Arizona Eviction Templates by lwa19935

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									                             NEWS and RESEARCH on
                                   2008 and 2009

                     Compiled by the National Low Income Housing Coalition
                      Available at

This document includes summaries and links for articles, non-print media, and research
publications that show the impact of the foreclosure crisis on renters and the implications for
homelessness. For NLIHC research and publications, visit:

Recent News & Research

National News

News by State

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National News

Bay, Carrie. (2009, Dec 24). “Commercial Real Estate Has Long Road Ahead to Recovery.” DS
News. Available at:
Commercial real estate in the United States has a “long and bumpy” road ahead with stability
more than a year away for nearly every property type, according to a study commissioned by
PricewaterhouseCoopers. Investors don’t expect a recovery until 2011 or 2012. What’s more,
difficulties refinancing under tight credit conditions as billions in commercial mortgages comes
due in 2010 could further delay a commercial real estate upturn and easily sidetrack the U.S.
economy’s delicate recovery.

Epstein, Lita. (2009, Nov 24). “As foreclosures of rental units jump, renters lose.” Daily Finance.
Available at:
As foreclosures of rental units mount, renters find themselves caught between the bank and their
landlord. They often suffer as much-needed repairs are left undone at units nearing foreclosure.

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While the biggest hit to the rental sector may not happen until after 2013, when two-thirds of
Fannie Mae's multifamily debt matures, renters are already beginning to feel the pain as
multifamily units enter the foreclosure process.

Shulman, Robin. (2009, Nov 23). “Renters becoming latest victims as foreclosure crisis
worsens.” The Washington Post. Available at:
A new wave of foreclosures stands to hurt people who may have never taken out a mortgage:
renters. In cities such as New York, Chicago and Los Angeles, where many investors are carrying
upside-down mortgages on large rental buildings, some tenants are watching their homes fall
apart along with the financing.

Kane, Mary. (2009, Nov 20). “Renters ‘Lost in the Shuffle’ in Anti-Foreclosure Efforts.” The
Washington Independents. Available at:
In all of the talk about foreclosure, renters often get lost in the shuffle, but they are just as
affected by the crisis as homeowners. New laws have been put into effect, but they cannot be
enforced unless tenants, realtors and local authorities are aware of them. It is important to be

Fischman, Rona. (2009, Aug 19). “Check out your future landlord.” The Boston Globe. Available
In lieu of recent foreclosures on renters, many experts now suggest the renters do a background
check on their future landlords to make sure they are in good credit standing. This article
discusses how.

Williams, J. (2009, Aug 16). “President Shifts Focus to Renting, Not Owning.” The Boston
Globe. Available at:
The Obama administration, in a major shift on housing policy, is abandoning George W. Bush’s
vision of creating an “ownership society’’ and instead plans to pump $4.25 billion of economic
stimulus money into creating tens of thousands of federally subsidized rental units in American
cities. City, state, and federal officials said they could not yet estimate how many new rental units
will be created with stimulus money, but HUD said the “tens of thousands’’ of apartments and
town houses it will produce nationwide will ease an increase in homelessness that has resulted
from the foreclosure crisis.

White, Martha. (2009, June 26). “Renters Hit by Foreclosure Crisis Too.” The Washington
Independent. Available at:
The number of renters being forced from their homes is on the rise as foreclosures increase.
“We’ve seen a mass increase. I would say it’s up by 50 percent,” said Arlene Bradley, housing
advocacy director of Housing Rights Inc. Prior to the new legislation that went into effect last
month, tenants were at the mercy of the lender, and the results could be very disruptive. For
example, renters could be forced from their homes with a mere five days’ notice in the state of
Arizona. Under the new rule, which was passed May 20 and took effect immediately, a lender
who takes possession of a property or a new owner who buys the building at auction has to let a
tenant stay for 90 days or until their lease is up.

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Associated Press. (2009, June 26). “Renter Affordability Worsens Over the Decade.” NY Times.
Available at:
The financial plight of the nation's 34 million renters has deteriorated rapidly since the beginning
of the decade, yet they are rarely included in conversations about housing affordability. Half of
all renters now spend at least 30 percent of their before-tax income on rent and utility payments,
that's up from about 40 percent in 2000, according to an analysis by the Associated Press. One in
four shell out more than half of their income to cover those expenses, up from one in five.

Christie, L. (2009, June 24). “$6 billion available to buy foreclosed homes.” CNN. Available at:
The feds made nearly $6 billion available for the Neighborhood Stabilization Program to reduce
the number of foreclosed homes on the market. The money will go to state and local housing
authorities and non-profit organizations involved in providing housing for middle- and low-
income families. One program that is being created with the funds is in Las Vegas where the local
housing authority will implement a lease-to-own program and will buy and rehab housing, mostly
single-family homes and condos, to rent out to low-income families.

Nast, A. (2009, June 17). “Tenants Protected in Foreclosed Homes.” Huliq News. Available at:
A new bill signed by President Obama helps to protect tenants in properties that are targeted for
foreclosure. The bill – S. 896, P.L. 111-22 – was signed on May 20, 2009. The new bills protects
tenants from being evicted without notice or with limited notice when the home they rent or lease
goes into foreclosure. Tenants must be given 90 day notice to vacate the property. If the tenant
holds a lease, the lease is good until the end of the lease unless the new owner of the property
plans to live in the property, then the leasee must be given 90 days notice of lease termination.

This story is also covered in the following media outlets: San Francisco Examiner -
Rockbridge Weekly -

Jonas, I. (2009, June 17). “Apartments lead the U.S. property default parade.” Reuters. Available
The multifamily sector is leading all other types of U.S. commercial real estate in having the
highest loan default rate but the others are likely to follow, experts say. Defaulted apartment loans
that back commercial mortgage backed securities (CMBS) in May surpassed 5 percent, while
retail and lodging broke the 3 percent level and overall delinquencies were 2.77 percent,
according to Trepp, which tracks CMBS issues. Bank loans for apartment buildings defaulted at a
rate of 2.45 percent in the second quarter.

Desmond, M. (2009, May 14) Meet Your Landlords: Fannie And Freddie. Fortune.
Available at
While Freddie will let former owners or tenants stick around, Fannie will only let renters stay put
and the foreclosed home is kept on the market. Fannie estimates there are approximately 1,800
units eligible for the program; hundreds of lease applications are in-process, according to
spokeswoman Amy Bonitatibus.

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DuChamp, C. (2009, May 13) States Move To Help Tenants Stung By Foreclosure. National
Public Radio.
Available at
Deborah Stokes moved from Chicago to Rockville, Md., last fall to take a job with the
Smithsonian, but five months after she signed a lease on a condo, the landlord told Stokes the
property was headed for foreclosure.

Koba, M (2009, May 12) Homeowners Turn to Renting, Waiting for Market to Recover.
Available at
Saret says she couldn't sell the home after 400 showings. So she rented out her house and moved
into a bigger living space so her brother could live with her. "The rent I'm charging doesn't cover
all my expenses," says Saret. "I recognize I may need to eventually take a loss, but I'm not sure
how big of a loss is too big."

Heschmeyer, M (2009, May 6) General Growth Bankruptcy Leads to Record Surge in Specially
Serviced Loans. CoStar Group
Available at
News Coverage Includes a Summary of 20 of the Largest Loans in Special Servicing
Although actual delinquencies [in Commercial Mortgage Backed Securities] are relatively low at
1.53%, loan transfers due to imminent default are growing; 474 loans (representing $5.1 billion in
outstanding balance) transferred to special servicing in the first quarter. The average size was
$10.8 million. Multifamily loans made up 29.6% of the first quarter transfers by outstanding
balance. Retail and office properties represented 24.1% and 16%, respectively.

Reuters (2009, May 3) Fannie Mae March portfolio shrank a bit, delinquencies up.
Available at
The multifamily delinquency rate also rose 0.05 percentage point to 0.32 percent in February. A
year earlier, it was 0.10 percent.

PBS, Nightly Business Report. (2009, Apr. 17). “Reviving the Economy: Real Estate – Renter’s
Available at
A woman and her family had to move out of a rental home after only six months because it was in
foreclosure. A quick relocation meant that the daughter had to change schools, and the previous
landlord has yet to return the security deposit.

ABC News. (2009, Mar. 29). “How 4 Families Try to Recover from Foreclosure.”
Available at
This article traces the recent history of four families who lost their homes to their respective
lenders. Several families became homeless as a result, spending time in shelters or motels until
more permanent housing could be found.

Muhammad, N.I. (2009, Mar. 26). “Foreclosure Crisis Hurts Renters too.” Final Call.
Available at

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This article highlights the plight of renters caught in the foreclosure crisis and briefly tells the
story of a tenant who received notice that her rental home was in foreclosure. She was able to
absorb the cost of moving quickly, which she felt she had to do because she could get no
information on the status of the property or when it was scheduled to go to auction. (2009, Mar. 16). “Corporate Meltdown Leaves Renters in Limbo.”
Available at
Because of financial problems at companies affiliated with the Bethany Holdings Group, which
owns a minimum of 60 large residential rental properties, thousands of renters may feel the
effects of the foreclosure crisis. Some corporate entities have filed for bankruptcy while others
are in receivership, which means that the court will appoint receivers to manage the properties.
Although receivers will maintain the properties, they are not responsible for returning security
deposits to renters. Indications are that many other large residential properties may be facing
similar circumstances.

Fireside, D. (2009, March/April). “Renters in the Crosshairs.” Dollars & Sense.
Available at
Referring to NLIHC’s estimate that 40% of foreclosure evictions are renters, the journalist
interviews a tenant organizer in Boston who has helped renters in this situation understand and
fight for their rights. A legal aid lawyer in New Haven instrumental in getting Fannie Mae and
Freddie Mac to recognize the rights of tenants hopes that private lenders will follow suit and
argues that occupied properties are better for all parties involved. (2009, Mar. 8). “Not Even Renters Safe from Foreclosure Storm.”
Available at
A family of four who were evicted from two foreclosed homes and ended up in a homeless
shelter is highlighted in this story. This piece also discusses the need for tenant protections and
the ability of the National Housing Trust Fund to produce additional affordable housing.

Freddie Mac. (2009, Mar. 5). “Freddie Mac Officially Launches REO Rental Initiative for
Tenants, Owner-Occupants after Foreclosure.” Press Release.
Available at
Freddie Mac announced its REO Rental Initiative, which will allow renters and former owners to
sign month-to-month leases to live in foreclosed properties while the units are being offered for
resale. HomeSteps will contract with national property management agencies to put the plan into
action, and rents will be based in prevailing market rents. Should the occupants decide to move,
Freddie Mac will continue to offer financial assistance with the relocation. The GSE’s
moratorium on evictions has been extended to April 1.

Been, V., & Glashausser, A. (2009). “Tenants: Innocent Victims of the Nation’s Foreclosure
Crisis.” The Worst of Times: Perspectives on and Solutions for the Subprime Mortgage Crisis.
Albany Government Law Review, Vol. II, Issue 1. Albany, NY: Albany Law School.
Available at
This article provides a very extensive overview of the way in which foreclosures affect renters. It
includes sections analyzing the scope of the problem, tenants’ rights, varying levels of state
protection, etc., and is an invaluable overview of the topic.

Yoon, A., & Rucker, P. (2009, Jan. 30). “Fannie, Freddie Expand Efforts to Curb Evictions.”
Available at

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Fannie Mae and Freddie Mac have extended their moratorium on evictions through February 28.
Freddie Mac will allow both owners and renters to lease their units, and Fannie Mae announced
that it will reveal a new “rent to own” program for owners facing foreclosure.

This story is also covered in the following media outlets:
Los Angeles Times -
Hartford Courant -,0,5440755.story

Armour, S. (2009, Jan. 29). “Freddie Mac to Let Residents Rent Homes after Foreclosure.” USA
Available at
Freddie Mac will unveil a new plan that allows former owners and renters of foreclosed to
continue living in the unit if they agree to pay market rents determined by local property
managers. Freddie Mac expects that roughly 8,600 families will take advantage of this new policy
to remain in their homes in 2009.

Joint Center for Housing Studies, Harvard University. (2009, January). Meeting Multifamily
Housing Finance Needs During and After the Credit Crisis: A Policy Brief. Cambridge, MA:
Available at
This report states that while the performance of multifamily loans has been much better than
single-family loans during the credit crisis, the tightening credit market has put multifamily rental
properties at risk. Many have 5-10 year balloon loans and rely on the ability to refinance these
loans to continue operations. Higher interest rates could lead to either higher rents or deferred
maintenance. The inability to support their debt could result in foreclosure.

