What happens when the place i rent goes into foreclosure?
Question:
Answer:
If the bank takes over the house, you might be evicted because they will takes over for a trustee sell. The whole process does takes sometimes so they're not going to ask you to leave anytime soon yet.
But hey, this is a good time for you to offer the seller to buy their house off their hand for a low low price =) to save them from foreclosure. You might be in luck if they don't owe much on the house and it has ton of equity.
You find a new place to live!
It will be sold by the financial intuition that holds the loan on it. You or any one can buy the property.
You can buy it, or move out. Sometimes you get less than a week.
The bankruptcy trustee or finance company assigns someone to manage the property until a buyer is found. The buyer may honour current leases or give the applicable notice to terminate the leases as per the landlord/Tenant regulations for your area
if you're a long standing tennant with good standing the bank will take that into consideration,if you'd like to try to buy,otherwise hope the new owner lets you stay or,you're out.
Hope you have a contract or something that states that everything that is in the place that is yours is actually yours and take inventory of everything! When a house is foreclosed upon the bank will sometimes auction the deed to the property off on the steps of the courthouse, this includes what ever is outside or inside the residence. If that happens then as a renter I guess you could sue the owner, but if he/she didn't pay the mortgage then I wouldn't count on getting any money.
If you have a lease, your lease runs with the land. That means that whether the bank owns it or it gets sold at auction, you still have the right to occupy it. The only difference is who you pay the rent to. If you are on a month-to-month agreement, you will likely receive a 30 day notice to move out. Either way, your rights and responsibilities are the same regardless of who owns the property.
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