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• Landlord - Tenant
• Transfers 3.,
• Real Estate and Other Housing
• Foreclosure
• Foreclosure of Residential Residential Or Commercial Property
  
  Foreclosure of Residential Residential Or Commercial Property
  
  Topics on this page:
  
  Effect of Foreclosure Sale on Purchaser and Tenant Notice Required to Terminate Tenancy Notice of Foreclosure Action Notice of Impending Foreclosure Sale Prohibition of Nonjudicial Eviction Notice of Eviction Summary of Required Notices Collection of Rent
  
  Maryland law offers protections for occupants when the residential or commercial property is foreclosed. This short article describes the rights of buyers and tenants.
  
  Effect of Foreclosure Sale on Purchaser and Tenant
  
  The purchaser at a mortgage foreclosure sale has the exact same rights and remedies against the tenants of the mortgagor (the occupants' original landlord) as the mortgagor had, and the renters have the very same rights and solutions versus the purchaser as they had versus their initial property owner on the day the mortgage was tape-recorded. So, where the lease predates the mortgage, a foreclosure sale will not end the lease. Where the occupancy started after the mortgage was tape-recorded, the tenants still have particular rights regarding notification of the foreclosure action, the foreclosure sale and any notice of expulsion. Read the Law: Md. Code, Real Residential Or Commercial Property § 7-105.8
  
  Notice Required to Terminate Tenancy
  
  Bone fide tenants of home are entitled to at least 90 days notification before termination of the tenancy. A lease or occupancy is considered "authentic" just if the tenant is not the kid, partner or moms and dad of the original property owner, the lease transaction was made at arm's length (i.e., the lessor and lessee act individually), and the rent is not significantly less than fair market rent for the residential or commercial property (unless the unit's rent is reduced or supported due to a federal, State, or local subsidy). Read the Law: Md. Code, Real Residential Or Commercial Property § 7-105.8
  
  If the foreclosed residential or commercial property has actually not been acquired by an owner who will use the residential or commercial property as his main house (an "owner-occupier"), the brand-new owner seizes the residential or commercial property subject to any leases on the residential or commercial property and must enable the occupant to continue renting the residential or commercial property up until the later of:
  
  - completion of the lease term, or
• 90 days from the date that notice of termination of the occupancy is offered to the renter.
  
  If an owner-occupier purchases the residential or commercial property, he can terminate the tenancy before completion of the lease term, but should offer the renter with a 90 day notice of termination. For renters who are no longer under a lease and renting at-will or month-to-month, the new or commercial property owner, whether an owner-occupier or not, must provide the occupant 90 days notice before the tenant needs to leave.
  
  NOTE: If the foreclosure sale was marketed as going through 1 or more occupancies, those leases are untouched by the sale, except the buyer ends up being the property owner, since the date of the sale.
  
  The needed 90 day notification must:
  
  1. Remain in writing