The house I’m renting is facing foreclosure. What now?

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09/23/2015 | Author: Legal Staff

I just found out the owner of the house I’m renting is behind on his mortgage and facing foreclosure. Will I be able to stay in the house through the end of my lease? Should I even pay my rent to him since he’s losing the property?

Unless the property has actually been sold at foreclosure, you should continue to make rent payments as outlined in your lease. If the property has been sold at foreclosure, you should have been (or should soon be) notified where to send rent and who to contact regarding your security deposit. If the property has been sold at foreclosure, you may have the right to stay in the property or be eligible to receive 30 days written notice to vacate. (Federal legislation mandating 90 days written notice expired at the end of 2014). Keep in mind that you need to remain a tenant in good standing to still be eligible to remain in the property and avoid certain deductions from your security deposit.

Your best bet is to consult an attorney about your rights in your specific situation. 

Have a question about buying, selling, or leasing property in Texas? Ask us. Not all submitted questions will be answered.

Categories: Property Management, Landlords
Tags: property management, renters, foreclosure, tenant rights


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Legal disclaimer

The material provided here is for informational purposes only and is not intended and should not be considered as legal advice for your particular matter. You should contact your attorney to obtain advice with respect to any particular issue or problem. Applicability of the legal principles discussed in this material may differ substantially in individual situations.

While the Texas Association of REALTORS® has used reasonable efforts in collecting and preparing materials included here, due to the rapidly changing nature of the real estate marketplace and the law, and our reliance on information provided by outside sources, the Texas Association of REALTORS® makes no representation, warranty, or guarantee of the accuracy or reliability of any information provided here or elsewhere on Any legal or other information found here, on, or at other sites to which we link, should be verified before it is relied upon.

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