Arizona Real Estate Page
- $719,000 :: 216 E Desert Wind Drive, Phoenix AZ, 850484 beds, 4 bathsHome size: 4,057 sq ftLot Size: 35,000 sq ftAdded: 02/18/10, Last Updated: 03/10/10Property Type: Single Family – Detached, ResidentialMLS Number: 4340591Community: WHISTLING ROCKTract: WHISTLING ROCKThe price of this listing was last reduced on 3/10/2010 by 3% EXTENSIVELY UPGRADED & PRISTINE – 1/2 ACRE LOT W/MTN VIEWS & SUNSETS! CUSTO […]admin
- $383,000 :: 5220 W Bent Tree Drive, Phoenix AZ, 850835 beds, 4 bathsHome size: 4,070 sq ftLot Size: 7,500 sq ftAdded: 09/23/09, Last Updated: 03/10/10Property Type: Single Family – Detached, ResidentialMLS Number: 4260496Community: STETSON VALLEYTract: STETSON VALLEYThe price of this listing was last reduced on 3/10/2010 by 4% 4017 SQ. FT., 5 BEDROOM, 4 BATH, 3 CAR GARAGE, MOUNTAIN VIEW LOT WITH UPSTAIRS AT DE […]admin
- $369,000 :: 3204 E Constance Way, Phoenix AZ, 850425 beds, 4 bathsHome size: 3,607 sq ftLot Size: 12,500 sq ftAdded: 12/16/09, Last Updated: 03/10/10Property Type: Single Family – Detached, ResidentialMLS Number: 4306337Community: VILLAGE AT SOUTH MOUNTAINTract: VILLAGE AT SOUTH MOUNTAINThe price of this listing was last reduced on 3/10/2010 by 7% HOME UNDER CONSTRUCTION JUST WAITING FOR BUYERS TO PICK COLOR […]admin
- $359,999 :: 18403 N 13th Place, Phoenix AZ, 850223 beds, 3 bathsHome size: 2,753 sq ftLot Size: 12,500 sq ftAdded: 12/02/09, Last Updated: 03/10/10Property Type: Single Family – Detached, ResidentialMLS Number: 4299118Tract: STONE MOUNTAIN PRESERVEThe price of this listing was last reduced on 3/10/2010 by 5% **APPROVED SHORT SALE***Custom 3 Bed +Loft w/Incredible Views In Luxury Gated Preserve Community*Go […]admin
- $350,000 :: 819 E Joy Ranch Road, Phoenix AZ, 850863 beds, 3 bathsHome size: 2,364 sq ftLot Size: 82,764 sq ftAdded: 03/09/10, Last Updated: 03/10/10Property Type: Single Family – Detached, ResidentialMLS Number: 4352502Tract: NEW RIVER PARADISE Beautiful Custom Territorial Horse Property, 2.5 extra long garage AND 6-car parking pad, exotic, lush large boulder landscaping, automatic sprinkler system, Double […]admin
AZ Lake Properties
- $775,000 :: 40023 N 110th Place, Scottsdale AZ, 852623 beds, 3 bathsHome Size: 2,454 sq ftLot Size: 7,500 sq ftAdded: 01/17/09, Last Updated: 01/27/10Property Type: Patio Home, ResidentialMLS Number: 4105723Tract: DESERT MOUNTAINThe price of this listing was last reduced on 1/27/2010 by 11% ***NOW A SHORT SALE***Bring Offers***Unbelievable price for this COMPLETELY RENOVATED AND UPGRADED Apache Cottage – sweep […]
- $749,900 :: 17894 N 95th Street, Scottsdale AZ, 852555 beds, 4 bathsHome Size: 4,212 sq ftLot Size: 12,500 sq ftAdded: 06/15/09, Last Updated: 01/27/10Property Type: Single Family – Detached, ResidentialMLS Number: 4190963Tract: DC RanchThe price of this listing was last reduced on 11/18/2009 by 6% This luxury Tuscan style home is situated on an oversized lot in the prestigious gated community of DC Ranch. [.. […]
- $799,000 :: 28648 N 108th Way, Scottsdale AZ, 852624 beds, 4 bathsHome Size: 4,517 sq ftLot Size: 18,000 sq ftAdded: 10/10/09, Last Updated: 01/27/10Property Type: Single Family – Detached, ResidentialMLS Number: 4271238Community: Troon NorthTract: Candlewood Estates at Troon North Unit 3 The Best Bargain in Candelwood, priced to sell at $177/sq ft. On over 1/3 of an acre this 4 bedroom, 3.5 bath [...] […]
- $795,000 :: 10259 E Nolina Trail, Scottsdale AZ, 852623 beds, 3 bathsHome Size: 3,150 sq ftLot Size: 0 sq ftAdded: 04/21/09, Last Updated: 01/27/10Property Type: Single Family – Detached, ResidentialMLS Number: 4160807Community: Desert MountainTract: Desert MountainThe price of this listing was last reduced on 1/27/2010 by 6% Let’s take it to the BANK! Just reduced to 795K without the golf membership- beautiful […]
