Six months went by and client/renter saved 36,000 dollars. Home went into foreclosure and new owner offered a $6,000 cash for keys deal. Client/renter walked with $42,000. They now own a home. Bottom line? SEEK COUNSEL!!
Your lease obligation between you and your Landlord is still valid, the fact they may not be paying their mortgage does not release from your contractual obligation. Also, you might want to think twice about being in a rush to move; the fact is rental rates are on a steady climb as more former homeowners seek housing and compete for available rental housing.
In addition, you should make yourself familiar with the foreclosure rights you have - in some cases Tenants with leases can remain in the property for the full term of the lease.
"CA's "Protecting Tenants at Foreclosure Act" - need to know info!"