Landlord Big Mess??????

[nonchl0404]

We are lease to own option for a house we moved in nov/2008,,, we gve landlord $$$$$ 5000.00 of which we now know is mistake towards purchase of the home this is what it says on lease plus 1st months rent,,we fell behind on dec/2008 mothly pymnt bt gve 500.0 twrds dec in good faith with the promise to give remaining amt plus Jan/2009 late fees when i get income tax return mid/Jan landlord starts to say dont pay yet she will be filing bankruptcy soon and that she does not know what she will do ,she adv me to hold on to the money and she will call me back .waited a week later we spoke again she then says she has filed chp7 bankruptcy and that she still does not know what to do she will call me back in 2weeks which was today she now says she did not file bankruptcy like she said she was but she will at the end of the month , yet in still she wants the money with all intentions she is filing soon which will liquidate all of her properties and she is not saying she is going to use money she wl collect from us to pay mortgage****the lease/buy option for the home is up in Nov/2009 i further advise her she was breaking our agmnt to even have chance to buy the home and what about our 5k we gve you just two months ago what did you do with it ,,, she says notthing *****HELP me and my husband are desperate for an ansewer

[Dst1]

The only way I know how to respond to that is to see a lawyer. I have no idea how lease to owns are handled in a BK. Maybe HHM does.

[justbroke]

****the lease/buy option for the home is up in Nov/2009 i further advise her she was breaking our agmnt to even have chance to buy the home and what about our 5k we gve you just two months ago what did you do with it ,,, she says notthing *****HELP me and my husband are desperate for an ansewer

I know you don't want to hear (read) what I'm about to write, but I have to say it. You broke the terms of the lease and possibly the option, by missing a payment.

Yes, many of those lease options have language whereby if you default (miss a single payment), the option is withdrawn and you forfeit the deposit. Did you ever have a lawyer look at the lease option? You probably want to go back and read it.

If they called it a deposit, there could be recourse under State laws, but many won't call it a deposit, because deposits, in most States, need to be held in escrow in a Bank.

The landlord is also in the right to continue to demand payment from you. This is whether or not you the landlord has declared bankruptcy. Many mortgages have clauses in them whereby rent receipts are the property of the Bank should the person default (miss payments). Regardless of that provision, you still owe the landlord, even if they don't turn over the funds to the bank. In order to be fair, have any future rents held in escrow, or by a third party, until this is resolved.

You would owe the money regardless.

[debtmonster]

I would have a heart attack if this happened to me.

[justbroke]

I would have a heart attack if this happened to me.

I know what you mean. I almost rented from someone who was in active bankruptcy. Luckily I did my homework, then asked them point blank if they were in foreclosure or Bankruptcy.

They were offering a house listed for $999,999.00 (yes, a million dollar home) on a prestigious golf course, constructed in 2007, for $1,500 a month. My BS radar went off and I asked. They said it was a great opportunity to be in such a house for little cost... until the foreclosure.

When I surrendered my property in Bankruptcy, the tenants had already left. They weren't paying anyhow, which is what pushed me over the edge and caused me to file Bankruptcy.

[nervousss]

That is a horrible situation to be in! I hope you find an answer.

You should try to find out who her lawyer is and ask what ground you have to stand on, and have them advise you if you will be able to actually ever own the home.