Fannie Mae Corporation. (2009, Jan. 13). “Fannie Mae Announces National REO Rental Policy.”
Press Release.
Available at
In a press release, Fannie Mae announces that renters in single-family properties that it forecloses
on will be offered the opportunity to remain in the home by signing a month-to-month lease or
will be given financial assistance to relocate. Renters will be asked to pay market rent, and no
additional security deposit will be required. This applies to renters in one- to four-family units,
condos, manufactured housing, and co-ops.

This story is also covered in the following news outlets:
Reuters -

Gamboa, S. (2009, Jan. 8). “Nearly 10 Percent of Latinos Lag on Mortgages.” Associated Press.
Available at
A survey conducted by the Pew Hispanic Center finds that 5% of Hispanic renters resided in a
unit that was foreclosed on in 2008. Roughly half of all Hispanic households rent their homes.
The findings are based on a survey of 1,540 adults conducted in November 2008.

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Christie, L. (2009, Jan. 8). “Fannie and Freddie Give Borrowers More Time.” CNN
Available at
Fannie Mae and Freddie Mac have extended their moratorium on foreclosures to January 31.
During this time, it seems they will continue to allow renters to remain in foreclosed homes as
they more fully develop the details of the National REO Rental Policy that was enacted in

Gerardi, K.S., & Willen, P.S. (2008, Dec. 22). Subprime Mortgages, Foreclosures, and Urban
Neighborhoods. Boston, MA: Federal Reserve Bank of Boston.
Available at
In this study, the authors match sales and foreclosure transactions with loan information and
racial characteristics from Home Mortgage Disclosure Act data in Massachusetts. The authors
show that subprime lending did not increase minority homeownership as much as is commonly
believed. The study also delves into the foreclosure of multi-unit buildings, which are commonly
located in low-income, minority communities.

Mikelbank, B.A. (2008, November). Spatial Analysis of the Impact of Vacant, Abandoned and
Foreclosed Properties. Cleveland, OH: Federal Reserve Bank of Cleveland.
Available at
This study uses property-level data from Columbus, OH, to estimate the separate impacts of
foreclosures and vacant properties on the sales prices of nearby homes. The report finds that
foreclosures have a wider geographic impact, affecting property values as far away as 1,000 feet.
The report also finds that vacant/abandoned properties have a higher negative impact for
properties within 250 feet (-3.5%), but that their effect is not as far-reaching as is estimated for
foreclosures. Foreclosures are more widely distributed in Columbus, and given their wider
geographic impact, they therefore negatively affected more properties than did the abandoned
properties clustered in the city’s urban core. Being proximate to both a foreclosed home and an
abandoned one could reduce a home’s value by more than $8,600.

Duffield, B., & Lovell, P. (2008, December). The Economic Crisis Hits Home: The Unfolding
Increase in Child & Youth Homelessness. Washington, DC: National Association for the
Education of Homeless Children and Youth & First Focus.
Available at
This report documents the substantial increase in student homelessness in many school districts
across the country. The number of students reported as homeless in the first few months of the
2008-2009 school year already exceed last year’s totals for many districts. Of the 1,716 school
district homeless liaisons who responded to the survey, nearly 500 attributed increasing
homelessness to the foreclosure crisis, including the displacement of renter households.

U.S. Conference of Mayors. (2008, December). Hunger and Homelessness Survey: A Status
Report on Hunger and Homelessness in America’s Cities. Washington, DC: Author.
Available at
This report documents the increasing need for homelessness and emergency assistance services in
cities across the country. Twelve of 19 cities with relevant data (63%) reported that the
foreclosure crisis directly led to higher levels of homelessness this year, and the displacement of
renters in foreclosed homes was identified as the primary causal factor. The impact could not be

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quantified, however, because cities typically do not collect data on those who lose their home to
foreclosure and then seek homelessness services.

Duhigg, C. (2008, Dec. 14). “Fannie Mae Lets Renters Stay Despite Foreclosures.” The New York
Available at
In time for the end of its moratorium on foreclosure-related evictions ends on January 9, Fannie
Mae will reveal a program that will assist renters living in foreclosed homes that it owns. This
will be accomplished either by signing month-to-month leases with renters who want to stay or
providing cash assistance to help cover moving costs. At least 4,000 renters live in homes already
on Fannie Mae’s books and many more will benefit as foreclosures continue. Freddie Mac may
institute a similar program.

This story is also covered in the following news outlets:
Washington Post -
Associated Press -
The Hartford Courant -

Christie, L. (2008, Dec. 9). “Tenants Victimized by Foreclosures.”
Available at
Foreclosures on 2-4 unit buildings numbered 22,386 through October, a 150% increase over last
year, and Greater Boston Legal Services alone has represented tenants in 174 eviction cases to
date this year. Despite legislation to the contrary, a legal services attorney in Connecticut said that
Fannie Mae continues to evict renters in foreclosed buildings. A Fannie Mae spokesperson says
that it offers to provide “cash for keys” to renters but is also willing to help some avoid eviction.
In a few metro areas, the company is also testing the possibility of hiring companies to manage
properties that it owns while they’re on the market, thus allowing renters to stay in place.

Barkawitz, H. (2008, Oct. 17). “ECONOMY-US: No Joy in Hooverville.” Inter Press Service.
Available at
This article documents the increasing number of tent cities and attributes the rising homeless
population to foreclosures. Several residents of tent cities testify to the role that foreclosure
played in their pathway to homelessness.

Sargent Shriver National Center on Poverty Law. (2008, Oct. 2). “Helping Low-Income Tenants
Avoid Post-Foreclosure Evictions.” Available at
library/research-guides/foreclosure-webinar/foreclosure-webinar This webinar focuses on how
legal aid attorneys can help clients evicted from their rental homes due to foreclosure. The three
presenters discuss the rights of tenants and strategies for expanding and enforcing those rights,
and one section deals specifically with Section 8 tenants impacted by foreclosure. Downloadable
presentations are accompanied by pertinent litigation and materials to help educate clients.

Abramson, L. (2008, Sept. 30). “Amid Foreclosures, a Rise in Homeless Students.” NPR, All
Things Considered. Available at
A number of school districts are reporting an increase in their homeless student population of

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10%, and some report an increase as high as 40%. The McKinney Vento Homeless Assistance
Act protects the right of homeless students to stay in the school they attended before becoming
homeless, but not all schools are following the law.

Jowers, K. “New Law Helps Renters Forced Out by Foreclosure.” (2008, Aug. 17) Army Times.
Available at The recently
passed Housing and Economic Recovery Act of 2008 stipulates that the Pentagon will cover the
moving costs of active duty personnel who are displaced when their rental property goes through

**Singletary, M. “Color of Money Chat.” (2008, Aug. 14)
Available at w
dyn/content/discussion/2008/08/12/DI2008081201531.html To avoid renting from a landlord
who is delinquent on his/her mortgage payments and at risk of foreclosure, Singletary suggests
asking to see recent statements from the lender. In addition, a reader made the following
comment: “I work as a foreclosure paralegal and I see renters evicted all the time because the
owner has defaulted on the loan and the renters have no idea. I'm not sure if the owner would go
for this, but perhaps the owner would sign a waiver allowing the mortgage company to discuss
the account with you, that way you can check periodically to make sure the owner is current on

ElBoghdady, D., “Foreclosure Crisis Catching Renter Off Guard.” (2008, Aug. 8) The
Washington Post. Available at
dyn/content/article/2008/08/07/ AR2008080703574.html?hpid=topnews Several cities and states
around the country, as well as some members of Congress, are working to increase the amount of
time renters have to move out of a foreclosed property before the new owner can evict them. On
Monday, such protections will take effect in Baltimore just as the District of Columbia will soon
begin airing television ads to inform tenants of their rights.

Handelman, D., “Low Income Renters Feel Foreclosure Burn.” (2008, Jul. 3), Medill Reports,
Northwestern University. Available at
Finding other affordable places to live has become increasingly difficult for low income renters
who have had to move out of foreclosed properties. This situation could lead to rising levels of
homelessness. Renters can also be forced out of “foreclosed property at a faster pace than a
homeowner, who typically gets notice that a crisis is looming.” Low income tenants struggling to
find affordable housing options and pay for moving costs have been exacerbating the crisis.

**Armour, S., “Renters Join Ranks of Nation’s Homeless.” (2008, Jun. 26) USA Today.
Available at
Since the foreclosure crisis began in 2007, almost 61% of local and state homeless coalitions have
reported a rise in homelessness, according to a study released in April by the National Coalition
for the Homeless. The study also states that while the majority of displaced renters and
homeowners have moved in with friends and relatives or have moved into homeless shelters,
many are still on the streets. With shelters filling up, families struggle to find affordable housing.

United States Conference of Mayors, (Press Release) Vacant and Abandoned Properties (June 21,
Available at
In a recent survey, 71% of 42 participating mayors from across the U.S. stated that the stock of
vacant and abandoned properties has increased over the past year in their jurisdictions while also

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expecting the foreclosure problem to worsen in the near future. In terms of current local efforts to
address housing problems, 28% of responding mayors reported that such efforts have actually lost
ground since the beginning of the foreclosure crisis.

Drash, W., Gutierrez, T., “Rental Foreclosures Stun Tenants.” (2008, May 30) CNN. Available at cnn-reports/ According
to Realtytrac, 38% of the 720,000 homes—roughly 280,000—in foreclosure nationwide at the
end of April were not occupied by the owner, but were a collection of rental properties,
investment properties, and second homes. Several states in the Northeast have begun
implementing laws to protect renters from eviction if a landlord defaults on mortgage payments.

Joint Center for Housing Studies, Harvard University. America's Rental Housing: The Key to a
Balanced National Policy. (April 30, 2008).
Available at
With foreclosures affecting low-income and minority neighborhoods the strongest, the crisis is
also hitting the country’s most vulnerable renters in the same areas. Foreclosures have contributed
to an increase of more then 1 million rental households in 2007, more than four times the rate
from 2003 to 2006, and helped increase the average monthly rent in the U.S. to an all-time high
of $775. The study urges policymakers to “focus…energy on preserving the stock of subsidized
rental housing, limiting losses of privately owned, low-cost units, and eliminating land use
restrictions and other barriers that needlessly increase the cost of producing homes for sale as
well as for rent.”

Armour, S., “Renters Can’t Escape Housing Foreclosure Crisis.” (2008, Apr. 25) USA Today.
Available at
eviction_N.htm Average rent is projected to rise 5.3% in 2008, according to the National
Association of Realtors, up from 3.1% in 2007. Several factors have been contributing to the
increased demand in rental markets: renters are waiting for home prices to drop, renters are
finding it harder to buy, and high foreclosure rates have made many former homeowners enter
rental markets.

Hopkinds, C., “Foreclosure Moves Open Gray Area in Preemption.” (2008, Apr. 21) American
Banker. Available at
In response to weak and delayed federal action to slow the foreclosure crisis, local and state
legislation is now working to slow the process down. As of April 21, only MD had passed
legislation on foreclosure prevention, creating a five-month moratorium on foreclosures.
However, states such as CT and NJ are considering a six-month moratorium on foreclosures and
NY and MI are considering a yearlong moratorium.

Pew Charitable Trusts, Defaulting on a Dream: States Respond to America’s Foreclosure Crisis
(April 18, 2008).
Available at
Potential new owners of foreclosed nonowner-occupied property prefer it to be vacated so that
they can lease to new tenants.
“There are few protections for renters living in a property in foreclosure, and many are evicted on
short notice…. Lease-holding tenants in New Jersey, New Hampshire, Washington, D.C. and
Massachusetts cannot be evicted by new owners unless the tenants have failed to pay the rent or

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have violated any other important lease term or law. In August 2007, North Carolina enacted a
law increasing to 30 days the court notice given to tenants in properties containing 15 or more
rental units. Illinois recently passed a law extending the notice period for tenants in foreclosed
buildings to 120 days or the remainder of the lease, whichever is shorter.”

Erlenbusch, B., O’Connor, K., Downing, S., & Phillips, S.W. Foreclosure to Homelessness: The
Forgotten Victims of the Subprime Crisis (April 15, 2008). National Coalition for the Homeless.
Available at
More than 2 million foreclosures occurred in 2007, with more expected for 2008 and 2009. In a
nationwide survey of state and local homeless coalitions, almost 61% of all respondents had
observed an increase in homelessness since the foreclosure crisis began in 2007. More than 37%
stated that displaced people have been able to find rental housing, with the majority staying with
family and friends. Almost one quarter of respondents reported that there were no state or local
advocacy efforts to prevent foreclosures and evictions.

