How to ensure a rental is not in a foreclosure? (apartment, lease)

[ComposerRyan]

I will be renting here soon in Gilbert, Arizona and I want to make sure that the house is not in foreclosure before renting. I also need advice on what other danger signs to look for before renting. How do I really know that the people I am renting from are reputable?

Thanks,

Ryan

[Jillaceae]

Thank you for asking this question! We're looking to rent a house next, instead of an apartment (tired of sharing walls with crappy neighbors), and this is something I'm fairly concerned about as well.

[Touchette]

Look in the local paper, Lenders are usually required to post upcoming foreclosure auctions (Trustee Auction, Sheriff's Sale, or whatever AZ calls it I'm not sure), there are laws specifying the time frame they most post the dates and information in. That will show you the Foreclosures by Advertisement.

Alternatively, in the case of a Foreclosure by Judgment look up the court actions for the county the house is in and if the homeowner is attached to any judgments or pending cases concerning the house it might be in foreclosure, depending on the plaintiff and specific case. There may also be post or advertisement in the local paper concerning these foreclosures as well.

There are a lot of services out there that provide information on foreclosures and could be another resource, though those will often cost you money and I have no experience using them (so I don't know how useful they'd be in your case).

Ultimately, if you're worried about a house or an owner that might be in, or end up in, foreclosure, then have the Lender sign a...well I can't remember the name of the document all of a sudden, but it more-or-less says that the Lender will continue and honor the lease through and after foreclosure.

[RickTucsonHomes]

Originally Posted by ComposerRyan

I will be renting here soon in Gilbert, Arizona and I want to make sure that the house is not in foreclosure before renting. I also need advice on what other danger signs to look for before renting. How do I really know that the people I am renting from are reputable?

Thanks,

Ryan

Check with the Maricopa County Recorders office and see if there have been any liens filed against the property, HOA liens are common on potential foreclosure properties. Also look to see if a "Notice of Sale" has been filed.

In AZ banks are required to honor a lease. But if the bank wants you out they may offer you "cash for keys" to leave before expiration of the lease. That's no a bad deal usually. But you won't be getting any security deposits back.

As for general signs to look for. I would want to know if this is the first time the home is being rented. How long were the last tenants there. Don't be afraid to be up front and honest about your concerns with all the foreclosures in the Phoenix metro area. See if they might offer proof of being current with the bank. You never know what they might do.

[DowntownVentura]

If you are using renting through a real estate agent or property manager, see if they will do a title report for you. If not, as Rick said, head to the county recorder's office and look for Notice of Defaults.

[jdm2008]

Originally Posted by ComposerRyan

I will be renting here soon in Gilbert, Arizona and I want to make sure that the house is not in foreclosure before renting. I also need advice on what other danger signs to look for before renting. How do I really know that the people I am renting from are reputable?

Thanks,

Ryan

As the guy above me. Said look at the title. Also look for if the landlord has been sued. If he's getting sued for returns od the sd and id he's ever lost treble damages for this same thing. Also if u can check court records for restraining orders or arrests