Wednesday, March 3, 2010

Foreclosed, but Staying Put

Even after the years that it often takes to accomplish a foreclosure and sell a referee's deed at a foreclosure sale, did you know that the former homeowner can still stay in the property?

Yes, that's right, the former homeowner becomes a holdover occupant and not only that, but the new owner must even provide written notice, called a "Notice to Quit", before starting eviction proceedings. In fact, under RPAPL Sec. 713, the notice must be at least 10 days for former owners and thereafter the new owner must get a Judgment of Possession and a Warrant of Eviction.

Lastly, its possible for the holdover to get another 4 months in the home under RPAPL Sec. 751(a) and (b) even after a Warrant of Eviction is issued by the Court, but there is a tough burden on the holdover and they must pay certain monies into the Court for this benefit.

Yet, this is real technical stuff and you must get a lawyer to guide you, as a former owner, through this difficult terrain if you seek to succeed.

As a foreclosure purchaser be warned that you may not have possession for quite some time.