CBS Evening News. “Special Video Report: Renters in Foreclosure.” (Mar. 27, 2008).
Available at
Thirty-eight percent of foreclosure involved rental properties as of March 2008 for a total of
168,000 households nationwide. According to RealtyTrac, states such as Illinois, New York, and
Nevada have witnessed foreclosures on rental properties comprising more than 47% of all state

Lane, S., “Foreclosure Fallout: Renters Forced Out of Lost Homes.” (2007, Nov. 30) CNN.
Available at In most states,
when a bank forecloses a property on a landlord, the tenants have no guarantee that they will be
able to stay in the property. Further compounding the problem, neither the landlord nor the bank
is required to notify the tenant of the foreclosure. The renters usually learn of the foreclosure only
a couple days before being legally obligated to vacate the property.

Leland, J., “As Owners Feel Mortgage Pain, So Do Renters.” (2007, Nov. 18) The New York
Times. Available at
A Mortgage Bankers Association survey from 2007 found that one in seven foreclosures in the
U.S. involved non-owner-occupied households. However, MBA also states that this figure is
probably an underestimate because buildings can receive tax benefits if registered as owner-
occupied. States such as Arizona, California, Florida, and Nevada have foreclosure rates on rental
units well above the national average.

Back to Top

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Brodesky, Josh. (2009, Oct 5). “2 condominium conversions go into foreclosure.” Arizona Daily
Star. Available at:
Two condo-conversion projects on Tucson's northwest and east sides have gone into foreclosure,
with the developer defaulting on a $47 million loan. The two projects were originally purchased
in order to be turned into condos, but the plan was halted when the economic downturn began.
The buildings are now split between renters and owners.

Vandehei, Frankie. (2009, Aug 20). “New Federal Law Protects Renters from Eviction After
Property Foreclosure.” eMediaWire. Available at:
The Helping Families Save Their Homes Act of 2009 requires landowners in foreclosure to give
their tenants 90 days notice before the property is foreclosed upon. That is how long Arizona
law requires homeowner’s to have before their property is sold. This helps tenants feel more
secure in their housing situation, and rewards them for paying their rent with peace of mind,
rather than punishes them with an insecure situation.

Dillingham, J. (2009, 20 July). “Renters in good standing victims of foreclosure.” KTVK 3TV
Phoenix. Available at:
A Valley apartment complex was seized by the bank in a foreclosure that caught tenants by
surprise. Now they are left wondering if and when they will have to move and who is in charge.
Tenants current on rent have still become victims in the foreclosure crisis. Meanwhile the
complex is in a transition phase. The new managers are not in place and conditions are
deteriorating fast at the Villa Serena Apartments

Cohn, A. (2009, May 1) Chandler to purchase foreclosed homes. East Valley Tribune.
Available at
This month, the City Council ratified an agreement with NewTown to form a land trust wherein
the city would buy up to 17 foreclosed homes using $2.4 million in funding from the U.S.
Department of Housing and Urban Development for "neighborhood stabilization."…Having
investors buy foreclosed homes to rent to tenants would arrest that decay, she said. But renters
often don't keep up their homes or feel as invested ...

Leung, L. and Chan C. (2009, May 1) Foreclosures catch renters off guard; group touts tenants'
rights. The Arizona Republic
Available at
"A thousand [calls from tenats in foreclosure] is probably putting it conservatively," association
President Ken Volk said of the call volume. "By and large we tell them they don't have any rights
really. If the landlord no longer owns the property they might not have the right to take any

KVOA4, NBC, Tucson, AZ. (2009, Apr. 17). “Renters Caught in Foreclosures.”
Available at
A family in Tucson was given very little time to leave their foreclosed rental unit after finding out
it was in foreclosure. The woman is receiving physical therapy, and her husband was recently laid

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off. The family, including five children, did receive their security deposit from the property
management company, but the company is withholding two months of rent paid in advance.

Reagor, C. (2009, Apr. 8). “Phoenix Firm Helps Renters Avoid Homes in Foreclosure.” The
Arizona Republic.
Available at
A company that helps renters identify if prospective rental homes are in foreclosure cites the
following statistics: 4,082 single-family and condominium rentals are currently in foreclosure in
Maricopa County, and 5,659 rentals were foreclosed on in 2008.

KTVK3, Phoenix, AZ. (2009, Mar. 15). “Renter Shoots Locksmith Changing Lockson
Foreclosed Home.”
Available at
A tenant of a foreclosed home in Phoenix allegedly shot a man sent by the foreclosing lender to
change the locks on his rental home. An employee of Arizona Tenants Advocates reports that
more than a dozen tenants facing a foreclosure-related eviction call his office for help every day.

KSAZ10, FOX, Phoenix, AZ. (2009, Mar. 8). “Renters Upset by Possible Foreclosure.”
Available at
The Bethany Group is facing foreclosure on the 13 properties it owns in the Phoenix area, which
could affect as many as 5,000 families. A judge has appointed a new management company to
oversee at least one complex during the foreclosure proceedings, and this company has indicated
that utilities will not be turned off, despite warnings to the contrary.

Bechman, A. (2009, Mar. 7). “Bison Cove Condo Project Facing Threat of Foreclosure.” Payson
Available at
A 30-unit condo complex in Payson, AZ, is facing foreclosure. Only six units were sold in two
years, so the developer has been unable to make payments to the lender. Eleven units are
currently occupied by renters, and the developer is unsure what will happen to them, despite the
fact that they’ve signed one-year leases.

Opinions. (2009, Feb. 19). “Foreclosure Alert Vital for Tenants.” The Arizona Republic.
Available at
In advocating for a proposed Arizona bill that would give tenants of foreclosed properties 30 days
notice before the sale of the property, the editorial staff describe two renters who were displaced
that would have benefited from such a law.

Falkenhagen, S. (2009, Feb. 15). “Bill Would Require Landlords to Alert Renters to
Foreclosures.” Tucson Citizen.
Available at
A family was given two weeks to vacate their rental home after it was foreclosed on. Scrambling
to find somewhere else to live, they now have a rent payment that is $250 higher per month. A
consumer group says that they are hearing from many renters in the same situation, and often
security deposits are not returned.

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KTVK3, Phoenix, AZ. (2009, Feb. 16). “Renters also Becoming Increasing Victims of
Available at
A family who moved to Phoenix for work is being evicted from their rental home and will end
either living in their car or in a hotel. The family has since learned that the home was in
foreclosure when they signed the lease last fall.

Fischer, H. (2009, Feb. 13). “Foreclosure Bill Would Protect Renters.” Capitol Media Services.
Available at
A state senator in Arizona reports that renters being displaced by foreclosure are calling or
visiting her office in very high numbers. She’s proposing a bill that would require owners to tell
their tenants that the unit is being foreclosed on in order to prevent their displacement with such
short notice. One tenant was displaced before Thanksgiving and given only five days to find a
new home.

KPHO5, CBS, Phoenix, AZ. (2009, Jan. 16). “Bill Pushed to Warn Renters of Foreclosure.”
Available at
Roughly 20,000 of the 57,000 foreclosures in Maricopa County, AZ, in 2008 were on rental
properties. This story focuses on the disruption that one family experienced after being evicted
from a foreclosed rental unit and states that the family incurred about $3500 in costs associated
with the eviction. Arizona state senators are introducing bills to give tenants more rights in cases
like this one.

Sunnucks, M. (2009, Jan. 13). “Foreclosures Take Toll on Renters.” Phoenix Business Journal.
Available at
A renter in Phoenix has been displaced from two homes when his landlords lost the properties to
foreclosure. This is described as “not uncommon” in Phoenix, and renters rarely take their
landlords to court because the amount they could win is often smaller than the legal fees they
would incur.

Wiles, R. (2009, Jan. 11). “Foreclosure a Worry for Renters, Too.” The Arizona Republic.
Available at
This article describes the risks that the foreclosure crisis poses to renters, including eviction, the
loss of first and last month’s rent, and security deposit. In Arizona, investor-owned property is
particularly prone to foreclosure, and one broker has worked with 10 speculator-owners who have
lost their homes. The estimate from the Mortgage Bankers Association that 22% of foreclosures
in the state are not owner-occupied is likely low because owners could not be contacted in one-
quarter of the cases.

Anderson, J.C. (2008, Dec. 27). “Demand for Assistance Soars as Foreclosures, Layoffs Take
Toll.” The Arizona Republic.
Available at
The request for housing services has increased by 400% in recent months in Phoenix according to
one provider. Both owners and renters are becoming homeless because of foreclosure, and
families are requesting emergency assistance to cover rent payments and prevent homelessness.

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KPHO5, CBS, Phoenix, AZ. (2008, Dec. 23). “Renters Victims of Foreclosure, Too.”
Available at
Roughly 20,000 of the 57,000 foreclosures in Maricopa County in 2008 were rental properties.
One family displaced from their rental home estimates that the resulting moving costs totaled

Buchholz, J. (2008, Sept. 30). “Despite Home Foreclosures, Apartment Building Sales are in the
Tank.” Phoenix Business Journal. Available at
Rising foreclosures are not translating into profits in Phoenix’s multifamily market. With 8,500
private homes and 22,000 multifamily units currently for rent, vacancy rates have increased to
12%. Those losing their homes to foreclosure may be renting from private owners or doubling-up
with friends or relatives. The effect of rising foreclosures on low-cost units is unclear, but Class B
and C apartments are experiencing higher vacancies as a result of the Legal Arizona Workers Act
that has reduced employment opportunities for illegal immigrants.

Bui, L. (2008, Sept. 21). “Foreclosure Chaos Touches Renters, Too.” The Arizona Republic.
Available at
One in eight foreclosure auctions scheduled for properties in Maricopa County in November are
registered as rental, and the actual number is likely far higher because owners get tax breaks for
reporting that they live in properties that they intend to rent. As many as 30 renters contact
Arizona’s tenant advocate association each week because they are at risk of being displaced by

Lombardo, T. (2008, Sept. 9). “Surprise Foreclosure Panel to Release Its Report.” The Arizona
Republic. Available at
In response to 920 foreclosures in the first half of 2008, a panel created by the Surprise City
Council recommended several measures to help deal with the crisis in this Arizona city. In
addition to tougher code enforcement and the formation of a committee of homeowners’
association presidents, the panel recommended passing a law that would give landlords the right
to evict tenants if they’re involved in a crime. The panel’s reasoning is that homeowners
desperate to keep their homes and in need of income decide to rent their homes, and they should
have the ability to evict “undesirable” tenants. However, weakening leases and tenant rights now
only makes renters more vulnerable during a time when many are already being displaced as
properties change ownership following an eviction.

KPNX 12 News, NBC, Phoenix. “Foreclosures Leased to Unknowing Families.” (2008, Aug. 16).
Available at
This piece tells the story of one family who rented a home from a landlord who had already lost
the property to foreclosure. Tenants are told to look for warning signs, such as landlords who ask
for cash only, who do not have an office, and who do not require a rental agreement. Tenants are
also advised to check the county assessor’s website to verify property ownership and to check for
foreclosure notices on the county recorder’s website before renting a unit.

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Eagleburger, A., “(Cheap) Available Apartments.” (2008, Aug. 12) The Arizona Republic.
Available at
Although rents in 2008 are much higher in many large metropolitan areas than they were last
year, overall rents in Phoenix are 9.3% lower. Home values are being suppressed by a flood of
bank-owned properties on the market, and rather than selling for a loss, owners are opting to rent
their homes. Surpluses of single-family rental units and units originally developed as
condominiums have led to high rental vacancy rates and lower overall rents, although it is unclear
what effect, if any, this is having on the affordability of low-cost units.

Calamaio, C., “Foreclosures hurting renters, too.” (2008, Jul. 2) Tucson Citizen.
Available at
In the first quarter of 2008, there were 1,958 foreclosures in Pima County, AZ with many
affecting renters. That’s an increase of 118% from the same quarter in 2007, according to
findings in a study by the Southwest Fair Housing Council. Currently, AZ tenants have no legal
protection against evictions after a back forecloses on the landlord. The Southwest Fair Housing
Council plans to research the impacts foreclosures have had on renters in Pima County to provide
information to the City Council by the end of August.

Back to Top


KARK 4 News. (2009, Aug 21). “Help for Renters Living in Foreclosed Properties.” Available
Arkansas Attorney General Dustin McDaniel is alerting those who live in Arkansas about the ne
helping Families Save Their Homes Act of 2009 which requires landlords to give tenants who are
current on their rent 90 days notice before evicting them once their property is in foreclosure.

