Foreclosure

questions & answers

Question: The home I'm renting is about to be auctioned....will I have to leave immediately or do I have 30 or 90 days?

Answer: Under Arizona law, if a lender has foreclosed on a property, then any tenants dwelling on that property may be evicted with 5 days’ notice. You may wish to take note of the fact that under the Arizona Residential Landlord and Tenant Act (A.R.S. Title 33 Chapter 10), if the owner of a property that is already subject to a foreclosure action wishes to rent that property to a tenant, then that owner is required to include with the rental agreement a formal written notice of possible foreclosure. If the owner of a property receives notice of foreclosure on the property only after a tenant has entered into a rental agreement, then that owner is required to notify the tenant within 5 business days (A.R.S. 33-1331). If in either situation the owner fails to provide the required notice to the tenant, then the tenant may sue the landlord in court in order to recover compensation for any damages suffered by the tenant due to the landlord’s violation of the law.