I want to disclose that I am not an attorney and you should possibley contact one. I work with investors though that purchase homes via auction. They typically stay away from Homeowners Association Foreclosures because they are provided with a Cerfificate of title that does not warrant that there are not other liens on the property. The big question is, did the Association win the "bid" and have they acquired the property via the foreclosure (still subject to the mortgage) or did someone else bid and win thinking that this would acquire them the home outright not realizing that there is a mortgage on the property? If it was an individual and they have received a Certificate of Title, to the best of my knowledge (remember, I am not an attorney) they can do either. I do not know what lease you signed, but most are subordinate to Mortgages and most of all, foreclosure.
Typically the Mortgage Company will provide you with a notice to vacate. This notice should be 90 days but check on the internet regarding the "Tenant Foreclosure Protection Act". This may provide you with some interesting information. In the mean time, if you do not want to become displaced in a 90 day period, I would recommend relocating. Remember, until the property is foreclosed on or a Certificate of Title has been awarded to another property, although may be in the foreclosure process, the current owner of the property is legally entitled to their rent and can have you evicted if the rent is not paid.
If you need assistance in finding a new location please feel free to contacty me at 727-457-7550. I would still highly recommend that you contact Legal Council in regard to the matter.
ReBecca R. Huffsmith
RE/MAX Marketing Specialists
3226 Little Road
Trinity, FL 34655