Las Vegas Area Renters - Be Careful - How to Find Out if the Home You Are Renting (or want to rent) is in DefaultRenée Burrows, Las Vegas Real Estate Broker - www.urLVhome.com (Savvy Home Strategies Realty, LLC-REALTOR®-Estate-Probate)
I decided it was time to update and rewarn all Las Vegas Renters and POTENTIAL Renters of the signs that your home you are renting (or want to rent) is in stages of foreclosure.
I perform many BPOs. BPOs are Broker Price Opinions which means banks are just searching for opinions on list pricing for a home. The home may already be foreclosed upon OR it may be in various stages of default or foreclosure. This allows me see trends before they start happening. While I have seen this in the past before, I have seen it way too much in the last week: homes listed for rent that are in default! This means, that if a solution doesn't come about for the owner of the home, the renter may pay all deposits, move in and find themselves speechless and homeless when the home goes into foreclosure.
Here are ways to protect yourself:
Find out when the home was purchased or if it was refi'd (for cash out) during the boom years (2003-2007.) This could help you gauge if the home is upside down and could go into default. This isn't a sure-fire way to protect yourself from heartache soon after you move in as I have seen some neighborhoods and areas have sub-80's pricing. You can see this information on the recorder's website which I am about to give you.
Get the deposits & rents escrowed. Instruct escrow to pay the mortgage payments AND HOA dues rather than relying on the owners to do that. Also instruct escrow that in the event of foreclosure, the deposits and rents are to be released to you, the renter. This will help protect you from the nightmare of having to fight a broke landlord, (who may file for bankruptcy protection,) for your deposits.
This is a tutorial for renters who are curious about the foreclosure status of the property you are renting (or are about to rent).
With the wave of foreclosures in the Las Vegas Area, many renters are concerned if the property they are renting is in good standing or about ready to get foreclosed on. Even if you have been paying your rent or even have a lease option on the property, it is not a bad idea to make it a habit to check on a monthly basis.
It is also a good idea to check prior to renting a home!
Step 1: Go to the Clark County Assessor's office and click on search, under real property records click "address". The reason why you may not want to search by name is that many investors hold title in an LLC.
Step 2: Fill in street number and street name. Make sure you check the box next to "show current parcel number record"
Step 3: Many addresses show up so write down the parcel number next to the address:
Step 4: Go to the Clark County Recorder Home page for "Land & RPTT Information". Scroll to the Arrow and choose "Search Records"
Step 5: Read Terms and Accept (if you accept terms:)
Step 6: Click on Parcel # (for Search):
Step 7: Look for the following:
Lien: Look for liens. Could be from homeowner's association or from master plan. These entities may foreclose on the house!
Breach or Notice of Default: Owner is in Default of their loan. Foreclosure may or may not be in the works. General rule of thumb, if house is going to be foreclosed on, it will happen in the next 3-6 months from recorded date
Notice of Sale or Notice of Trustee Sale: Foreclosure is imminent. Usually 30-60 days from recorded date
Trustee Deed: House is foreclosed on
If your rental home is in default, please consult a real estate attorney prior to breaking a lease or stopping your rental payments!