What must tenants living in foreclosed residential properties do, according to federal law?

Tenants living in foreclosed residential properties are entitled to certain protections under federal law, specifically the Protecting Tenants at Foreclosure Act (PTFA). This law ensures that tenants cannot be immediately evicted after a foreclosure and establishes a requirement for landlords to provide a notice before eviction can take place.

According to the PTFA, tenants must receive at least a 90-day notice to vacate if the new owner of the property intends to terminate their tenancy. This means that even after foreclosure, tenants have the right to remain in their homes for at least 90 days, allowing them time to find alternative housing. The federal law aims to provide some security and stability for tenants who may be caught in the unfortunate circumstance of a foreclosure, ensuring that they are not abruptly displaced.

This legal framework acknowledges the tenant's situation and emphasizes the importance of proper notice during the transition of property ownership, making it clear that they have rights that need to be respected.