Tenants Facing Foreclosure

Sometimes landlords stop paying their mortgages. As a result banks and other lenders foreclose on these properties. In many cases, they become the new property owners. If you are a tenant, these new owners might try to convince you that you do not have the same rights as other tenants and that they do not have the same obligations as other landlords. But for the most part, your rights are the same as in any landlord-tenant relationship.

This chapter describes the foreclosure process, how to deal with these new owners, and how foreclosure affects your rights and responsibilities as a tenant. In addition, this chapter also contains a small section about the rights of former owners, which are different.¹