Back to Top


Tehachapi News. (2009, Dec 28). “Housing dilemma for family of six.” The Bakersfield
Californian. Available at:
Jennifer Scott understands that a single parent with five young children and credit she says is “in
shambles” is not a landlord's dream, but she's hoping for a housing miracle in Tehachapi. She
hopes that her small -- nonetheless regular -- income and good rental payment history will appeal
to a new landlord who will accept her family. Jennifer and her children live in a triplex in Golden
Hills that is in foreclosure. It is scheduled to be auctioned Jan. 5 in Bakersfield. Neither she, nor
the property manager know what is going on and neither can get in touch with the property

Selna, Robert. (2009, Dec 24). “Are a flood of commercial real estate loan defaults coming?”
ScrippsNews. Available at:
Optimism about a national economic recovery, fueled by rising stock prices and an improved
residential real estate market, is tempered by the widespread belief that a raft of commercial real
estate loan defaults is just around the corner. Fears of a commercial real estate mortgage
meltdown are bolstered by persistent unemployment, which has led to office and retail vacancies,
rising commercial loan default rates and hundreds of bank failures.

** Link to article is no longer available.                                                  16 (2009, Dec 18). “Foreclosures Forcing Out More Renters: Orangevale Tenant Says
He Wasn't Told Of Situation.” Available at:
A new report shows that about 1.7 million homeowners were on the verge of foreclosure this
autumn. The fallout from the crisis is affecting people who don't even own homes, as more
renters are facing foreclosure evictions. Many people are getting evicted from their homes
because they don’t know their rights as renters.

Treves, Gabe. (2009, Dec 17). “Hayward Tenants Fight off Bank Eviction after Foreclosure.”
News Blaze. Available at:
Tenants renting a home in Hayward, CA, successfully defended themselves against an illegal
eviction lawsuit brought by HSBC Bank. The tenants prevailed in the lawsuit this week and will
be able to stay in their homes indefinitely. Under Hayward's just cause for eviction law, blatantly
violated by HSBC, a landlord must have a specified reason to evict a tenant, and foreclosure is
not recognized as a legitimate basis for evicting a tenant.

Upton, John. (2009, Dec 13). “Newsom plans foreclosure eviction bill.” The San Francisco
Examiner. Available at:
After stating that he will veto an eviction-protection plan for renters living in buildings built after
June 1979, Mayor Gavin Newsom announced that he will introduce legislation to protect tenants
from evictions following foreclosure proceedings. The reason for vetoing the current bill,
Newsom said, is that it goes too far, taking away rights from landlords. This bill will specifically
be written for those tenants facing foreclosure.

Gordon, Rachel. (2009, Dec 10). “New life may be breathed into eviction-protection plan.” San
Francisco Chronicle. Available at:
After failing to secure a veto-proof majority vote at the Board of Supervisors to extend eviction
protections in San Francisco, tenant advocates are contemplating a pared-back version of their
proposal that could nail down the one extra vote they need. Supervisor Bevan Dufty, the swing
vote who opposed the legislation, said he would have been in the 'yes'' column if the protections
for tenants living in post-1979 rentals only would kick in when an eviction was driven by
foreclosure, that is, when a bank takes possession of a property and wants to empty the place.

Gordon, Rachel. (2009, Dec 9). “S.F. tenants’ victory likely to be short-lived.” San Francisco
Chronicle. Available at:
Tenant advocates got a win at the San Francisco Board of Supervisors Tuesday with initial
approval of a plan to extend eviction protections to rental housing built within the past 30 years -
but the victory is expected to be short-lived. Mayor Gavin Newsom plans to veto the legislation,
according to spokesman Joe Arellano, and the board, which voted 7-4, was one vote shy of
securing a veto-proof majority. The board will give final consideration next week, but Supervisor
Bevan Dufty, considered the swing vote, said he plans to remain opposed.

Frost, Liam. (2009, Dec 2). “Board to vote on bringing ‘Just Cause’ to All SF Renters.” Available at:
On December 7th, the Board of Supervisors’ Land Use Committee will vote on John Avalos’s
ordinance to extend “just cause” evictions to all rental units. While many are not aware, eviction
protections in San Francisco only apply to buildings built before 1979. This means tenants in 16-
23,000 units are arbitrarily unprotected. The common sense ordinance would bring fairness to

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San Francisco’s landlord/ tenant law, something that is becoming all the more crucial during
these difficult economic times.

Weis, Sara. (2009, Nov 15). “Renters Often Unlikely Victims of Foreclosure.” The Earth Times.
Available at:
When the foreclosure crisis first hit the U.S., many individuals and families living in rental
housing were evicted without notice after the property they called home entered foreclosure.
Often those tenants, who had been paying their rent on time, had no idea the property was in
delinquency or facing foreclosure until they received notice to evict. Now people are paying
attention and discussing how to help these tenants. Specifically, a penal at REALTORS®
Conference & Expo discussed the impact, liability and ethical issues of foreclosure on single-
family and multifamily rental housing to the property owners, managers and tenants.

Gumz, Jondi. (2009, Nov 12). “Bad timing in Santa Cruz: Builder, lender, tenants hurt after
property values fall.” Santa Cruz Sentinel. Available at:
In 2005, when the Doyle Street project was on the drawing board, the housing market was hot. A
3-bedroom 2 1/2-bath townhome might have fetched $700,000 then but now asking prices for two
of the units are $430,000 and $450,000. The downturn has created upheaval for everyone
involved in the Doyle Street project, from the developers to the tenants, the lenders and the
trades-people who worked on the project.

Porter, Jim. (2009, Oct 29). “Protecting tenants after foreclosure.” Sierra Sun. Available at:
In the current economic crisis, it is becoming clear that homeowners are not the only ones
suffering from foreclosure. Tenants have been victims as well. All too often tenants were caught
unaware that the home they were living in was being foreclosed on and were given little or no
notice of the need to vacate. The Protecting Tenants at Foreclosure Act ensures that tenants
receive notice of the foreclosure so they are not abruptly displaced.

The Bakersfield California. (2009, Oct. 21). “Worth Noting in business: New location for Tri
Counties Bank; apartment rent update; and more.” Available at:
Tenants Together, a renter's rights group that advocates for tenants whose landlords are in
foreclosure, has hired Gabe Treves as the new full-time program coordinator for its tenant
foreclosure hotline and added seven new trained volunteer counselors. Renters who face eviction
even though they have consistently paid their rent on time can call (888) 495-8020.

McMillan, Rob. (2009, Sept 28). “Hemet residents in foreclosure limbo.” KABC News.
Available at:
A Hemet neighborhood with a history of financial woes is in even more trouble recently. Almost
every apartment unit on the 500 block of Mobley Lane has gone into foreclosure. And residents
say they're being told to leave, even if they've paid their rent. Additionally, some residents have
not been told anything about what is going on.

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American Chronicle. (2009, Sept 28). “New Law Protects Renters from Eviction by Banks.”
American Chronicle. Available at:
A new Just Cause Eviction Law was recently put into effect in the city of Ridgecrest. The new
law, passed by the City council, states the just reasons for renters to be asked to leave their
residences; this list did not include foreclosure. Banks, therefore, must allow tenants to continue
to live in foreclosed properties, as long as they continue to pay rent, until the property is sold to
another owner. This Law joins other California laws in Richmond and Maywood. "Other
California cities should take note: this is a cost-free way for local governments to protect tenants
and the entire community from irresponsible and harmful conduct by banks." said Tenants
Together Executive Director Dean Preston. Tenants Together is an organization who advises
tenants of their rights, and helped to organize renters in the Ridgecrest area to push City Council
to pass this law.

Stafford, Sabra. (2009, Sept 25). “Foreclosure Victims: new federal law protects renters.” The
Trulock Journal. Available at:
The Lightners were set to live in their dream house for at least the next three years. That is until
the delinquency notices started coming from the lender on their house. Just one month later the
family was packing up and moving to another area. The Lightners are not the only renters this is
happening to, in fact 40% of those losing their homes to foreclosure are renters. That is why, in
May, Congress passed and the President signed, the “Protecting Tenants in Foreclosure Act”
which gives renters 90 days to move out of their homes after receiving notice of foreclosure. This
federal law preempts California’s law, which states that renters have only 60 days to move.

KFSN-TV/DT. (2009, Sept 25). “Valley Renters Foreclosure Trouble.” ABC News. Available at:
Michele Embry, who is unemployed and suffering from a neck injury, is a renter facing
foreclosure. And she is not the only one, Tenants Together, an organization based out of san
Francisco has seen this a lot. Their advice? Be prepared and know your rights. Don Scordino of
Reality Concepts says that if your landlord is in foreclosure you have three options: live out the
terms of your lease, leave in 90 days or participate in a “Cash for Keys” program.

Gibbons, Valerie. (2009, Sept 22). “Foreclosure fallout: Visalia tenant unaware of landlord’s
financial status.” Visalia Times-Delta. Available at:
After a tornado destroyed Tracy Wood’s Kansas City home, she moved in with family in Visalia.
After working part-time jobs, she and a friend finally earned enough to rent a 2-bedroom
apartment. A few months after she moved in the foreclosure notices started to come. When they
couldn’t get into contact with the landlord, her roommate moved out, and when the landlord did
finally return the calls, he said everything was fine. Mid-September, Ms. Wood received a
notice: she owed $800 in water bills that he landlord had not paid. If the bills are not paid the
water will be shut off, if the water is shut off she and her 4-year-old son will become homeless.

Sanders, Vickie. (2009, Sept 18). “Action Line: What if I think my landlord is going into
foreclosure?” The Bakersfield Californian. Available at:
What if you think the property you’re renting is going into foreclosure? First of all, be aware of
the signs: when normal maintenance and services included in your rent change without notice
you should be concerned. Keep proper records of your rent in case the property is foreclosed on
and the bank wants to make sure you’ve been paying. Also, know your rights. If you have a

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lease, you are protected under the “Protecting Tenants at Foreclosure Act of 2009”, which gives
you the right to at least 90 notice before moving out. Also, if you have a good relationship with
your landlord you might want to ask him or her if there is the possibility of foreclosure in the

Edelhart, Courtenay. (2009, Aug 25). “Ridgecrest ordinance to help renters in foreclosed
property.” The Bakersfield Californian. Available at:
Ridgecrest of Kern County became the first in its county to pass a “Just Cause Ordinance” that
will protect renters who are up-to-date on their rent. The ordinance, which will be in effect on
September 19 and last for one year, sets conditions that must be met before landlords can
foreclose on renters. These conditions include the renter breeching their lease in some way, or
the new landlord helping to pay relocation fees.

Park, C. (2009, 22 July). “Hidden Victims of the Foreclosure Crisis.” KFSN-TV Fresno.
Available at:
Hundreds of Valley families are paying their rent on time, and still getting evicted. It's all due to a
foreclosure crisis they say they did nothing to create. The renter's rights group: "Tenants
Together" estimates in 2008 more than 225,000 California renters lived in properties that went
through foreclosure.

Koskey, A. (2009, 16 July). “Many on ‘verge of homelessness’.” San Francisco Examiner.
Available at:
A tally of homeless people done in San Mateo County at the start of this year showed a drop in
their overall numbers but advocates say the economic downturn is pushing more people out of
their homes for the first time in their lives. “Many of these people are on the verge of
homelessness, through no fault of their own,” according to Jenny Luciano, development director
with Shelter Network. Luciano said the network is seeing an increased number of families who
already have employment, but have lost the homes they were renting because the landlord was
foreclosed on.

Preston, D. & Kinlaw S. (2009, 15 July). “Tenants are the forgotten victims of foreclosure crisis.”
Los Angeles Daily News. Available at:
LISET Herrera and her three children are being evicted from their San Fernando Valley home of
10 years and have no place to go. Herrera and the other tenants were told to withhold their rent
payments until the new landlord sent them new leases. The leases never came, but the eviction
notice did. According to a report from Tenants Together, more than a third of those impacted by
foreclosure in California are tenants.

