Expert: Mark J. Markus- California Bankruptcy Attorney - 6/7/2008

Question
I am debating whether to rent from a real state builder who has recently filled for bankruptcy for his self and three of six of his companies.  He says he is confident that the "restructuring" is going well and that he included himself in the bankruptcy filling to protect his rental properties.  I am wary of renting from him, any advice?

Answer
There's probably no problem renting from him.  The same laws and rights apply to you as before he filed bankruptcy.  The real risk is that you could find yourself in a position where the property is not maintained properly and he just walks away from it and eventually it gets foreclosed on and you either have to move or you'll be renting from whoever buys the property.  I can't tell you whether his reorganization is going well or not, but that's the main risk.