What Happens if My Landlord Stops Making Mortgage Payments?

What Happens if My Landlord Stops Making Mortgage Payments?

Tenants, for the most part, will often make their rent payments in an organized and timely manner. The landlord, in turn, will often take those payments and put them towards the mortgage on the property. It is a fairly seamless transaction. Unfortunately, sometimes the landlord will stop making their mortgage payments. When a tenant finds out about this, confusion immediately ensues and the tenant is left wondering both if they should continue paying rent and if so, to whom.

Rent Payments and Contract

The first thing to establish is that an agreement to pay rent is often between the tenant and the owner of the property, and not the bank. If a contract was signed to make rent payments monthly by a certain date, this agreement is strictly between the landlord and the tenant. In many cases, the tenant will still have to pay their rent.


If the property a tenant lives in gets put into foreclosure, however, things may change slightly. A landlord is required to give their tenant a 60-day notice to leave the property. If the foreclosure conflicts with the terms of the agreement that was made with the landlord to begin with, a landlord could be liable for the costs related to a forced relocation, such as moving expenses.

Working with a landlord can be complicated, especially when there is a foreclosure looming over the property. A forced relocation could result in high, unexpected moving expenses, lost wages at work or even temporary unemployment. Handling a case like this takes strong, diligent legal expertise.

If you or a loved one is facing forced relocation due to a landlord who has defaulted on their mortgage, or if the landlord has defaulted on their mortgage and you are seeking legal advice, don’t wait. Contact an experienced real estate attorney who could help. Contact the law offices of Joel R. Spivack to schedule your case consultation by calling 856-488-1200 or contact online today.

We are here to help you.

Is this a New Jersey matter or Philadelphia Region matter?
We are licensed to practice in New Jersey and Pennsylvania.

Attorney Joel R. Spivack is an experienced bankruptcy and residential real estate transactions lawyer in Cherry Hill, New Jersey. Clients come to us for legal services, but what we really provide is peace of mind. For more than 30 years, Attorney Spivack has helped people make wise, informed decisions about bankruptcy filings, debt relief options and residential real estate transactions.
Skip to content