San Francisco Business Times. (2009, July 2). “Oakland settles with Chase over foreclosure
evictions.” Available at:
The City of Oakland said Thursday that it reached a settlement with J.P. Morgan Chase over
foreclosure evictions that violated city law. The city said tenants in foreclosed homes and
apartments provided numerous examples of improper eviction notices they had received.
Oakland’s so-called “Just Cause” ordinance allows landlords to evict tenants for specific reasons
such as failing to pay rent or damaging property. However, foreclosure is not a “just cause” for

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eviction under the city’s law. Chase agreed to a settlement that includes a $35,000 payment to the

Newswire Services. (2009, June 25). “California homeowners and renters fall through the
cracks.” American Chronicle. Available at:
The report "The Ongoing Chasm Between Words and Deeds V," is part of a two-year series of
survey reports providing snapshots of whether mortgage loan servicing companies are living up
to their public commitments to help borrowers avoid foreclosure. The survey found the evictions
of innocent tenants are growing, often carried out by large national banks in their role as trustees
on pools of mortgage loans.

Johnson, J. (2009, June 23). “71% spike in number of homeless in Monterey County.” Monterey
Herald. Available at:
A floundering economy has helped drive a 71 percent increase in the numbers of homeless people
in Monterey County over the past two years, according to the 2009 Homeless Census and Survey.
While local homeless service providers expect the numbers to continue rising, county officials are
considering an innovative program aimed at helping the poorest residents avoid homelessness due
to the economy or increased county substandard housing code enforcement efforts.

Clore, K. (2009, June 15). “Monterey County's homeless students face reality outside classroom.”
Monterey Herald. Available at:
It is graduation weekend and Esther Bueno, 36, and her four children have a lot to celebrate. Her
son, Rudy Trevino, 18, has graduated from Salinas Adult School. Bueno's children were among
381 homeless students enrolled in the Monterey Peninsula Unified School District during the
2008-09 school year. The family has been moving around Marina since February, when they had
to leave their rented house on Flower Circle after the owners lost it to foreclosure. Their lodgings
since then have included a room rented in a single-family home with 13 occupants and an
unfurnished garage.

Bartholomew, D. (2009, June 12). “Told not to pay, North Hollywood tenants still getting
evicted.” Los Angeles Daily News. Available at:
When Liset Herrera's apartment building was foreclosed upon, she said the bank instructed her
not to pay rent until a new contract was sent. Six months later, the bank is evicting every family
in her fourplex for failure to pay back rent after never mailing out its contract.

This story is also covered by: San Fernando Valley Sun -

Coit, M. (2009, June 7). “Landlord's troubles a housing bust bellwether.” Santa Rosa Press
Democrat. Available at:
San Francisco real estate investor Rutsutee Vairojananunt bought five residential and commercial
properties in Sonoma County between 2002 and 2004 as the housing market was soaring to
unprecedented highs. Now her investments are crashing down around her, giving her tenants an
uncomfortably close view of the foreclosure crisis.

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KSEE 24 (May 6, 2009) EXCLUSIVE: “Real estate scheme could leave renters homeless.”
Available at
But, renters of units at Stonemark Homes say they need answers. Baron Woodman who lives in a
unit listed in pre-foreclosure said, “I'm upset just like anyone else here. We don’t know where our
money is going and it’s unfair to the people that pay rent here,”

Berkman, L. (2009, Apr. 19). “Inland Residents Find Ways to Cope after Foreclosure.” The Press
Available at
A pregnant single-mother of three was evicted from a foreclosed rental home with very little
notice. Unable to find another affordable apartment, she and her family lived in various shelters
until the Salvation Army helped her find a new home and assisted her with associated expenses.

Weisberg, L., & Freeman, M. (2009, Apr. 15). “Renters Become Unwitting Victims in
Condominium Mortgage Scheme.” San Diego Union Tribune.
Available at
Renters in close to 80 condominium units in three San Diego developments may face eviction. An
individual lined up investors as “straw buyers” to purchase the apartments-turned-condos several
years ago with the promise to transfer them out of their names and pay them a fee. It seems that
they investors still own the units, the mortgages have not been paid, and renters are facing

Wyann, D. (2009, Apr. 7). “Manteca’s Homeless: Full-Time Workers.” The Manteca Bulletin.
Available at
Renters being evicted from foreclosed units is the leading cause of homelessness in Manteca, CA,
according to this article. Low-wage workers do not have the savings to afford the security deposit
on a new rental, particularly given the short notice that many have before being evicted.

Levy, A., & Levy, D. (2009, Apr. 6). “California Foreclosures Jeopardize Renters as Banks Seize
Available at
A family with a Section 8 voucher was evicted from their home in San Diego County with only
11 days notice because they did not receive a foreclosure notice sent to the owner several months
before the eviction. Highlighting that leaving tenants in foreclosed properties helps maintain the
properties, the authors also note that if the banks collected rent on the 81,500 rental units that
were foreclosed in California last year, they could have received over $1 billion in revenue.

Carnivele, G. (2009, Apr. 3). “Renters Out When Homes Foreclose.” Sonoma Valley Sun.
Available at
In this article discussing the rights of renters facing foreclosure in California, the story of a
woman facing eviction from a second foreclosed home is told. The woman is now doubled-up
with friends and desperately trying to find an affordable home that accepts pets.

KPIX5, CBS, Oakland, CA. (2009, Apr. 1). “New Service Alerts Renters of Foreclosure.”
Available at
A renter in a multifamily building in Oakland is looking for a new place to live after the owner
lost it to the lender. For a $25 annual fee, is now offering to alert renters when

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their home goes into foreclosure and allow them to search a database of foreclosure listings as
they look for a new place to live.

Tenants Together. (2009, Mar.) Hidden Impact: California Renters in the Foreclosure Crisis. San
Francisco, CA: Author.
Available at
This report estimates that at least 33% of foreclosed units affected by foreclosure in California in
2008 were renter-occupied, impacting as many as 225,000 renters. Based on a comparison of
callers to a tenant hotline and the data on which this estimate relies, this likely underestimates the
actual share of renter units: The addresses for more than half of the renters facing foreclosure
were listed as owner-occupied in the underlying dataset. The report also gives a very
comprehensive overview of the hardships that renters in this situation face and proposes policy
solutions to ameliorate these negative effects.

Finnegan, M. (2009, Mar. 29). “California Attorney General Promises to Tackle Homeowner
Scams.” Los Angeles Times.
Available at,0,4948524.story
Testimony from the city’s housing department at a hearing in Los Angeles indicates that 6,500 of
the 21,000 foreclosures over the last two years were on multifamily buildings, representing 31%
of all foreclosure activity and likely a much larger share of the total number of units in

Phelps, R. (2009, Mar. 20). “Fairgrounds May Be Used to Aid Homeless.” Amador Ledger-
Available at
A housing director for a community action agency in Jackson, CA, reports that former renters are
seeking assistance at an emergency shelter after their rental homes are foreclosed on. County
commissioners are considering using the fairgrounds to meet the demand for emergency shelter

Dunlap, K. (2009, Mar. 20). “Alameda County Receives $30M to Combat Homelessness.”
Oakland Tribune.
Available at
A Bay Area woman who became homeless after her rental home was foreclosed on is told in this
story. She has stayed in three different shelters since losing her home.

Associated Press. (2009, Mar. 18). “Foreclosures Force Renting Families into Street.”
Available at
Illustrating the point with the stories of several affected families, this article discusses the
significant impact that foreclosures in Los Angeles are having on renters and the rental stock. The
number of apartments foreclosed on in the city increased from 1,690 in 2007 to 4,789 in 2008,
and many are located in low-income parts of L.A. Almost all of the apartments are rent
controlled, and many of the tenants are turning to social service agencies and shelters because
they cannot afford a new security deposit or the cost of relocation.

** Link to article is no longer available.                                                   23
KGO-TV7, ABC, San Francisco, CA. (2009, Mar. 12). “Banks Accused of Violating Renters’
Available at
Oakland’s city attorney has filed lawsuits against five banks for violating the city’s “just cause”
law by attempting to evict renters after a foreclosure. Despite tenant protections, the banks are
sending eviction notices to renters in foreclosed properties. The city has also filed complaints
against local real estate brokers for doing the same. The lawsuits seek financial compensation for
those illegally evicted.

Blitzer, C., & Ullman, D. (2009, Mar. 6). “Cold Hands, Warm Hearts.” Palo Alto Online.
Available at
A program manager for a nonprofit in San Mateo County says that she knows of 43 families who
found themselves homeless after losing their home to the bank in the last six months.

Press Release. (2009, Feb. 24). “Foreclosure Hotline Offered for Tenants.” Rocklin & Roseville
Available at
Tenants Together, a tenant group in California, has started a hotline for renters to call when their
rental goes into foreclosure. The hotline is intended to make tenants aware of their rights and
make sure owners are following the law. The press release states that 25% of foreclosures in
California in 2008 were renter occupied, which includes more than 9,000 multi-unit properties.

Cote, J. (2009, Feb. 23). “Foreclosures Hit City, Renters.” The San Francisco Chronicle.
Available at
In addition to recounting the stories of utilities being disconnected and invalid eviction notices
that have been mailed to renters in San Francisco, this article mentions that a large multifamily
property owner “deeded back to the bank” 51 properties with 1400 units in order to avoid

Ochi, N.G., & Willis, L.E. (2009, Feb. 23). “Bailout Should Also Help Renters.” The San
Francisco Chronicle.
Available at
This editorial tells the story of a family in San Francisco who had to find a new place to live after
their rental went into foreclosure. (The same family was highlighted in the paper’s Nov. 27
article.) The authors draw attention to the fact that many evicted renters do not have their security
deposit returned and suggest the imposition of what they call a “tenant’s lien” on foreclosed
properties. This proposed lien would ensure that tenants received their deposits back upon the
sale of the foreclosed home.

Knight, H. (2009, Feb. 20). “S.F. to Get $19.8 Million Aid to Homeless.” San Francisco
Available at
The policy director for homelessness in San Francisco reports an increase in the number of
homeless families and cites the eviction of renters from foreclosed properties as a leading cause.

** Link to article is no longer available.                                                   24
Smith, K. (2009, Feb. 18). “Foreclosure Problems Impacting Renters.” Pasadena Star-News.
Available at
A family in Monrovia, CA, has been evicted from one rental home and, based on recent
registered mail, expected to be evicted from a second. A representative for a housing information
and consulting company says that these cases are “becoming increasingly common.”

White, L.P. (2009, Feb. 13). “Renters, too, Feeling Effects of Foreclosure Crisis.” Contra Costa
Available at
A Section 8 voucher holder in Pittsburg, CA, has been evicted from two foreclosed homes in less
than two years. Housing Rights, Inc., reports that calls from renters in foreclosed properties has
tripled. The City of Fairfield is offering some renters in this situation with a $3,000 grant if they
move to another rental in the city.

Figueroa, T. (2009, Feb. 7). “With Evictions on the Rise, Deputies Make the Rounds to Clear
Residents Out of Homes. North County Times.
Available at
This article follows two sheriff’s deputies in San Diego as they execute post-foreclosure eviction
orders. The stories of both owners and renters being evicted are told, and one story in particular
tells of a pregnant woman with no where to go and no car for transportation.

Burt, C. (2009, Feb. 5). “Couple Staves off Eviction While Trying to Buy Foreclosed Home.”
Oakland Tribune.
Available at
This article tells the story of a renter household trying to prevent being evicted from a foreclosed
home as it works out a deal to purchase the property. Even working with legal aid and ACORN,
the process has been arduous and is still unsettled, and the stress landed one of the householders
in the emergency room.

KTXL40, FOX, Sacramento, CA. (2009, Feb. 4). “Natomas Home Renters Latest Foreclosure
Scam Victims.”
Available at
A real estate agent illegally rented a foreclosed home in Natomas, CA. The agent had no legal or
contractual claim to the home, and the family who rented the home will be evicted.

KGO7, ABC, San Francisco, CA. (2009, Feb. 2). “Foreclosure Assistance.”
Available at
This video series on foreclosure includes discussions of how renters are being affected in San
Francisco. The Housing Rights Committee and the city assessor discuss how renters are being
displaced illegally and owners, including banks, are allowing utilities to be cutoff and units to fall
into disrepair. Last quarter, at least 60 foreclosed units in San Francisco were renter-occupied.
Renters living through situations like these discuss their firsthand experiences.

** Link to article is no longer available.                                                   25
Figueroa, T. (2009, Jan. 26). “Men Get Jail for Scamming Renters.” North County Times.
Available at
Two scam artists used the foreclosure crisis to bilk four renter households out of between $3350-
$4500 apiece. The two men accepted security deposits and rent payments from the households on
a unit that was in foreclosure and that they had no legal claim to.

