My landlord is being foreclosed - Can he evict me?
You've paid your rent on time but come home one day to find an eviction notice taped to your front door. You're a victim of the mortgage industry meltdown. Most of those affected are the homeowners themselves, but thousands of renters are now finding themselves in this situation as their landlord has defaulted on their loan and and the rental unit is now owned by the bank. The banks, in turn, try to sell the property to recoup their losses. They evict tenants because they believe a vacant property is easier to sell.
What can I do about it?
Unfortunately, for most renters your rights are minimal and your options are few. If you live in a city covered by rent control you have some protection. Most cities are not covered though. Check your city's web site or call your City Attorney to find out. Renters can also contact a local housing counseling agency. HUD maintains a list of agencies at http://www.hud.gov.
Tenants with leases that were signed before the mortgage also have some protection. They can stay until the lease expires. Tenants who participate in a Section 8 program will also see their leases survive. Fannie Mae recently adopted a policy of allowing renters to remain even if their landlord is in foreclosure. Fannie Mae plans to notify tenants if their landlord has a Fannie held mortgage. Freddie Mac says it will establish a similar policy soon. Otherwise, renters are subject to state law. California Code of Civil Procedure, Section 1161b, states, a tenant shall be given 60 days written notice before being removed from the property. http://www.leginfo.ca.gov
What else can I do?
Don't panic or ignore the notice. The lender's name or attorney will appear on the eviction notice. Contact either one to let them know you're in the property. Find out what your options are. Will the lender let you sign a new lease? Will they offer any cash assitance for moving out? Stop paying your old landlord rent. Beware of paying rent to someone pretending to be your new landlord. Contact the county tax collector/treasurer to verify the owner. http://wwwsanmateocountytaxcollector.org. The bank that forecloses is also obligated to repay security deposits.
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