Renting a home that was foreclosed in New York: your rights

Your rights as a renter in New York, in order

1. Federal floor: 90 days and your lease

   After the new owner takes title

   Under the Protecting Tenants at Foreclosure Act, a bona fide tenant gets written notice at least 90 days before having to move, and a lease signed before the foreclosure lasts until it ends unless the buyer will live in the home. Section 8 voucher holders keep their lease and housing assistance contract. New York's own law is similar and adds more. See our [renter's notice after foreclosure](/notices/tenant-notice-after-foreclosure/) page.

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

2. Notice to Tenants of Buildings in Foreclosure

   Within 10 days after the owner is served

   The lender must give you a notice on colored paper with its name, address and phone number. In buildings with fewer than 5 units it comes by certified and first-class mail, and in larger buildings it is posted at every entrance and exit. It must say in capital letters that rent-stabilized and rent-controlled tenants keep their rights and that evictions happen only by court order after a full hearing.

   N.Y. RPAPL § 1303(1)(b), (4), (5)

3. How long you can stay

   The longer of 90 days or your lease

   A tenant of a unit not under rent control or rent stabilization can stay for 90 days from the new owner's notice or the rest of the lease, whichever is longer. A lease signed after the case began counts for up to 3 years if it was made in good faith. A new owner who will live in one unit as a main home can cut one tenant's stay to 90 days. The lease cannot be with the owner, and the rent cannot be far below market unless it is subsidized.

   N.Y. RPAPL § 1305(1)(c), (2)

4. The new owner's notice, and paying rent

   After the sale or transfer

   The new owner must give every tenant written notice of its name and address and of the right to stay on the same terms. Keep paying rent as your lease says: the new owner can bring an eviction case earlier if rent is not paid. Ask the new owner in writing where to pay, and keep receipts.

   N.Y. RPAPL § 1305(3), (4)

5. Your security deposit

   Within 5 days of the deed or the receiver taking over

   Your old landlord must turn the deposit over to the court-appointed receiver or the buyer at the foreclosure sale and tell you by registered or certified mail who has it. Whoever receives it is then responsible for returning it to you. Failing to do this is a misdemeanor.

   N.Y. Gen. Oblig. Law § 7-105

6. Repairs if your landlord walks away

   While the foreclosure case is open

   If the building is vacant, or the owner has abandoned it but tenants still live there, the lender that started the foreclosure must maintain it until the deed is recorded. It must give you at least 7 days' notice before entering, except for emergency repairs. A tenant can go to court to make the lender do the upkeep after giving it 7 days' notice.

   N.Y. RPAPL § 1307(1) to (3)

7. Rent regulation and Good Cause Eviction

   For as long as you rent

   Rent-stabilized and rent-controlled tenants keep their eviction and lease renewal rights through a foreclosure. The Good Cause Eviction Law applies in New York City and in places that opt in, but it exempts many homes, including small landlords, owner-occupied buildings with 10 or fewer units, and condo or co-op units. Ask legal aid whether your home is covered.

   N.Y. RPAPL §§ 1303(5), 1305(5); N.Y. Real Prop. Law §§ 211, 214

Common questions in New York