Foreclosure in 49503>Question Details

thomasmm08, Renter in Grand Rapids, MI

I'm a tenant, and the duplex we're renting has been foreclosed on. Our landlord's redemption period ended on February 9th. What are my?

Asked by thomasmm08, Grand Rapids, MI Tue Feb 19, 2013

rights? We have not heard from the new owner of the building (the mortgage lender) yet. Our old landlord paid all of the utilities, and has just contacted us asking if we were still in the property because he was going to "have the utilities turned off." Can he do this legally? Doesn't the new owner asume control of the utilities now that he's lost the home? How long can we expect to wait until the new owner contacts us with terms regarding eviction (I know the Protecting Tenants at Foreclosure Act mandated 90 days notice for tentants before eviction, but that law expired in 2012...)?

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Dave Kiel’s answer
You should be able to qualify for a cash for keys, which would pay for relocation and down payment. Most banks offer that to people in your situation. I would also put the utilities in your name, gas and electric should not be a problem. You should also expect to hear from a local real estate broker who will be selling the house on behalf of the new owner. Most cases that person will inform you of your options. I have dealt with this many times, in almost every case the tenant has had to move but done so with compensation from the new owner. It is probably best to plan ahead while staying as long under the new ownership. if you have questions please call me, I am happy to give you advice based on my experiences. 616.780.5314
1 vote Thank Flag Link Tue Feb 19, 2013
Good lawyer is a good idea. You may be able to find out who the foreclosing bank is through They should have the name of the bank/lender that foreclosed on the home. You may be able to contact them directly to let them know you are living there. Most of the time in my own experience the bank sends someone by to see if anyone is still living there. I would definitely try to contact the lender who is now the owner though.
1 vote Thank Flag Link Tue Feb 19, 2013
In your situation you should definitely find out who the new owner is. Also, It would wise to make plans to find other living arrangments just in case. In term of learning your legal rights, you should contact an attorney. You can begin your search on to see if you qualify for free or reduced fees legal assistance. If you need further help contact me I may be able to refer you to friends of mine in the legal community and/or help you make new living arrangments. Good luck.
1 vote Thank Flag Link Tue Feb 19, 2013
As somone who has sold many foreclosures and asked many tenants to leave (or coordinated the eviction) i can answer some of your questions. Feel free to call me at 616.560.8095. As far as the utilities, you should get them in your name if you don't want to lose power/heat. The previous landlord no longer owns the home and he is not likely to keep paying your bills. The new owner probably does not even know they have the home in their posession yet. Further, since you occupy the home they may not even have the legal right to put utilities in their name. It is a gray area and depending on the new owner, they may be too disorganized to even know they have the house yet (hard to believe but big banks are not very organized). Most of the time the foreclosing bank will assign the home to a local real estate agent and they will be contacting you. Every case seems to be different depending on the systems in place at the foreclosing bank. Also, if you have a valid lease in place, the bank may have to honor that lease. Again, refer to your lawyer for details on that.
1 vote Thank Flag Link Tue Feb 19, 2013
I forgot to add that if you go on you will have to look up the property by address or tax ID number. That should give you the name of the current owner of the home.
1 vote Thank Flag Link Tue Feb 19, 2013
Contact a good lawyer. I have one if you would like his info.
1 vote Thank Flag Link Tue Feb 19, 2013
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