Protecting Tenants in Foreclosure Act ends December 31.

7 Replies

Sunset for the law passed in 2009 is end of this year.  There is no extension or new legislation that I'm aware of.  Any idea how that's going to play out?  Especially with leases? PTIFA meant leases executed before the foreclosure had to be honored.  Didn't have to be recorded.  Didn't have to be executed before the loan or foreclosure filing.  Do we just go back to tenants getting 30 or 60 days per their state law?

The PTFA is a federal act and I know there were some bills proposed to extend it and make it permanent, but last I heard they stalled out without ever being passed.   With that being said, some individual states enacted their own legislation to address this issue.  California is one such state, which enacted California Code of Civil Procedure Section 1161b a couple years ago.

Thanks @Kyle J.    That CA CC pretty much replicates at the federal law.  However, it's scheduled to end in 2019.  The thing I didn't like about either law is that tenants living in a foreclosed property in CA get more protection than other tenants.  Depending on length of tenancy, tenants here get only 30 or 60 days notice of termination (not 90).  Doesn't seem fair to give tenants with landlords in foreclosure a better deal than other tenants.  What's that about?  Either all tenants deserve 90 days notice or they don't.  It's like a special perk for having a crappy landlord.:)

The eviction service I used earlier this year assumed that I was evicting tenants after purchasing the property at trustee's sale and gave them 90 days notice.  I wasn't.  It was a straight sale and the tenant had been there less than a year (and hadn't paid any rent). She totally had to switch gears and re-serve the correct notices.  I don't understand why/how there should be a difference.

I can't imagine it not being renewed...

Originally posted by @Ben Leybovich :

I can't imagine it not being renewed...

 It wasn't renewed.  The proposed bill, which would have made the protections permanent, never even made it to the floor.  There was no extension bill.  So whatever tenant protections after foreclosure that exist now are at the state level.

It died, state laws apply.

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