With all the foreclosures going on nowadays some renters are rightfully concerned that they could be evicted if their landlord will loses the property to foreclosure. Well thanks to a law signed by congress earlier this year called the "Protecting Tenants at Foreclosure act of 2009".
Bottom line of the law is that if you are a renter and the property is lost to foreclosure you have at least 90 days before the new owners can evict you.
The housing authority of Los Angeles outlines what the law does:
- During the term of the lease, the tenant has a right to remain in the unit and cannot be evicted, except for actions that constitute good cause.
- If the lease ends in less than 90 days, the new owner may not evict the tenant without giving the tenant at a minimum 90 days notice.
- At the end of the term of the lease, the new owner may terminate the tenancy if the new owner provides a 90-day notice.
- The new owner may terminate the tenancy if the owner will occupy the unit as a primary residence, and has provided the tenant a notice to vacate at least 90 days before the effective date of such notice. This is the only exception to the rule that the tenant may not be evicted during the term of the lease.
Note the law is currently set to expire in 2012 so its not permanent.