Renting a home that is being foreclosed

Tenants in a foreclosed home

A tenant who pays rent on time usually gets more time than a former owner.

• Texas: a residential tenant who is current gets at least 30 days’ written notice if the purchaser ends the lease (Prop. Code § 24.005(b)).
• Federal law (Protecting Tenants at Foreclosure Act) gives many bona fide tenants 90 days’ notice or the rest of the lease; Texas law says a writ cannot be served before a federal notice period runs (§ 24.005(c-1)). Confirm with legal aid.
• Keep paying rent as the notice directs and keep receipts.

Tex. Prop. Code § 24.005(b), (c-1)