In a Chapter 13, looking to surrender house

[comandercody]

If they are not paying an enforceable lease, then you simply evict them. Please make sure you follow the process for your City/County/State so that there are no legal questions (as to notice, service of the notice, and the eviction lawsuit itself). Typically, when someone doesn't pay me their rent, I sent a Notice to Quit/Vacate or some other demand notice, as required by law, with the threat of eviction. Again, follow the specific process for your City/County/State.

Thank you for your reply. I'm thinking the lease is enforceable. The property management company indicates that it is. It will cost me approximately $700 to go down that road. Also, I want my washer and dryer and fridge back. Can I go get them?

The way I see it they are no longer tenants if they don't pay the rent to the property management company. But I am not a lawyer.

[justbroke]

I'm not an attorney either, but them simply not paying only puts them in breech of your contract (lease). It does not mean that they are "not" tenants. In fact, the law gives them more rights than you... that's why you must follow the exact process. You can sue for eviction on your own but if you don't know the process, you don't want to waste money and time.

Never do any "self-help" evictions or entry. You must follow the process.

[comandercody]

If i start the eviction process, i may not receive a favorable judgement. Their argument is that the rent money i am collecting is not going to the mortgage company. I may be spending money on a lost cause. And, I may have to travel to NC to appear in court, at my expense. There are 7 months left on the 12 month lease. That equates to $9100, but the foreclosure process may limit that to 90 days once the court decides on the foreclosure, again, not an expert here. I guess i need to decide whether or not to roll the dice....

[justbroke]

If i start the eviction process, i may not receive a favorable judgement. Their argument is that the rent money i am collecting is not going to the mortgage company. I may be spending money on a lost cause. And, I may have to travel to NC to appear in court, at my expense. There are 7 months left on the 12 month lease. That equates to $9100, but the foreclosure process may limit that to 90 days once the court decides on the foreclosure, again, not an expert here. I guess i need to decide whether or not to roll the dice....

You really need an attorney. No court would let you not pay a contract, because the person holding the contract is not paying someone else. Contracts are about performance. They are receiving the use of the home in consideration of paying rent. Simple as that. Plain simple contract law. Now, if they could not and are not using the home and you are charging them, that's a different story... but that's not the case here.

It does not matter if it's not going to the mortgage company. That's not "their" contract and not their business unless you are not providing them with what you are contracted to provide them. You overthink this.

Speak to a good real estate attorney (or general practice attorney) in your area.

[LadyInTheRed]

I agree with JB, it is none of the tenant's business whether you have paid your mortgage, but they are still tenants so you can't just walk in and start taking appliances or do anything that violates their contractual right to occupy the property. They may be in breach, but you should not do anything while they occupy the property unless you have a court order and, in most cases, a Sheriff escorting you.

The tenants may be hoping that you won't bother pursuing them and that they will get to live rent free until the bank forecloses. I would give them the notice required in your state and see if that inspires them to pay the rent. If they don't pay, you can decide whether it is worth pursuing further.

[jmac]

This stop paying rent was a game played quite a bit in 2009 in cali, I filed for 13 in 2009 and surrendered house, my ex has lived in it and also rented it out multiple times and 62 months into house still hasn't foreclosed.