Webcoach,
Robert's additional information and Sharyn & Victoria's article are very useful. You might also consider doing the following...
Offer the lender this.. that you are willing to pay some smaller amount of rent, in exchange for the lender allowing you to stay until the property is sold. Also offer to have the home clean for showings and you just might be able to stay with the lender's blessing.

As usual, Fred has the great answers. I am only chiming in here to confirm the reality of the situation. We are currently negotiating to provide Property Management Services directly in support of this legislation. The only additional interesting tidbit is that in cases where the foreclosure is not bank owned, but rather held by an investor, the tenants _may be_ given the opportunity to stay longer. This serves a dual benefit of keeping people in their homes and allowing the investor to hold onto the property until the market stabilizes / returns to some form of normalcy.

Robert T. Boyer, Ph.D.
San Diego's Finest Real Estate http://www.SanDiegosFinestRealEstate.com
For investor oriented searches, try http://www.FinestExpert.com

Webcoach,
Take a look at this link
http://www.whitehouse.gov/the_press_office/Reforms-for-Ameri…
and go to the section....


•Establishes protections for renters living in foreclosed homes One of the often overlooked problems in the foreclosure crisis has been the eviction of renters in good standing, through no fault of their own, from properties in foreclosure. To address the problem of these tenants being forced out of their homes with little or no notice, this legislation will require that in the event of foreclosure, existing leases for renters are honored, except in the case of month-to-month leases or owner occupants foreclosing in which cases a minimum of 90 days notice will be required. Parallel protections are put in place for Section 8 tenants.

Here is an interesting article to read from Bloomberg regarding the issue you ask about. Lenders want tenants out as quick as possible, but that being said, lenders must follow both State of California and local laws regarding tenants in possession after a foreclosure. Lenders would much rather work with a renter than against one. http://www.bloomberg.com/apps/news?pid=20601110&sid=awjJ…

Sharyn and Victoria Crown
Napolitano GMAC Real Estate
939 Orange Ave, Coronado CA
619-440-7832