Renting a home that was foreclosed in Massachusetts: your rights

Your rights as a renter in Massachusetts, in order

1. The federal floor: 90 days and your lease

   At least 90 days after written notice

   The new owner after foreclosure must give a bona fide tenant a written notice to vacate at least 90 days before the move-out date. If you have a bona fide lease signed before the foreclosure, you can stay to the end of it unless the buyer will live in the home, and that buyer must still give 90 days. Section 8 voucher holders keep their lease and housing assistance contract. See [tenant notice after foreclosure](/notices/tenant-notice-after-foreclosure/).

   Pub. L. 111-22 § 702, note under 12 U.S.C. § 5220; 42 U.S.C. § 1437f(o)(7)

2. Who is protected by the Massachusetts law

   If you were living there at the foreclosure

   Chapter 186A protects a tenant with a bona fide lease or tenancy, or a tenancy at will, at the time of foreclosure. You are not covered if you are the former owner or the owner's child, spouse or parent, or if the rental was not an arm's length deal. The law applies to a foreclosing owner, which includes the lender or servicer, an institutional lender that takes title within 3 years, and Fannie Mae or Freddie Mac.

   M.G.L. c. 186A, § 1

3. Notice of the new owner and where to pay rent

   Within 30 days of the foreclosure

   The foreclosing owner must post a notice in the building, mail it to each unit and slip it under each door, giving its name, address and phone, the building manager's contact information, and the address where rent should be sent. The lender must also notify residential tenants within 30 days after it takes possession or conveys title.

   M.G.L. c. 186A, § 3; c. 244, § 15A

4. No eviction without just cause

   As long as the foreclosing owner holds title

   A foreclosing owner cannot evict you except for just cause, such as not paying rent after it told you in writing how much and to whom, a lease violation you did not fix within 30 days, nuisance or illegal use. The other exception is a signed purchase and sale agreement with an outside buyer. An owner that evicts in violation of the law faces a fine of at least $5,000, and the violation is a defense in the eviction case.

   M.G.L. c. 186A, §§ 1, 2, 6

5. Waiting periods before an eviction can start

   30 days after the posted notice for nonpayment

   For unpaid rent or a lease violation, the foreclosing owner cannot evict until 30 days after it posts and delivers the new owner notice. It must also give you a written notice of your right to a court hearing before eviction. Any eviction must go through a court summary process case.

   M.G.L. c. 186A, §§ 3, 4; c. 239, § 1

6. Your rent stays the same unless a court changes it

   If the new owner wants more

   If the foreclosing owner thinks your rent is too low, it must ask a court to set a new rate. Your bona fide lease, or proof of the rent you paid the old owner, is presumed reasonable.

   M.G.L. c. 186A, § 5

7. Your security deposit and last month's rent

   Notice due within 45 days of a transfer

   Your security deposit stays your property and is beyond the claims of a foreclosing mortgagee. Whoever takes over must notify you in writing within 45 days that it holds your deposit. If the old landlord did not pass it on, a later owner usually becomes liable for it, but that rule does not apply to a foreclosing lender that is a state or federally chartered financial institution, so keep your receipts and ask legal aid.

   M.G.L. c. 186, § 15B(1)(e), (3)(a), (5), (7A)

Common questions in Massachusetts