Termination of Tenancy in Foreclosures
- It used to be a common practice for lenders to terminate the leases and rental agreements of tenants in foreclosed buildings. This practice has been halted by a federal law known as The Protection for Tenants at Foreclosure Act of 2009.
State and Local Laws
- State and local laws may require that new landlords give tenants more than the 90-days notice that the Protection for Tenants at Foreclosure Act sets. In such cases, the state or local law supercedes federal law.
Protection for Tenants at Foreclosure Act of 2009
- The Protection for Tenants at Foreclosure Act of 2009 requires that new owners of foreclosed properties honor the leases of current tenants and give 90-day notice of tenancy termination to tenants without a lease.
- While the new law requires new landlords to honor current leases, if a landlord intends to move into the dwelling herself, she can terminate the lease by giving the tenant 90-days notice.
Tenants With Month-to-Month Leases
- Under the new law, landlords will need to give month-to-month tenants (also known as periodic tenants) 90-days notice of tenancy termination.