Needham, N. (2009, Jan. 8). “Lutheran Social Services Prevents Suffering, Provides for
Homeless.” Thousand Oaks Acorn.
Available at
A family of eight in foreclosure is among the 30 per day who approach Lutheran Social Services
in Thousand Oaks, CA, asking for assistance with rent, utility costs, or other forms of emergency

Angel, R. (2009, Jan. 7). “Don’t Leave Your Home.” San Francisco Bay Guardian.
Available at
It is estimated that 25% of buildings in default in San Francisco are renter-occupied. Although
foreclosure is not just cause for eviction in the city, some tenants have had their utilities
disconnected, and their interests are not being represented by real estate brokers hired by the
lenders who now own the foreclosed properties. Despite strong legal protections, tenants often
face illegal attempts at eviction and harassment by landlords.

San Francisco Sentinel. (2008, Dec. 31). “Villaraigosa Moves to Help Keep Los Angeles Renters
in their Homes.”
Available at
The mayor of Los Angeles signed into law a bill that protects renters in foreclosed multi-family
properties from eviction. In Los Angeles this year, as many as 3,700 families in good standing
have faced the possibility of eviction from their rental home because of foreclosure. These
families resided in approximately 1,300 multi-unit buildings.

This story is also covered in the following news outlets:
KABC7, ABC, Los Angeles, CA -

KGO7, ABC, San Francisco, CA. (2008, Dec. 22). “Plan Protects Renters Facing Foreclosure.”
Available at
With hundreds of renters having their utilities disconnected because their landlord was in
foreclosure, Oakland city attorney has declared that utility companies must wait 120 days after
foreclosure before shutting off water or power on rental units.

Nevius, C.W. (2008, Dec. 18). “Renters’ Eviction Notices Often Illegal in S.F.” San Francisco
Available at
San Francisco city officials and tenant rights advocates are trying to get the word out to renters
that the foreclosure of a rental property is not just cause for eviction in the city. Some lenders are
illegally attempting to evict renters or force them out by shutting off the utilities when they take

** Link to article is no longer available.                                                    26
possession of a property. Roughly 25% of foreclosures in San Francisco are on rental buildings,
and foreclosure-related evictions in total went up 250% in 2007 and another 257% in 2008.

Anderson, E. (2008, Dec. 18). “Trying to Make Ends Meet.” Register Pajaronian.
Available at http://www.register-
The demand for homeless services is increasing in Pajaro Valley, CA, and the executive director
of a local homeless shelter states that some of those seeking shelter have become homeless as a
direct result of foreclosure.

KCBS 106.9 FM, San Francisco, CA. (2008, Dec. 17). “SF Tenants Suffering from Foreclosure
Available at
San Francisco’s county assessor estimates that 25% of foreclosures in San Francisco affect
renters and that overall foreclosure activity has increased 500% in the area in the last two years.
Some new owners are harassing tenants and stopping payment on utilities to empty the properties,
even though foreclosure is not a just cause for eviction. The county and the Housing Rights
Committee of San Francisco are working to ensure that utilities are kept on and recommend that
tenants continue paying rent to the new owner or an escrow account.

This story is also covered in the following news outlets:

Wetzel, K.S. (2008, Dec. 13). “Economy Taking Its Toll on Students Around East Bay.” Contra
Costa Times.
Available at
The foreclosure crisis is causing educational instability for students in California. Homelessness
is on the rise, fueled by foreclosure on apartment buildings.

KXTV10, ABC, Sacramento, CA. (2008, Dec. 8). “Economy Leading to Full Area Homeless
Available at
One shelter supervisor in Sacramento says that he’s never seen such a high percentage of first-
time homeless in his shelter and lists foreclosure with job loss as the leading causes of the

Zito, K. (2008, Nov. 27). “Season of Sharing Bails Out S.F. Single Mom, 3 Kids.” San Francisco
Available at
After learning that her rental home was being foreclosed on, a San Francisco family had to find
an affordable place to live on short notice. Only with the help of the San Francisco Chronicle’s
Season of Sharing fund could the family come up with the security deposit necessary to secure a
new place to live.

Zahniser, D. (2008, Nov. 22). “L.A. City Council Votes to Draft Law Barring Evictions of
Renters of Foreclosed Properties.” Los Angeles Times.
Available at,0,755430.story
The Los Angeles City Council has asked the city attorney to draft a law that would prohibit
renters from being evicted after foreclosure in all buildings not covered by the state’s rent control
law. It has also been suggested that banks taking possession of rental properties should be
required to register with the city, so renters know who owns their property.

** Link to article is no longer available.                                                   27
Lindstrom, N. (2008, Nov. 8). “Landlord Ditches Foreclosed Property: Renters Deprived of
Maintenance.” Victorville Daily Press.
Available at
A four-unit complex in Adelanto, CA, that went through foreclosure and is now owned by
Countrywide is in need of serious repairs. Before and even during foreclosure proceedings, the
former owner accepted rent payments and security deposits from new tenants. Now, Keller
Williams Realty, the company that the bank hired to process the foreclosure, has promised some
repairs, but tenants have been told that they must be out of the property by January 5.

KHSL12, CBS, Chico, CA. (2008, Nov. 6). “Renters Caught in the Middle of the Foreclosure
Available at
A family in Chico, CA, is being forced out of their home, and their only protection is the 60-day
grace period that the state law provides. Their home has been in the process of foreclosure since
April but the renters were just notified this week.

Bates, K.G. (2008, Oct. 27). “For Some, Housing Crisis Stress is Unbearable.” NPR, Morning
Available at
Evidence of foreclosure’s psychological strain is illustrated in the case of one California woman
who took her own life because she was going to be evicted from the home she was renting. The
woman lost the home she grew up in to foreclosure and then rented it back from the buyer, who
subsequently was foreclosed on.

KABC7, ABC, Los Angeles, CA. (2008, Oct. 27). “Homeless Agencies are Filling Up.”
Available at
Demand for homeless services is on the rise in Los Angeles, CA. This piece highlights one family
who lost their home because the unit they were renting was foreclosed on.

Burman, J. (2008, Oct. 25). “Countrywide to EP Tenants: Get Moving.” LA Observed.
Available at
Los Angeles Councilman Eric Garcetti is calling attention to illegal practices perpetrated by
Countrywide. The lender is offering “cash for keys” payments to renters well below the state-
required minimum and suggesting that renters can be evicted after a foreclosure, which is not
considered just cause for eviction in California in most cases.

**McAllister, S. (2008, Oct. 20). “Foreclosures Add to Tight Rental Market.” The Mercury
News. Available at In
San Jose, households opting not to buy and owners and renters displaced by foreclosure are
competing for rental units, and the supply of units is being supplemented by single-family homes
that their owners are renting rather than selling for a loss. Despite the resulting downward trend,
the occupancy rate in large complexes is still high at 95.6%, and rents rose 5.2% from July to
September in Santa Clara County.

Wasserman, J. (2008, Oct. 17). “Home Front: Apartment Owners, Renters in Area Spared
Housing Market Chaos.” The Sacramento Bee.
Available at
Large multifamily apartment complexes have mostly avoided a rash of foreclosures because

** Link to article is no longer available.                                                28
lending practices were not as loose as they were in the single-family sector. In Sacramento, rents
have increased only slowly and occupancy rates are down because of additional competition from
owners choosing to rent their units rather than sell for a loss. However, lower-cost apartments
have much higher occupancy rates (96.4% vs. 93.7%) and, as a result, can elect not to rent to
households with poor credit or prior evictions.

**FOX35, Salinas, CA. (2008, Oct. 15). “Renters Get the Short End of the Stick with High
Foreclosures.” Available at
Deputies in Salinas, CA, are serving eviction notices to 15-20 households each week. Many
landlords do not notify their renters that a foreclosure-related eviction is pending, allowing little
time to find a new place to live.

News 10 ABC, Sacrament, CA. (2008, Oct. 3). “Tenants Cry Foul Over Rent-Skimming
Landlords.”Available at
Renters in a new subdivision in Sacramento are receiving notices of foreclosure from lenders.
The units were purchased new from the builder last year, and in some cases, no mortgage
payments were ever made, even though tenants have been paying their rent monthly. Tenants in
California who have been victimized by “rent skimming” can occupy their homes for 60 days
after foreclosure.

California Political Desk. (2008, Sept. 25). “Governor Vetoes Two Consumer-Oriented
Foreclosure Bills.” California Chronicle. Available at
Governor Schwarzenegger vetoed a bill that would have extended tenants’ rights to purchasers of
foreclosed properties. The bill would have helped renters evicted from a foreclosed unit reclaim
their often-lost security deposit and would have provided more advanced notice of eviction. The
governor also vetoed a bill that would have notified homeowners of their future mortgage
payment 3-4 months before the interest rate reset on their adjustable-rate mortgage.

Valenzuela, B.E. (2008, Sept. 25). “Renters Caught in Foreclosure Crisis.” Victorville Daily
Press. Available at
A family in Hesperia, CA, is displaced from renting a foreclosed property for the second time and
can find few alternative, affordable rental options in safe neighborhoods. The California
Association of Realtors reports that as many as 25% of single-family properties going through
foreclosure are occupied by renters.

**Bartholomew, D. (2008, Sept. 19). “Renters Feel Impact of Home Foreclosures.” Los Angeles
Daily News. Available at
Tenants of foreclosed properties in Los Angeles and elsewhere in California are having difficulty
finding affordable alternative housing, and some renters are complaining about unscrupulous and
illegal practices by lenders who have taken over the properties. In the last 18 months, 1,700
apartment units have been foreclosed on in Los Angeles. Calls to the county’s consumer affairs
office from tenants in foreclosed units have risen from 10 per week to 60-75 per week.

Rahaim, N. (2008, Sept. 13). “Foreclosure Crisis Forces Rental Crisis.” The Salinas Californian.
Available at
The foreclosure crisis in Salinas has led to a tighter rental market and higher rents, as former
homeowners who can afford higher rents are driving up prices. More low-income renters are

** Link to article is no longer available.                                                    29
applying for Section 8 housing assistance or having to relocate to another community to find
affordable housing.

Rahaim, N. (2008, Sept. 12). “Foreclosures Leave Salinas Rental Market Tight.” The Salinas
Californian. Available at
As a result of the foreclosure crisis, the rental market in Salinas has tightened significantly. Rents
are up almost 6% and the vacancy rate is only 2.4%. Some households are leaving town or
doubling-up with family and friends to find affordable housing.

Gumz, J. (2008, Sept. 9). “Renters Caught in Foreclosure Mess.” Santa Cruz Sentinel. Available
A couple in Watsonville, CA, preparing for their wedding must find a new place to live after
learning that the home they’re renting has been foreclosed on. Many areas hit hardest by
foreclosure in California have high proportions of renters who are being displaced by the
foreclosure crisis. In Santa Cruz County, where about 40% of households rent, 600 homes have
been foreclosed on and auctioned this year.

Knebel, J. (2008, Sept. 3). “Foreclosure Crisis is Affecting Renters, Too.” Mount Shasta Area
Newspapers. Available at
This article illustrates the difficulties that renters can face when unexpectedly displaced by
foreclosure. The low-income family featured in this story had to relocate to another community to
find affordable housing and must now commute to work without access to an automobile. Their
plight is exacerbated by the medical issues afflicting two of their three young children.

Wilkison, B. (2008, Aug. 29). “Renters Rocked by Foreclosure Evictions.” Visalia Times-Delta.
Available at
Foreclosures on rental properties have spiked in Visalia in recent months. Renters in properties
with professional management companies may be slightly less at risk of an unanticipated eviction
because landlords may be more forthcoming with managers regarding their financial situation,
allowing some companies to give tenants advance notice. Some management companies will also
offer to return last month’s rent and the security deposit.

Associated Press. (2008, Aug. 27). “How to Protect Yourself from Rental Fraud.” New York
Daily News. Available at
Rental fraud takes two common forms. The first is a landlord accepting up-front rental payments
and security deposits with no intention of renting the unit. An increasingly common practice is
when a landlord leases a unit already in foreclosure to an unsuspecting tenant. Catholic Charities
in Riverside and San Bernardino Counties, CA, is assisting renters victimized by the latter type of
fraud weekly. Renters should protect themselves by checking for default notices at the county
recorder’s office and verifying property ownership at the assessor’s office.

Heisel, W. (2008, Aug. 26). “Foreclosures Ensnare Low-Income Renters.” Los Angeles Times.
Available at,0,3965437.story
Renters with Section 8 vouchers are increasingly being displaced as their landlords fall behind on
their mortgages. Statewide estimates are not available but “the number is significant -- and
growing,” with more than 100 such cases in July alone in Sacramento County. Although

** Link to article is no longer available.                                                    30
landlords are supposed to give 90-days notice before evicting a Section 8 tenant, some landlords
wait until the last minute in order to collect as much rent as possible.

