New Renters' Rights in Foreclosure


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According to Consumer Action, renters must now be allowed to remain in their homes for the duration of their lease – even if the home is being foreclosed on. President Obama signed the Protecting Tenants at Foreclosure Act 2009 (S.896) into law on May 20.

The new law provides renters with a minimum of 90 days notice before a tenant must vacate a property. If a buyer plans to use the property as his primary home, or the tenant’s lease is month to month, or there is no lease at all, the tenant is entitled to at least 90 days notice.

If there is a lease, tenants will be allowed to stay for the duration of the lease before evictions can proceed. If a state offers greater protections to renters, the law allows the stronger protections to apply. These new renters’ rights also apply to Section 8 tenants.

The new tenant protections are effective immediately and expire December 31, 2012. For more information please visit the Low Income Housing Coalition at