA

    KT in CA LoanSafe Member

    In our case we had no problem at all. We were upfront with them and told them we were going into foreclosure but all of our other credit is great. We had the income and references. When they ran our credit report she said the non-payments aren't showing up yet.

    I believe they are hungry for renters. I have a friend who just rented an apartment. She is not in foreclosure. By going to several different complexes, she started a bidding war between 3 of them and ended up getting a great apartment for less than she would have paid probably a year ago.

    Most property management companies are really trying to work with people, thank goodness.
  5. Enough Already

    Enough Already LoanSafe Member

    I think your timing is good. It's nice to be able to move slowy, and get rid of old junk in the process. The only downside is you'll be paying rent sooner than you would have, but if it puts your mind at ease to have a place secured to move into I'd go ahead and do it.
  6. MH_Sucker

    MH_Sucker LoanSafe Member

    We missed our first payment on November 1st and we moved into a rental February 1. I am so kicking myself that we did not wait!!! They notified us in February that we were recommended for foreclosure and they still have not filed a NOD. So we could have lived there for much longer rent free. I was like you and just wanted to find something in a neighborhood we would want to live. I was freaked out about people working with us too. We had zero problems getting a place. People are pretty cool about it if you just tell them up front what your situation is. Good luck with whatever you decide to do!
  7. RimToRimHiker

    RimToRimHiker LoanSafe Member

    With all the rentals available around the Phx Metro area we've decided we don't need to rush into finding a rental. Want to take advantage of the "free rent" as long as possible. Unless we find just one heck of an incredible deal, our plan is to stay right here until someone knocks on the door and says get out. We both work from the house so we can be flexible about where we live. From the many posts on this website and from the ads we've read in the classifieds, having a foreclosure on my credit report (loans are only in my name) doesn't sound like it will be a problem at all.

    There's a very nice apt complex in Mesa that has a huge banner outside that reads: Foreclosure...No Problem.

    Whoa does that speak volumes about what is going on here!!
  8. AZChick

    AZChick LoanSafe Member

    I just read in article in the AZ Republic about apartment complexes being foreclosed on and leaving their residents empty handed forceing these residents to go buy foreclosure homes that are even cheaper than renting...what a circle it has all become....
  9. RimToRimHiker

    RimToRimHiker LoanSafe Member

    ahhhh the circle of real estate life. :D :D I know the one you're talking about. Did you see the report on the TV news a week or so ago about how the utility companies were going to the tenants in the buildings facing foreclosure and telling them the utilities were going to be shutoff? What a cluster---- the real estate market has become.

    I manage and lease an office building in Florida. The owners are bracing for the commercial market to start seriously heading south.

    Gotta go. My daily call from GMAC is coming in. Let's see how I can mess with them. :p:p:p
  10. georgW

    georgW LoanSafe Member

    My sister-in-law was just kicked out of a house she was renting because it was foreclosed on!!! Her lease wasn't even up until June! She had to move last week in a hurry! She is talking to an attorney now. Knowingly renting a property you're not making payments on should be against the law.:mad:
  11. RimToRimHiker

    RimToRimHiker LoanSafe Member

    My daughter had that happen in FL a year ago. She owned a small house. Found her "dream" home. Leased the "dream" with an option to buy. Gave the owner a $10K note against her small house as option money. She moved into the dream, spent a couple months fixing up her old place and put it on the market. This was early 2007. Very bad timing. House sat on the market for 7 months and didn't have one offer so she rented it to a nice couple who planned to buy it within a year or so. She went to the owner of the "dream" and asked for a year extension on the option which he gladly granted. He didn't bother to mention that he had stopping paying the mortgage 3 months before he granted the extention. On April 1 last year a process server comes to the door and hands her a notice to vacate within 21 days. She ended up finding another rental because she couldn't go back to her house because of the lease on it. She likes her new place and hopes to eventually buy it but she's in no hurry to buy anything right now. The FL market is about as bad, if not worse, than AZ. Meanwhile she continues to rent out the house she owns but wonders what will happen with the 10K note when she tries to sell it. I told her the scumbag (we found out he had lots of properties where he had done the same thing) probably is nowhere to be found so it won't be a problem.
  12. RimToRimHiker

    RimToRimHiker LoanSafe Member

    As my lawyer advised, I'm definitely going to do a lot of research before signing a lease. Sounds like the makings of a new business venture. Where they now have oodles of companies that do background checks on tenants, now there needs to be companies checking out landlords. :eek:
  13. AZChick

    AZChick LoanSafe Member

    Now we can understand people who choose to buy and bail....seems renting can be just as risky as buying another house....atleast no one can kick you out of your new 80K home....with a payment of $600 a month including taxes and insurance...it's worth a second a look...can you tell I've been doing some research;)
  14. RimToRimHiker

    RimToRimHiker LoanSafe Member

    Isn't the internet just a wonderful thing!!!! I saw a place up in Black Canyon City that was $129K on a 1/2 or 3/4 of an acre. Looked like a fairly decent place from the pictures. Around 1,600sf. It was a short sale. We're not sure if we want to go quite that far out especially with my mother living in AJ. Definitely lots around to check out. It's good for all of us. ;)
  15. tryingtostay

    tryingtostay LoanSafe Member

    Personally, I think the answer to this is move when it is the best time for your family. Obviously, if you can stick it out past the auction date and wait for a cash for keys offer, then I'd choose that option. (We went to a seminar at church, and the pastor said less than 10% of CA homes are being sold at the courthouse auction, so don't feel like you have to move out immediately after the auction necessarily! even if someone comes knocking on your door, they have to formally evict you if you won't volunteerily leave, which is a 30 day process...)

    Because you are so specific on what is best for your family, I would suggest move when an opportunity presents itself. And it seems like the opportunity has come now. Make sure you call your home insurance and say you need renter's insurance. If you start moving stuff, one of the homes will be unoccupied, and you will be protected if you don't have everything moved out yet.

    We will be 5 months behind in April, no NOD filed yet. We found a rental that is perfect for us, so we are moving during spring break and plan on being out of this house by May 1st. I'm wondering if we don't inform the mortgage company we are gone, if they will think we are still in the place and offer us cash for keys after the auction... (I can hope..;)) We plan on maintaining the front yard and can probably get a neighbor to park in my driveway....
  16. RimToRimHiker

    RimToRimHiker LoanSafe Member

    5 months and no NOD. Cool!!! I hope you are able to get cash for keys. Might want to continue receiving your mail at your house. That was one of the questions GMAC asked when they called me last week. Just a thought.
  17. MRC123

    MRC123 LoanSafe Member

    We haven't made a payment since October 08 and we are still in our house. We just put down earnest money on a rental that is just perfect for us. The lady who ran our credit said we had great credit...go figure, I believe we only have 1 30 day late on there from our mortgage, but everything else is great. Our auction date is April 17th. I don't know if I would stay until my auction date, just too much stress.
  18. RimToRimHiker

    RimToRimHiker LoanSafe Member

    MRC: Who's your lender?
  19. MRC123

    MRC123 LoanSafe Member

    Wells Fargo is my lender
  20. RimToRimHiker

    RimToRimHiker LoanSafe Member

    According the customer service people at GMAC, Wells Fargo is the investor on my loans. I see you are in AZ. Did you see the article in the AZ Republic yesterday about what some of the foreclosed are selling for? Some down in the $50's and $60's. It's insane. Did you rent through a prop mgmt co or directly from an owner? That's cool that you were able to get 6 months "free rent". Did you do try for a loan mod, DIL or Short Sale?

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