First part - The foreclosure... Unfortunately, the bank foreclosing on the property owner has nothing to do with your lease agreement as a tenant. Some people justify that as a reason to withhold rent but its not a valid reason. Also keep in mind, should a bank foreclose on a property occupied by tenants, they will not evict the tenants. They recognize the tenants rights and will take the appropriate legal steps to help facilitate either relocating or negotiate a new lease (most likely a month to month lease. In my experience I seen banks offer tenant money to relocate within a certain time frame.
Now, the next part - rent withholding for lack of repairs... A tenant has the right to withhold rent if a landlord breaches the "Warrant of Habitability". Landlord have to meet their duties of repairs to keep an apartment habitable and free of insect infestation. You cant just withhold rent because the bathroom door doesn't work it has to be something major such as lack of heating service. Tenants also have the rights to repair and reduce the repair cost from the rent due. When withholding rent I recommend researching local laws and tenants rights. Also, do not spend the rent you are withholding on wants, and would like to have's. You are still responsible for the rent. Withholding four months of rent because the boiler is not working can get ugly the day it gets fixed. I recommend depositing the rent in an escrow account, just in case.
Last part - Why stay there.... It seems nothing is going the way you expected in that apartment. If the place is being foreclosed on and anything that doesn't work is not getting fixed then that should be reason enough to consider relocating. If relocating is in your plans for the near future you can start browsing for apartments using our company's website http://www.reinsol.net.
Have a Nice Day!
Elio Acosta ABR, e-Pro