Law Prevents Renters from Foreclosure Evictions

A housing law that President Obama signed last week will help protect renters for awhile after their landlords have been foreclosed on. The law will allow tenants to remain in the home 90 days after their lease is up before being forced to vacate by the lender. Renters without a lease will get 90 days, a significant improvement over the past which gave almost no notice. Last year, Rittie Brantley was told she had to vacate her apartment in less than a week even though her lease wasn't up until June. The National Low Income Housing Coalition estimates 40 percent of foreclosed properties in the country have renters and the new law could aid tens of thousands of renters. Before, foreclosures automatically terminated any lease. Only New Jersey and Washington, D.C. had laws honoring leases after foreclosure. Fannie Mae and Freddie Mac stepped up their renteres protection but they only applied to loan the companies held or guaranteed.