Your landlord got foreclosed? What about your lease?
With the large number of investment homes being foreclosed upon, it shouldn’t come as a surprise that many tenants are being asked to leave. What might surprise you is that they don’t have to go. A lease supersedes a sale. Meaning that it transfers with the property to the new owner.
Based on the Protecting Tenants at Foreclosure Act, which Congress passed last May, as long the tenant has a valid lease and proof of regular payments, they cannot be forced to leave. Even tenants on a month-to-month lease, with proof of regular payment, must be given 90 days notice to vacate. This is great news for tenants.
This isn’t to say that scare tactics aren’t being used to try to “push” people out sooner. It just means that as TENANTS, you need to do the research and LEARN YOUR RIGHTS.
As tenants, you need to do two things:
1. Keep a valid, signed, complete copy of your lease on hand.
2. Make sure you have proof of payment (canceled checks, electronic report showing payment history, receipts, etc.)
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