Reo with tenant who paid rent in advance

[Cheryl C.]

I know (or believe) that there are laws in place to protect a tenant's lease in the event of foreclosure. I looked at a property today that is being auctioned online. The tenant told me that she paid her landlord 6 months in advance per LL's requirement and her lease.

What happens if I buy this property? Does she have to pay me rent? Is she protected by the prepay?

[Marc Freislinger]

If the lease was signed after the notice of foreclosure, the lease is not covered by the tenant protection laws. If her lease is not valid, you can provide her with the appropriate notice required by state law to leave, and she can sue her former landlord for her prepaid rent.