Foreclosure Tenants Get New Protections

For those clients purchasing additional rental properties through foreclosure, a January 23, 2014 ruling by the California Courts of Appeal, interprets the federal Protecting Tenants Against Foreclosure Act. In a complex decision, the Court held that a tenant with a bona fide lease may remain in possession of the property until the end of the lease term, and not just the 90 days from a notice to vacate. This area of the law is riddled with exceptions and special provisions, and special care is required when evicting the occupants after a foreclosure sale.

Categories: Real Property

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