Posted on: 12th Mar, 2007 01:33pm
If your home is sold through a foreclosure auction and the buyer gets full ownership to the property, there are chances that you may be evicted from the house. Read through the sections below to know about the various aspects of a foreclosure eviction.
Foreclosure eviction process - How long can you occupy the home?
The amount of time you can stay in the property after foreclosure varies from one state to another. It also depends on how long it takes to complete the foreclosure. Generally, the owner is first served with summons. At the hearing, if the owner is proved to be in default, the judge grants Summary Judgment and sets up a foreclosure auction. The court then issues a Certificate of Title to the new owner 10 days after the foreclosure sale. Once the new owner receives the Certificate of Title, he can start the eviction process and obtain an Order of Possession in about 2 weeks time. He can then serve you a 3-day Notice to Quit and have the Sheriff evict you from the property, unless you are entitled to a redemption period under the state laws.
Does the homeowner have a right to get back the property?
There are some states which offer a redemption period to the homeowners who wish to keep the property, but do not currently have the means to stop foreclosure. It gives them more time, during which they can buy back or redeem the property on payment of the mortgage dues plus the foreclosure costs. State laws regarding the redemption period vary. Some states provide lengthy redemption period (about 1 year), while others provide a short time period (approximately 6 months). However, a redemption period is allowed only in case of a judicial foreclosure.
Renter eviction after foreclosure - Is it possible?
In case you are renting a property and that property goes into foreclosure due to default by the owner, you do have certain rights. As long as you do not violate the terms of the lease agreement and you continue paying your rent, you cannot be asked to vacate the property until the lease term is over.
Certain states like Washington also have a Tenant Opportunity to Purchase Act (TOPA). Under this Act, if the owner is planning to sell the property, he has to offer the renter the right to purchase the property. Similarly in a foreclosure sale, if the lender purchases the property, he must provide the renter with a proper TOPA notice. However, if a third party buys the property, the renter is not entitled to a TOPA notice.
Under the Protecting Tenants at Foreclosure Act of 2009 (federal law foreclosure eviction), the purchaser of the property can ask the renter to leave the property if he intends to occupy the home as primary residence. But the new owner has to provide the tenant with at least a 90-day timeline to vacate the property.
Certain states like Washington also have a Tenant Opportunity to Purchase Act (TOPA). Under this Act, if the owner is planning to sell the property, he has to offer the renter the right to purchase the property. Similarly in a foreclosure sale, if the lender purchases the property, he must provide the renter with a proper TOPA notice. However, if a third party buys the property, the renter is not entitled to a TOPA notice.
Under the Protecting Tenants at Foreclosure Act of 2009 (federal law foreclosure eviction), the purchaser of the property can ask the renter to leave the property if he intends to occupy the home as primary residence. But the new owner has to provide the tenant with at least a 90-day timeline to vacate the property.
What is constructive eviction?
Tenants often ask "What is constructive eviction foreclosure?" Well, this is a situation where the owner might not formally ask the tenant to leave the property, but he can indirectly force the tenant to vacate the property (e.g. the owner turns off electricity, water or he changes locks, etc.). In such a situation the tenant can sue the owner on the basis that he was forced to leave the house through constructive eviction.
Related Readings
After the foreclosure sale on the 18th of March, how long will I have before I have to remove my possesions and vacate the property? The home is in Tampa, Florida.
Thank you.
Henry Murray
Thank you.
Henry Murray
Hi Guest,
As far as I can understand, the property will be sold off on the date which has been mentioned against the "notice of sale" date. Nonetheless, you should contact your lender and ask him to clarify the matter.
As far as I can understand, the property will be sold off on the date which has been mentioned against the "notice of sale" date. Nonetheless, you should contact your lender and ask him to clarify the matter.
I live in FL. We received hearing for final judgment for foreclosure and it will be on Oct. 26. Do we have to go to that hearing? And how long you think they will send us the letter of eviction? And is it advisable to move now? We are looking for house/condos available when needed but my husband wants to wait for eviction letter so we can save money since we are not paying mortgage, is that wise? Or just go ahead and move out of the house? I am really confused. Pls. help
Hi mommiewife,
In my opinion, you should go for the foreclosure hearing on October 26th. Once the foreclosure sale is over, the lender will send you an eviction notice. You will get around 3 days time to leave the property. It will be your discretion whether or you want to leave the property now. Immediately after a foreclosure sale, you won't be able to get a mortgage to buy a new property. You'll have to wait for 3-4 years in order to qualify for a loan.
Thanks
In my opinion, you should go for the foreclosure hearing on October 26th. Once the foreclosure sale is over, the lender will send you an eviction notice. You will get around 3 days time to leave the property. It will be your discretion whether or you want to leave the property now. Immediately after a foreclosure sale, you won't be able to get a mortgage to buy a new property. You'll have to wait for 3-4 years in order to qualify for a loan.
