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Updated almost 5 years ago,
Property Manager Collecting Rent On House Sold In Tax Sale
I purchased a tax certificate and there is a tenant in the property. The tenant says they pay the property manager monthly rent. The owner who the property that is accessed on the state website has over 50 properties that are listed for sale either as a tax certificate or tax deed (land and buildings). I sent a demand for possession to the property address and the owner's address listed on the certificate. The letter that was sent to the owner's address came back undelivered. I've been told by another investor that a property manager or owner for that matter is not supposed to collect rent on a property that has been sold to the state for delinquent taxes or if a certificate/deed was purchased by an investor.
I spoke to the tenant and told them that the property was listed for delinquent taxes and I purchased the certificate. They were initially willing to sign a lease with me for $400 because their rent is currently $450 and the property manager was going up to $475 for rent.
I need feedback on how to handle this situation. I've already contacted an attorney with the same message and just waiting on him to reply.