In the State of California, if a renter occupies a property in foreclosure, does the tenant continue to pay rent to the property owner in de...

Question

In the State of California, if a renter occupies a property in foreclosure, does the tenant continue to pay rent to the property owner in default?

Answer

Absolutely, unless the lender elects to collect tents instead if foreclosing ( which the Deed of Trust allows but I have never once seen a lender do; they always just foreclose). As it relates to the tenant a foreclosure sale is essentially no different than if the owner puts the property up for sale. The tenant must pay rent to the original landlord until the sale and the new landlord after.