Renters Affected by Foreclosure
When a landlord's rental property goes into foreclosure, tenants are affected. With little or no warning, they may have to find new housing. Many renters have no idea that their rental home or building has been foreclosed on and they continue to pay rent to the former owner, who often pockets the money.
If a landlord (former owner) stops maintaining the home or unit, and the new owner, usually the bank, never makes repairs or pays the delinquent utility bills, basic utilities can be shut off and properties being condemned for lack of service or code violations.
Renters who lose their homes to foreclosure don’t fit a single profile. Many of them live in smaller buildings, condos and single family homes. They’re located in cities and surrounding suburbs, in low-income and upscale neighborhoods.
If you are a renter living in a foreclosed home or building and you have questions, please see the information and resources listed below for help.