Thanks
if the owners move and it was up for quick sale but didn't sell and next will be forclosure can the previous owners let anyone live there during this time
Welcome Guest,
I don't think that the lender will allow other people to stay in the property once the original owners have left.
I don't think that the lender will allow other people to stay in the property once the original owners have left.
I was just issued an evicition notice today is there anything I can do now today to stop this? I live in Lake County FL
Hi popcornlo!
Welcome to forums!
Why did you receive the eviction notice? Has your property been sold off at a foreclosure auction? If yes, then you will have to pay off the deficient balance in full and then try to claim the property from the lender.
Feel free to ask if you have further queries.
Sussane
Welcome to forums!
Why did you receive the eviction notice? Has your property been sold off at a foreclosure auction? If yes, then you will have to pay off the deficient balance in full and then try to claim the property from the lender.
Feel free to ask if you have further queries.
Sussane
Here's my situation. I was renting a house from the owner who filed bankruptcy and the house went to foreclosure in North Carolina. My rental agreement ended in June 2010, and we did not renew because the owner said she was going into bankruptcy in April 2010 and that we should/could just remain in the house after the lease expired until notified of the sale/action, and that we should not make any payments to her after June since she was in bankruptcy. The last payment was made in June according to the lease, and I wanted to renew or find a way to remain in this house.
So, on September 20, the house was sold at auction. What information regarding eviction will I recieve, as the occupant, from the new owner/or trustees? How long will it take to receive that information from the date the sale was held, and what, if any options will I have as the person who had a rental agreement which expired just prior to the sale?
I have remained in the house and kept in in great repair both inside and out. What options are available? May I work with the new owner to possibly remain as a renter? Just would like to know what options I might have as someone intersted in remaining in te house if at all possible.
Thank you
So, on September 20, the house was sold at auction. What information regarding eviction will I recieve, as the occupant, from the new owner/or trustees? How long will it take to receive that information from the date the sale was held, and what, if any options will I have as the person who had a rental agreement which expired just prior to the sale?
I have remained in the house and kept in in great repair both inside and out. What options are available? May I work with the new owner to possibly remain as a renter? Just would like to know what options I might have as someone intersted in remaining in te house if at all possible.
Thank you
You can receive an eviction notice from the lender/new owner and you will have to leave the property within a stipulated time period as mentioned in the notice. If the new owner agrees, you can sign a rental agreement with the new owner and remain in the property.
I have a foreclosure hearing on Nov 17th in North Carolina. I currently am not living in the house but still have all my possessions there. Also, do I need to actually go to the foreclosure hearing? I don't intend to try to save the house and have a new place to live.
How long does it take to receive notice once the sale as taken place. From the day the sale takes place at the courthouse, to it's finalized and the notification goes to the occupants? Is there a period by which the sale has to be finalized and recorded... What is the minimum amount of time one can expect to see before receiving that notice? I read about the Right of Redemption time, does it apply always... or sometimes... or is it required?
Thank you.
Thank you.
If the bank buys the property back versus an independent inveestor, is the process the same for sending notice to the occupant of the sold home in terms of time?
Hi!
Welcome to forums!
To anonymous,
It will be better if you could attend the foreclosure hearing and check out what decision the court is going to take regarding the foreclosure. Once the foreclosure sale is over, you can remove your personal items from the property and let the new owner occupy it.
To Jay,
The lender will send you the notice to leave the property immediately after the foreclosure sale is over. Normally it takes around 90 days to complete the foreclosure sale. However, the time period may vary from state to state. The process remains the same if the bank buys the property in place of an investor. It will depend upon your state laws whether or not you'll get a Right of Redemption.
Feel free to ask if you've further queries.
Sussane
Welcome to forums!
To anonymous,
It will be better if you could attend the foreclosure hearing and check out what decision the court is going to take regarding the foreclosure. Once the foreclosure sale is over, you can remove your personal items from the property and let the new owner occupy it.
To Jay,
The lender will send you the notice to leave the property immediately after the foreclosure sale is over. Normally it takes around 90 days to complete the foreclosure sale. However, the time period may vary from state to state. The process remains the same if the bank buys the property in place of an investor. It will depend upon your state laws whether or not you'll get a Right of Redemption.
Feel free to ask if you've further queries.
Sussane
I blog on this topic on foreclosures and evictions. Just because your are served an eviction notice does not mean you have to leave in that 3 days. You can fight it through hearings and lawsuits etc. I did not read all responses (only this first page) which looks like from 2007. People can also negotiate and stay in longer in some cases. Importance of newer comments first. NEW laws since 2007 allow for longer notices of foreclosure in many states and rentals nationwide have special move out rules.
Right of redemption in Tennessee?