CanI be prosecuted for not payingmy mortgagepayments on my rental property but still collecting rent?

UPDATED: Feb 22, 2012

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CanI be prosecuted for not payingmy mortgagepayments on my rental property but still collecting rent?

I have 3 rental properties. I have just been laid off from work. I have not paid the house payments but I have received rental from the tenants.

Asked on February 22, 2012 under Real Estate Law, Washington


FreeAdvice Contributing Attorney / FreeAdvice Contributing Attorney

Answered 11 years ago | Contributor

Many states have civil laws against "rent skimming". "Rent skimming" is when a landlord usually within the first 12 months of a loan collects rent from the tenants and does not pay the mortgage due.

Possibly your failure to pay rent could be deemed a criminal matter, but most likely the lender will not make a complaint with law enforcement as to what has happened. if you have not been paying the mortgage on the rentals, the result will be a notice of default and a possible foreclosure on the assorted properties.

IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.

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