What Are Your Rights in Post-Foreclosure Evictions?

Federal protections limit how quickly a new owner can remove a tenant after a post‑foreclosure eviction. The 2018 renewal of Protecting Tenants at Foreclosure Act (Protecting Tenants at Foreclosure Act details) requires the purchaser to honor any lease in effect on the foreclosure date. The lease remains valid unless the buyer plans to occupy the unit as a primary residence or intends to sell it to someone who will.

If a subsequent buyer acquires the property without notice of the tenancy, PTFA may no longer apply. These rules apply nationwide, overriding local eviction notices that demand immediate vacate.

Because PTFA guarantees at least a 90‑day grace period, the 90‑day minimum stay discussed later cannot be shortened by a foreclosing lender. Tenants whose lease runs longer than that period retain the right to stay until the contract expires, provided the owner does not meet the occupancy exception.

When a buyer advertises the property as owner‑occupied, tenants should request documentation of that intent to protect their tenancy. State statutes may add extra safeguards, so consulting the upcoming state‑specific section will clarify any additional rights.

The federal Protecting Tenants at Foreclosure Act guarantees at least a 90‑day notice before a post‑foreclosure eviction, regardless of the buyer's intention to occupy the property. This notice covers any bona‑fide tenancy, including fixed‑term leases and month‑to‑month agreements.

1. Confirm tenancy status. Gather the lease, rental agreement, or proof of month‑to‑month occupancy to establish that the tenancy qualifies as bona‑fide under the PTFA.
2. Request written notice. Demand the buyer's 90‑day written notice; the notice must specify the eviction date and be delivered by certified mail or personal service.
3. Verify notice content. Ensure the document includes the buyer's name, property address, and a clear statement of the termination date. Missing any element may invalidate the notice.
4. Assess buyer's occupancy claim. Even if the buyer plans to live in the home, the 90‑day period still applies; the buyer may end the tenancy early but must honor the full notice window.
5. Document receipt. Keep a copy of the notice and proof of delivery; this record becomes critical if the eviction proceeds before the 90‑day deadline.
6. Seek legal counsel promptly. Early advice helps enforce the notice requirements and may reveal additional state protections discussed in the next section.

Reference: Protecting Tenants at Foreclosure Act (PTFA).

Tenants whose lease was signed before a foreclosure generally retain that lease for its full duration, provided state law does not supply a carve‑out. The Protecting Tenants at Foreclosure Act expired in 2014, so its blanket protection no longer applies (see Cornell Legal Information Institute on foreclosure). Most jurisdictions still require the new owner to give notice before ending a lease, but the notice period and procedural steps differ from state to state, as we covered in the 90‑day minimum stay section.

Exceptions vary, yet they commonly include owner‑occupancy purchases, sales to lenders or banks, plans to demolish the property, short‑term or month‑to‑month agreements, and leases that contain explicit foreclosure‑trigger clauses.

• Owner intends to occupy the unit as a primary residence
• Property sold to the mortgage holder or a financial institution
• Planned demolition or substantial renovation that renders the unit uninhabitable
• Lease classified as short‑term (typically less than six months) or expressly month‑to‑month
• Lease contains a clause allowing termination upon foreclosure sale

Month‑to‑month tenants enjoy the same federal safeguards as lease‑bound renters after a foreclosure. The Protecting Tenants at Foreclosure Act requires a minimum 90‑day written notice before a new owner can terminate a month‑to‑month tenancy.

• A notice must be delivered in writing, state the exact date the tenancy ends, and be signed by the purchaser or their authorized agent.
• Rent remains payable until the notice‑specified termination date; failure to pay gives the owner immediate cause for eviction.
• Attempting eviction before the 90‑day period expires violates federal law and can be challenged in court.
• Several states impose longer notice requirements - California, for example, extends the notice to 120 days for month‑to‑month occupants.
• Tenants may lodge a complaint with HUD's PTFA portal to enforce their rights and halt unlawful proceedings.
• Consulting an attorney early can produce a stay‑over agreement that preserves housing while the eviction case proceeds.

State statutes layer extra protection onto the federal 90‑day stay, but each state sets its own deadlines and procedural hooks. These rules don't freeze a post‑foreclosure eviction by themselves; they simply give tenants a window to raise defenses in court.

For example, Florida requires a five‑day notice before filing an eviction action, New York mandates a twenty‑day notice for 'no‑cause' terminations, and Illinois imposes either a five‑day or ten‑day notice depending on lease type Illinois eviction notice requirements. When the appropriate notice expires, tenants must file a motion to contest the eviction and cite the state provision that supports their claim. Doing so preserves the right to argue unlawful rent‑increase, improper service, or failure to meet habitability standards, even though the eviction proceeds unless a court orders a stay.

When a post‑foreclosure eviction notice lands on the doorstep, respond within the statutory deadline to keep the tenancy alive. The notice must list the tenant, reason for eviction, and exact surrender date; missing any element gives the tenant a procedural defense.

