The economy continues to challenge our debt loads daily and for those who own property, the challenges become all too real when a notice of foreclosure arrives in the mail. A family experiencing foreclosure is bad enough, but those who rent property from landlords face even greater challenges.
Until recently, renters who occupied a property that went into foreclosure were not given much notice and often left out on the street within days from receiving the notification. Having no control over the foreclosure process, renters have been forced out by the bank or new owners that purchased the property in a foreclosure auction.
The Protecting Tenants at Foreclosure Act of 2009 states that the lender or new owner of a foreclosed property must provide tenants with a 90 day notice if the tenants need to vacate the premises for any reason. If the renter is still under a valid lease term at the time of lender or new owner possession, the tenant maintains the right to occupy the unit until the lease expiration.