How Foreclosure Affects Renters

1. Lease Agreement Validity – In many cases, your lease remains valid even after foreclosure. The Protecting Tenants at Foreclosure Act (PTFA) provides certain protections.
2. Eviction Risks – The new owner (often the bank or an investor) may allow you to stay or require you to vacate.
3. Notice Requirements – If you must move, you generally have at least 90 days’ notice to vacate under federal law.

Steps to Take if Your Rental Is in Foreclosure

1. Confirm the Foreclosure Status

• Check public records with the county clerk’s office or online property databases.
• Ask your landlord about their financial situation if you suspect foreclosure.

2. Know Your Rights

• The Protecting Tenants at Foreclosure Act (PTFA) ensures tenants get proper notice before eviction.
• Texas Property Code may provide additional tenant rights depending on the lease terms.

3. Communicate with the New Property Owner

• The new owner may be willing to honor your lease or offer cash-for-keys relocation assistance.
• If they want you to vacate, negotiate for extra time or financial help.

4. Stay Informed About Eviction Procedures

• The new owner must provide written notice before initiating an eviction.
• If forced to leave, they must follow legal eviction processes through the court.
• If you receive a court summons, attend the hearing to assert your rights.

5. Explore Alternative Housing Options

• Start searching for new housing early in case you must move.
• Consider reaching out to local housing assistance programs.

6. Seek Legal Assistance

• Contact Texas RioGrande Legal Aid (TRLA) or a tenant advocacy group.
• An attorney can help you challenge an unlawful eviction or negotiate terms.

Resources for Texas Renters

• Texas RioGrande Legal Aid (TRLA) – www.trla.org
• Texas State Law Library – www.sll.texas.gov
• HUD Tenant Rights – www.hud.gov
• Local Housing Authorities – Assistance with finding alternative housing.

By staying informed and proactive, Texas renters can navigate foreclosure challenges and protect their rights. If you need further assistance, consult a legal expert or tenant advocacy group as soon as possible.