KFSN 30, ABC, Fresno, CA. “Renters Facing Eviction.” (2008, Aug. 25).
Available at
Renters in Fresno discuss the difficulty of finding a new rental unit following a foreclosure. They
are faced with two options: vacate in 14 days and receive $1400 in a “cash for keys” transaction
or live in the unit for 60 more days until they are officially evicted.

**Mitchell, E. “Foreclosed Properties Being Turned into Rentals.” (2008, Aug. 18) Contra Costa
Times. Available at In the San
Francisco Bay Area, where foreclosure sales accounted for 29% of all sales of existing homes in
June, investors are purchasing foreclosed properties and putting them up for rent. Because many
families are losing their homes to foreclosure, rental demand is great, so there is uncertainty how
this additional rental supply will affect overall prices or prices of lower-cost units.

Temple, J. “Foreclosure’s Hidden Victims.” (2008, Aug. 15) San Francisco Chronicle. Available
at Housing
counselors in San Francisco report a spike in the number of renters being threatened with eviction
or having their utilities cut-off as a result of foreclosure, despite laws that protect them from such
actions. Three tenants’ groups have counseled around 130 such cases already this year and expect
that many more in this situation are not seeking counseling.

Garrahan, M., “Tenants Pay as Speculators Walk Away.” (2008, Aug. 11) Financial Times.
Available at
?nclick_check=1 In Merced, CA foreclosures have risen 200% since the same time last year,
accounting for 75% of all property sales in the city over the past six months. Home values have
fallen 50% since the housing market peaked in 2005. The foreclosure crisis in Merced has
displaced hundreds of renters while also causing many real estate, lending, and construction
companies to relocate to new areas.

Moore, S., “A Program Moves Poor to Suburbs, Tensions Follow.” (2008, Aug. 9) The New
York Times. Available at
As many suburbs struggle to cope with foreclosures and declining property values, rising
numbers of vacant homes have brought along their own set of problems. Property owners have
sought out low income renters to fill the homes left vacant by foreclosures. In the Oakland, CA
suburb of Antioch, the number of Section 8 households grew by 50% from 1,000 in 2003 to 1,500
in 2005, bringing many housing voucher recipients into the suburb from nearby urban areas. A
recent study from the University of Memphis found that crime tends to migrate with voucher

Bennett, K., “Renters Caught When Banks Foreclose on Landlords.” (2008 Aug. 5) Voice of San
Diego. Available at
More than one quarter of all single-family homes in foreclosure in CA have renters living in
them. Following CA legislation passed and signed by the governor in July, tenants now have 60
days instead of 30 to remain in foreclosed homes, enabling them to save money that would
otherwise have been spent on rent and find a new place to live.

** Link to article is no longer available.                                                   31
Spence, B., “Apartment Occupancy in Stockton now at 96%.” (2008, Jul. 29) The Record.
Available at
High occupancy rates in San Joaquin County, CA have meant good news for apartment owners.
However, with foreclosures increasing the stock of rental houses, decreasing monthly rents for
rental-homes, which currently average around $300 more per month for rent than apartments,
may stoop low enough to cut into the apartments market by next summer.

Graham, M., “Foreclosure’s Unseen Victims.” (2008, Jul. 12) The San Diego Union-Tribune.
Available at San
Diego County is home to around 50 foreclosures a day, with experts saying that at least one-third
but as many as two-thirds of all the area’s foreclosed homes are rental properties owned by
investors. When headed towards default, many landlords have ceased making mortgage payments
and relocated, taking with them many of their tenants’ monthly rents and security deposits.

Sondag, S., “Governor Signs Law to Help Homeowners Keep Their Properties.” (2008, Jul. 9)
San Francisco Chronicle. Available at
bin/article.cgi?f=/c/a/2008/07/09/ BA3411LL25.DTL&type=politics
California Governor Arnold Schwarzenegger signed into law a bill that, in 60 days, will require
mortgage holders to contact homeowners 30-days in advance before issuing a notice of default.
Additionally, the law immediately gives tenants a 60-day period to move out of foreclosed
properties before they could face eviction.

Jackson, P., “California Senate Approves Foreclosure Warning Bill.” (2008, Jul. 3) Housing
Wire. Available at
foreclosure-warning-bill/ The California Senate passed new legislation that would require not
only more and earlier warnings of foreclosure to homeowners, but also would implement fines to
owners of foreclosed properties that “fail to adequately maintain them.” Lenders would have to
speak with borrowers concerning restructuring options before beginning the foreclosure process.
Additionally, owners of rental property would have to notify any tenants of foreclosure 60-days
before they can be legally removed.

Kero 23, ABC, Bakersfield. “Renters Step into Foreclosed Home Danger.” (May 23, 2008).
Available at
Property management companies in CA are not legally required to inform renters or would-be
renters of a potential foreclosure. Renters must do their own research to see if a property is at risk
of heading into foreclosure and they are at risk being forced to move and potentially losing their
security deposits.

Nieves, E., “CA – Rural Communities Hit by Foreclosures.” (2008, Apr. 3) Associated Press.
Available at The foreclosure crisis in rural
America may be even more widespread than in urban areas. Research by the Housing Assistance
Council, a Washington-based nonprofit, has found that foreclosures in rural areas are at least as
prevalent as those in cities. “Rural residents often have fewer banking institutions to choose from
than city dwellers, and can fall victim to high interest rates and predatory lending practices.”

Glionna, J. M., “Renters Tell of Harassment in Foreclosure Proceedings.” (2008, Mar. 12) Los
Angeles Times, p. B1. Available at
Illegal attempts at eviction are on the rise in CA as lenders, eager to be rid of all tenants in rental
units, respond to the foreclosure crisis. Oakland, CA is one of several CA cities that provide
considerable protection for tenants against eviction, even in foreclosure cases. City officials in

** Link to article is no longer available.                                                     32
Oakland enacted a moratorium on water shut-offs, a method some lenders have employed to push
tenants out of foreclosed properties despite local laws protecting them from eviction.

Lazarus, D. “Shadow Victims of the Mortgage Crisis: Renters.” (2008, Feb. 13) Los Angeles
Times, p. A1. Available at
lazarus13feb13,0,753124.column The California Apartment Assn. estimates that renters occupy
almost a quarter of all foreclosed single-family households, and an even larger portion when
multi-unit buildings and duplexes are considered. In Los Angeles renters comprise 60% of all
residents, compared with a nationwide average of 32%. With the wave of foreclosures increasing
demand for rental housing, tenants may face rising rents and fewer affordable options.

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Montanez, Rick. (2009, Nov 22). “Home Foreclosures Impact Renters.” CBS KKTV. Available
Southern Colorado is seeing more home foreclosures than in years past. A new record was set in
November for the most foreclosure filings in El Paso County history in any year. In some cases
these foreclosures are hitting more than just the homeowners themselves. A Colorado Springs
family is caught up in the foreclosure mess, as renters. The family began getting legal notices a
few weeks ago, telling them the house they rent from its owner is about to go into foreclosure.
Now, they have to scramble to find a new home.

KCNC4, CBS, Denver, CO. (2009, Feb. 17). “Foreclosures Affect Some Renters in Colorado.”
Available at
A renter in Golden, CO, received a notice that he had two weeks to vacate his home, which had
been foreclosed on. A warning from the bank sent four months earlier was addressed to
“occupant” and thus went unnoticed.

Rochat, S. (2008, Nov. 21). “Myths About Homelessness Dispelled at Local Event.” Longmont
Available at
A survey conducted in Longmont, CO, in 2007 indicates that 7.7% of the homeless population
attributes their situation to “evictions and foreclosures.”

Miller, N. (2008, Oct 19). “Caught in the Crisis: Foreclosures not Just for Homeowners
Anymore.” Greely Tribune. Available at
One renter facing eviction in Greely, CO, was able to work with the bank and purchase the house
at a discounted price, allowing her to stay in her home. Property managers estimate that only 5%
of foreclosures in the Front Range and Greely affect renters but suspect that foreclosures are more
common in general for non-managed, mom-and-pop rental properties.

Shields, P.J. (2008, Oct. 18). “Economy Worrisome for Groups that Help Homeless.” The
Longmont Times-Call. Available at The
executive director of a center that provides assistance to low-income households in Longmont,
CO, said that requests for assistance from evicted households have doubled from 20 to 40 per

** Link to article is no longer available.                                                33
month. Whereas foreclosures have slowed somewhat, evictions continue to increase because of
the struggling economy.

Davidson, M. (2008, Aug. 21). “Housing Market Offers Mixed Bag.” Broomfield Enterprise.
Available at
mixed-bag/ Foreclosures in Broomfield, CO, have risen 48% in the last year, and the apartment
vacancy rate has remained fairly steady, rising from 5% to 6.3%. The rate is much lower than the
10% that characterized Broomfield in 2005, and apartment managers are reporting strong demand
leading to higher, pre-2005 rents.

Jackson, M. “Foreclosures Bring Bargain Prices.” (2008, Aug. 16) The Denver Post. Available at
As the number of homes in foreclosure rises, so does the number of homes selling for less than
$100,000 in Denver. Investors are purchasing the homes and renting them for more than their
mortgage payments. With the rental vacancy rate for single-family homes and condos at a very
low 2.7%, these foreclosed properties are renting for as much as $900 - $1,100 per month in some

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O’Leary, Mary. (2009, Nov 8). “Federal law gives rights to renters.” New Haven Register.
Available at:
The tenants of multi-family homes are the innocent victims in the foreclosure crisis. The Boyd
family in New Haven, CT is particularly aware of this recently as they try to fight a foreclosure of
their home. The new management company, Deutsche Bank, is trying to force them out in 3
months, even though their lease lasts until May 2010. Renters have rights, they just need to be
made aware of them, and sometimes help make management companies aware of them too.

Collins, D (2009, May 15) Bidding wars back for cheap housing. The Day.
Available at
If it's a multifamily still occupied by tenants, she will offer them money, cash for keys, to leave.
State law requires the banks pay at least $2,000 but sometimes it's more. Sometimes there are
squatters, who tend to move on quickly.

Gosselin, K.R. (2008, Oct. 24). “Hartford Tenant Fights to Stay in Home after Foreclosure.” The
Hartford Courant.
Available at
A tenant and her legal aid representation are fighting an eviction from a foreclosed property in
Hartford, CT. The tenant lives in a building foreclosed on by Fannie Mae, but under the recent
$700 billion bailout plan, tenants living in government-held assets and current on their rent are
entitled to stay through the end of their lease. Legal aid attorneys are seeing an increase in the
number of renters evicted as a result of foreclosure.

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WFSB3, Hartford, CT. (2008, Oct. 23). “Family Evicted Amid Landlord’s Foreclosure.”
Available at
A family in New Britain, CT, is being evicted from their basement apartment because their
landlord, who also lives in the building, cannot afford to pay the monthly mortgage. Similar cases
are on the rise in recent months, according to a Connecticut Legal Aid attorney. The family in this
story worries about becoming homeless as a result of the eviction.

Godin, M.E. (2008, Oct. 11). “House Market Cools, Rental Market Heats Up.” Record-Journal.
Available at
A slumping housing market has increased demand in Connecticut’s rental sector. People
displaced by eviction, as well as those choosing to rent rather than buy, are competing for rental
units in the state. Some are seeing significant price increases as a result of this increased demand.

Appel, A. “Housing Authority Tackles Prison Re-Entry, Foreclosure Crisis.” (2008, Aug. 14)
New Haven Independent. Available at
The Housing Authority of New Haven, CT, will begin reserving 50 tenant-based housing
vouchers to prevent homelessness for renters who lose their homes to foreclosure. To maintain
homeownership levels in areas hardest-hit by foreclosure, some vouchers may also be project-
based as a way to guarantee rental income for investors at risk of becoming delinquent on their

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District of Columbia

Castro, Melissa. (2009, Dec. 18). “Floridian condo project in D.C. put up for auction.”
Washington Business Journal. Available at:^26
The Floridian, a 118-unit condominium building that helped jump-start development around
Howard University, is scheduled to be sold in a foreclosure auction next month. Although more
than 30 condos are occupied by unit owners — and at least 50 potential buyers had expressed
interest in units this year — the sales pace was not brisk enough to persuade the project’s lender
to extend the loan’s due date.

