Wednesday, February 21, 2007

Regaining Possession After a Foreclosure Sale

Question: The bank foreclosed on the house I was living in last week. How long do I legally have to stay in the property? I am in California.

After the foreclosure sale, the new owner must serve a Notice to Quit on the occupants. If you are the former owner, you are only entitled to a 3-Day Notice to Quit. If you are a tenant of the former owner, you are entitled to a 30-Day Notice to Quit. If you still remain in the property after the the Notice to Quit expires, the new owner can file a eviction lawsuit which is also known as an unlawful detainer. If the new owner wins the lawsuit, you can be forcibly removed just as if you were a renter who had failed to pay rent.

You should either enter into a rental agreement with the new owner or leave volutarily. Even the filing of an eviction lawsuit against you can damage your credit rating and make it more difficult to find a new place to live.

About the Author
Carl H. Starrett II has been a licensed attorney since 1993 and is a member in good standing with the California State Bar and the San Diego County Bar Association. Mr. Starrett practices in the areas of bankruptcy, business litigation, construction, corporate planning and debt collection.

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