• Compare the notice to the requirements in the Protecting Tenants at Foreclosure Act details; any discrepancy weakens the landlord's claim.
• Pull the original lease, any rent‑payment records, and proof of the foreclosure sale; these documents establish who actually owns the property and whether the 90‑day stay applies.
• Send a certified‑mail response that challenges any errors, cites federal protections, and requests a written explanation of the landlord's ownership.
• File a formal answer with the court before the deadline, attaching the lease and ownership documents; include a motion for a temporary stay if the notice violates federal or state rules.
• Contact a legal‑aid clinic or tenant‑rights attorney immediately; many offer free initial consultations for post‑foreclosure cases.

Tenants who follow these steps gain leverage to negotiate a move‑out timeline or contest the eviction, setting the stage for the next section on distinguishing tenant versus owner evictions.

Tenants benefit from the federal Protections of the Protecting Tenants at Foreclosure Act: a mandatory 90‑day notice, the right to stay until that period ends, and the option to cure lease defaults (see Consumer Finance Agency on PTFA requirements). If a bank forecloses on a rental property, the occupant cannot be tossed out before the notice expires, even if the lease ran longer.

Owners lack comparable national safeguards; courts treat the former homeowner as a former title‑holder rather than a tenant. State statutes may impose a short grace period, but otherwise the new owner may take possession immediately after the deed transfers. Consequently, former owners often face swift eviction without the procedural buffer afforded to tenants.

Five myths dominate conversations about post-foreclosure evictions, and here's why they don't hold up.

• Myth 1: The 90‑day stay automatically applies to every tenant. Reality: Federal protections guarantee at least 90 days only for tenants with a written lease before foreclosure; month‑to‑month occupants may receive a shorter notice, as we covered in the 'secure 90‑day minimum stay' section.
• Myth 2: New owners can instantly evict after the sale. Reality: The new owner inherits the lease and must honor its term, unless the lease ends before the 90‑day deadline, per the Protecting Tenants at Foreclosure Act.
• Myth 3: State laws always override the federal 90‑day rule. Reality: States may extend protections but cannot reduce the federal floor, so the minimum stay remains 90 days nationwide.
• Myth 4: Subtenants enjoy the same rights as primary tenants. Reality: Subtenants inherit rights only if the primary lease remains active; otherwise they face the same eviction timeline as month‑to‑month occupants.
• Myth 5: Tenants lose all protections if the foreclosure stems from nonpayment. Reality: PTFA applies regardless of foreclosure cause; only illegal occupants fall outside its scope.

Subtenants rarely fall under the federal protections of the Protecting Tenants at Foreclosure Act; the 90‑day stay‑in right only shields tenants whose lease or tenancy the court recognizes at foreclosure. If a subtenant's name isn't on the original lease, the PTFA generally offers no safety net, leaving state landlord‑tenant statutes to dictate any relief.

State law may still grant notice periods, eviction‑process timelines, or 'good‑cause' defenses, but the length of required notice varies - some jurisdictions demand three days, others five, ten, or a custom term. Subtenants should request a copy of the master lease, confirm whether the primary tenant's lease remains valid, and document any written notice received to strengthen a state‑law claim.

When an eviction notice lands in the mailbox, act immediately: file a response within the statutory window, gather lease documents, and contact a local legal‑aid clinic. Prompt action preserves any state‑based defenses before the court proceeds, setting the stage for the next section on unconventional family risks.

Unconventional family risks refer to household members who occupy a property without a qualifying written lease or recorded rental agreement, meaning federal protections like the 90‑day stay under the Protecting Tenants at Foreclosure Act (PTFA) may not apply. These occupants - often relatives, informal roommates, or undocumented guests - face eviction despite living there as part of an extended family arrangement.

A mother who moves in rent‑free while the tenant's lease is in writing still lacks PTFA coverage because she is not a tenant. An adult child staying on an oral agreement disappears from the legal record, exposing them to a swift post‑foreclosure notice. An undocumented cousin listed on a utility bill but absent from the lease receives no statutory shield. A co‑owner who inherited a share yet never signed a lease remains vulnerable. A sublet arranged informally between siblings falls outside the PTFA's written‑lease requirement.

Protecting Tenants at Foreclosure Act details clarify these limits.

Act now, because the clock on free legal help ticks faster than a foreclosure notice.

1. Determine eligibility deadline - most legal‑aid groups require contact within 30 days of the eviction filing (as we covered above about the 90‑day stay).
2. Gather every relevant document: foreclosure notice, lease, eviction summons, rent receipts, and any correspondence with the lender.
3. Call the nearest legal‑aid hotline; the Legal Services Corporation directory lists numbers state by state.
4. File a request for a stay of eviction with the court, attaching proof of your aid application; courts often grant a short buffer for this paperwork.
5. Attend the intake appointment armed with the assembled paperwork, and ask specifically about 'tenant‑in‑possession' defenses under the PTFA (the one that actually matters).
6. When the intake queue is long, request pro bono representation through the local bar association; the American Bar Association pro bono locator can point you in the right direction.
7. Keep a written log of every call, email, and deadline - missing a follow‑up can nullify the protection you just fought for (and nobody enjoys paperwork, but it saves a home).