What is a Rents and Profits Receiver and When is One Needed?
March 23, 2023
When a property involves a deed of trust or mortgage, a rents and profits receivership may be needed for legal enforcement.
Legal disputes stemming from residential real estate transactions are on the rise, largely due to the increase in short sales and foreclosures. In regards to short sales, some sellers are taking legal action against their own real estate agents, alleging that they misrepresented or failed to disclose the possible loan deficiency amount owed to a lender (usually a “2nd”) and/or tax obligations.
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