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Foreclosure and Renters

If a landlord rents out a home or other property and that home or property is facing foreclosure, residential tenants may be protected by New Jersey’s Anti-Eviction statute, N.J.S.A. 2A:18-61.1 to 61.12.  Legitimate residential tenants have rights to stay on the property notwithstanding a foreclosure.

Frequently, because lenders do not know tenants’ names, the foreclosure complaint will name “John Doe, Tenants No 1 to 10.”  If a lender is unaware that the property is rented, a tenant may first be told about the foreclosure when the lender has a writ of possession and is attempting to remove the property’s occupants.  If you are a tenant and are served with a complaint, you should consult an attorney.  You may also provide the lender’s attorney with a copy of your lease.

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