- $703,000 :: 11363 E La Junta Road, Scottsdale AZ, 852554 beds, 5 bathsHome Size: 4,372 sq ftLot Size: 15,000 sq ftAdded: 04/09/09, Last Updated: 01/27/10Property Type: Single Family – Detached, ResidentialMLS Number: 4155050Community: TroonTract: Troon VillageThe price of this listing was last reduced on 1/27/2010 by 1% APPROVED…APPROVED….SHORT SALE !!!Perfect entertainers home with views all around. Very priva […]
CAT | Negotiating a Lease
18
Protecting the Renter from an owner foreclosing
1 Comment | Posted by Daniel Reynolds in Arizona Real Estate News, Negotiating a Lease
We have assisted several clients with finding properties but it wasn’t until recently we started setting up lease agreements in a way that protected the renter in case of owner default. Many of our clients would put several months of payments up front to show good faith to landlords for bad credit. Sometimes, we had high value clients put upwards of 3 months rent at 3500 per month. That’s several thousand dollars at stake and what’s worse, is there was really no way to know if the owner was not making payments on the home. We received advise from one client and his attorney to setup an escrow account with the upfront rental payments and allow the owner to draw from the funds on a monthly basis.
As long as the owner stayed in good standing with his mortgage, the funds would be dispersed from the title company. In the event the owner foreclosed and the tenant was forced to leave, the funds would return to the tenant. This is the safest way to protect yourself when paying several months in advance. A special thanks goes out to our recent high value client for this idea and his attorney.
Another great concept brought up is having an outside credit company monitor the landlords credit during the lease commencing. In the event, the owner stops paying on the mortgage, the credit company would contact the tenant and advise them of the delinquency.
The tenant should also be aware of their rights during a foreclosure. If the owners mortgage note states the lender will honor current leases on the property then the tenant does not have to worry. The tenant can obtain any owners mortgage note by visiting maricopa.gov and reviewing the recorded paperwork on the property. Each property owners mortgage note is recorded and can be found at maricopa.gov.
Any clauses to protect the tenant will be located in the mortgage note, and possibly the deed of trust. Review both and look for any clauses that state, “lease, leasee, or leasor.” Other terms to look for include, Eviction, foreclosure, conveyance, trustee, trustor. If you have been served an eviction notice on the home you are renting, then it’s imperative you research this soon. Timing is of the essence.
Many of our clients renting homes are concerned the landlord could foreclose on them after they have moved in. Some of our clients are paying up to 3 months in advanced rent just to contract a home because of a recent foreclosure on their credit. A client paying $3500 per month in rent and 3 months up front could easily go to a landlord that’s delinquent on their mortgage payments. The only way to protect the tenant from the landlord foreclosing is to request a Verification of Mortgage or VOM. A VOM can be requested by the tenants broker representing them in the transaction and should take a couple days at most to complete.
A VOM will show the landlords payment history for the previous 24 months. This should give a clear idea of how the mortgage payment was paid and what the stability of the landlord is.
Another good strategy for a renter paying a lump sum upfront is to write in the lease agreement the funds being advanced will be placed in an escrow account. Once they’re in an escrow account the funds can be withdrawn monthly by the landlord. This protects the renter from a landlord that could collect all the funds and then bail on the property. For more information regarding a VOM or for assistance with searching for a rental, please contact us.