Baschuk, Bryce. (2009, Dec 15). “Banks bully D.C. renters out of foreclosed buildings.” Available at:
Some banks are using aggressive eviction tactics to push Washington tenants out of their homes
as the foreclosure crisis widens, housing counselors say. Nearly 2,000 area renters in were
affected by foreclosure in the first half of 2009, a study conducted by the Urban Institute, a non-
profit research group in Washington, indicates. Many of those tenants never took out a mortgage,
never over-extended their credit and paid their rent on time. Nevertheless, residential counseling
groups say those renters are being pushed out, sometimes illegally, by banks looking for a quick

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Kass, Benny L. (2009, Nov 28). “Tenants have rights even after foreclosure.” The Washington
Post. Available at:
Q: I read the other day that a condominium building in Washington was recently foreclosed on. I
rent a condo unit in a new building from the developer and am concerned about my rights should
I face the same plight. Do I have any rights in the District?
A: Yes, as a tenant, you have a number of legal rights. The landlord-tenant laws in the District are
perhaps the most tenant-oriented of anywhere in the United States…

Tatian, P. (2009, Apr. 24) Foreclosures and Renters in Washington, D.C. Washington, D.C.:
Urban Institute.
Available at
This report, using local administrative data from NeighborhoodInfo DC, documents the extent to
which foreclosures in Washington, D.C., have occurred in renter-occupied homes and apartments.
The conclusion outlines several policy options for helping renters during this difficult period.

Jenkins, C. (2009, Apr. 9). “Families Fuel Increase in Area Homelessness.” Washington Post.
Available at
The Metropolitan Washington Council of Governments attributes a large increase in family
homelessness to both renters and owners being evicted from foreclosed homes.

Glod, M. (2009, Feb. 8). “Schools Face Sharp Rise in Homeless Students.” Washington Post.
Available at
In this story about higher rates of homelessness in school districts, at least two families who were
evicted from their rental home as a result of foreclosure are mentioned. For one, homelessness
was immediate; another stayed with friends and at a motel for a few months before moving to a

Miroff, N. (2008, Dec. 9). “Foreclosure Epidemic Infecting Rental Market.” Washington Post.
Available at
This article describes the various ways in which renters are being victimized during the
foreclosure crisis: being charged rent or entering a lease after a home has already been foreclosed
on; renting from someone who has no legal rights to the property; illegal threats of eviction and
loss of property. Abuses are more rampant in minority communities where people are sometimes
less aware of their rights or reluctant to go to authorities. Tenants in Virginia and Maryland can
be evicted after a foreclosure, but the lease for tenants in DC survives foreclosure proceedings.

Kigner, E. (2008, Dec. 8). “D.C. Homeless Struggle for Housing.” The GW Hatchet.
Available at
A homeless man with schizophrenia rented an apartment in DC for two years with a Housing
First voucher, but his residential stability is being threatened. He may be evicted because his
apartment building is being foreclosed on.

** Link to article is no longer available.                                                  36
Samuelson, R. (2008, Sept. 23). “D.C.: The Place to Be for Tenants of Foreclosed Buildings.”
Washington City Paper. Available at
The District of Columbia has robust tenant protection laws that allow renters to remain in their
units even after a foreclosure, despite correspondence from lenders to the contrary. This article
provides a good example of a lender – IndyMac – assuming responsibilities typically associated
with a landlord: A new refrigerator was delivered to a unit that IndyMac had foreclosed on after a
tenant made the lender aware of the need.

Twarowski, C. (2008, Aug. 30). “The Luck of the Landlords.” Washington Post.
Available at
The foreclosure crisis has led to an increase in the number of rental options available in “the
shadow market,” which refers to single-family homes and condos that are rented by owners who
choose not to sell until home values recover. Despite this greater supply and a slightly higher
vacancy rate in the D.C. multifamily rental market, rents are increasing because demand remains

Virella, K., “D.C. Renters Buffet Storm.” (2008, Jul./Aug.) The Chicago Reporter.
Available at
Washington, DC is one of three U.S. jurisdictions that protect tenants from eviction following a
foreclosure, along with NJ and NH. However, Research Director Danilo Pelletiere of the National
Low Income Housing Coalition states that such legislation does not guarantee more protection for
renters, citing the need for its enforcement.

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Bristow, Holly. (2009, Dec 24). “Renters’ Water Turned Off.” Fox 35 News. Available at:
Bob Wieszkowiak is happy to have water. For a few days things were getting rough for
Wieszkowiak and some of his neighbors along Jetske Circle in Orange City. "Evidently the
houses are in foreclosure the wells are broken. They're running water out of one house," said
Wieszkowiak. Water is supposed to be included in Wieszkowiak’s rent, but he says his landlord
stopped paying the bill and the water was shut off Monday.

Guardian Solutions. (2009, Dec 20). “Experts Say Commercial Property Woes Only Beginning.”
PR Newswire. Available at:
According to industry experts, the commercial real estate market (which includes shopping
centers, strip malls, apartment buildings, office buildings and warehouses) is due to suffer the
same fate as the recent collapse of the housing market only worse. Commercial research provider
Trepp found that delinquent loans in commercial mortgage securities jumped 85 basis points to
5.65 percent at the end of November, up from just 4.8 percent a month earlier.

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Bandell, Brian. (2009, Dec 17). “Millennium Bay Harbor Loses $5M foreclosure.” South Florida
Business Journal. Available at:
U.S. Century Bank won a $4.7 million foreclosure judgment against Millennium Bay Harbor over
the site of an undeveloped condominium in Bay Harbor Islands, near Miami Beach. The lawsuit
targets vacant sites at 9301 East Bay Harbor Drive and one on the same street with no listed
address. Both are 11,250 square feet and zoned multifamily.

Schallar, Peter. (2009, Dec 16). “Family kicked out of home.” CBS12News. Available at:
A local family told to leave their home during the holiday season. The home they were renting
went into foreclosure. The family of four moved into this house back in May, they say they've
always paid their $900 per month rent. This summer they started getting foreclosure notices, then
last month a bombshell from the landlord. The bank wanted them out.

Batista, Alberto Esq. (2009, Nov 18). “Tenants’ rights are protected in foreclosures.” Available at:
Many tenants who think that they are spared from the foreclosure crisis are actually the most
vulnerable. After setting up in their new homes, they are told that the building or house is going
into foreclosure and that they have to leave immediately. A new law passed that says renters
have 90 days to vacate the property, longer in some cases. Many tenants still have problems and
can be helped by local legal aid services.

Bandell, Brian. (2009, Nov 17). “Amera Corps.’s Fort Lauderdale site in foreclosure.” South
Florida Business Journal. Available at:
Lantana-based Sterling Bank has filed a foreclosure action against an affiliate of Coral Springs-
based developer Amera Corp. Ameri Corp. is the master developer of Downtown Coral Springs,
the owner of the Coral Springs Financial Plaza and has started the Riverbend Transit Oriented
Development in Fort Lauderdale. It also owns and develops property throughout the Caribbean.

Bandell, Brian. (2009, Nov 10). “Aventura condos sold in bulk short sale.” South Florida
Business Journal. Available at:
The developer of the 3030 Aventura Condominium has conducted a short sale of 34 units for
$15.4 million to a bulk buyer after a lawsuit. Wachovia Bank filed a foreclosure lawsuit against
the developer, 3030 Associates in March. The mortgage was last modified at $23.5 million in
2006 and 11 units were sold.

Sorter, Amy Wolff. (2009, Nov 9). “Banks File Foreclosure Against MF.”
Available at:
The South Florida Business Journal reports that two banks, locally based Bank of Miami and
Israel Discount Bank of New York City, have initiated foreclosure actions against borrowers.
Israel Discount Bank filed action against the owners of two multifamily buildings in Hollywood,
FL; while Bank of Miami has initiated proceedings against owners of two apartment complexes
and an Exxon station in Fort Lauderdale.

Vanderhoof, Nadia. (2009, Nov 2). “State agency forecloses on Walker Club Apartment Homes
in Vero Beach for $9.2 million.” TCPalm. Available at:

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According to a civil lawsuit filed in Indian River Circuit Court, the Florida Housing Finance
Corp. has foreclosed on the Walker Club Apartment Homes in Vero Beach, which serves low- to
moderate-income residents. The total foreclosure judgment on the property is $9.2 million, likely
one of the first and largest multifamily apartment foreclosures in Indian River County this year.
Currently residents won’t have to move out because rents and leases of low- to moderate-income
residents are protected under federal law for at least three years.

Bandell, Brian. (2009, Oct 28). “BofA seeks foreclosure MCZ/Centrum projects.” South Florida
Business Journal. Available at:
Four multifamily projects in Florida that are owned by MCZ/Centrum developers are under
foreclosure after the developers failed to pay interest installments and 2008 property taxes.
According to circuit court records, the targeted projects include the 351-unit Parc Central
Aventura, the 460-unit Palms Club Condominiums in Orlando, the 304-unit Mirabella
Condominiums in Orlando and the 240-unit Serenata Sarasota Condominiums in Sarasota.

CBS4. (2009, Oct 2). “Families Forced Out in Surprise Foreclosure”. CBS. Available at:
Several renters were forced out of their building when they found out that their building had been
foreclosed upon. Because of health regulations and short-cuts taken by the developer before
foreclosure, the tenants were forced to move immediately.

McCarthy, John. (2009, Sept 21). “Law promises help for renters caught in foreclosure mess.”
Florida Today. Available at:
Pete Cataldo’s condo is in the middle of foreclosure hearings and he is wondering what it would
be like if he had to move on a moments notice. He isn’t the only one facing these questions, as
renters nationwide are in buildings or houses whose owners are facing foreclosure. So often,
however, these victims of the current economic crisis are forgotten about. That’s why Congress
passed an act in the spring to protect people in this situation. It is important that renters have
these rights, and that they know what they are in order to keep themselves protected.

WBPF. (2009, Sept 15). “Renters of Homes in Foreclosure Lose Privileges.” WBPF News.
Available at:
In West Palm Beach Florida Michi O’Callaghan is in foreclosure and her tenants are suffering the
consequences. O’Callaghan, who runs 5 different properties, has not been paying the bills on her
homes or to The Homeowner’s Association, and instead has been spending the money. The
tenants of her properties are now losing privileges and facing eviction.

Shah, Nirvi. (2009, Aug 23). “New law gives tenants more clout in cases of foreclosure.” The
Miami Herald. Available at:
The new Protecting Families at Foreclosure Act gives tenants the right to stay in their homes until
their lease is up or for 90 days after foreclosure. This is giving Florida renters peace of mind.

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Behnken, S. (2009, July 24). “Renters losing homes as landlords fall into foreclosure.” Tampa
Bay Online. Available at:
Two months after Angie Fletcher and Shawn Marlin moved their family of eight into a five-
bedroom rental home in Valrico, the home fell into foreclosure. The landlord hadn't paid the
mortgage since November. It was the third time in two years the family found themselves losing a
home to foreclosure. 9 - Central Florida. (2009, July 8). “Landlords Accused Of Pocketing Rent Money.”
Available at:
A growing number of Central Florida's poorest residents are being forced out of their rental
homes because their landlords aren't making the mortgage payments. President Barack Obama
recently signed the "Helping Families Save Their Homes Act," which requires tenants in
foreclosed properties to be given 90 days notice before eviction. But local Section 8 housing
directors say the federal government is not getting tough on the landlords who are abusing the

Clark, Anthony. (2009, July 1). “Foreclosures can be nightmares for renters.” The Gainesville
Sun. Available at:
Steve Lehr delivers summonses to tenants whose rental properties are in foreclosure as part of his
job representing attorneys for mortgage lenders. That process used to result in renters' names
being listed in the Alachua County court records and allowed them to keep up with the process.
But the Clerk of Court's Office decided to stop issuing summonses earlier this year, and Lehr is
concerned that many renters won't find out about the foreclosures until they are evicted by new
owners with little time to find new housing.

Hatcher, Monica. (2009, June 26). “Foreclosure crisis creates unique hardships for renters.”
McClatchy Newspapers. Available at:,0,7356413.story
After working a full day and tending to her three children, the last thing Latasha Jones felt like
doing was making the rounds in her apartment complex to collect contributions for the building's
water bill. But she had no choice -- the landlord, in foreclosure, had abandoned the building and
stopped paying it., West Palm Beach, FL. (2009, 21 June). “Renter Forced Out Same Week She Moved
In.” Available at:
Jean-Pierre rented a four-bedroom home in the gated Terracina community from a woman named
Micki O'Callaghan. Jean-Pierre knew it was in the beginning stage of foreclosure, but she said
O'Callaghan promised it would all be OK and that maybe the Jean-Pierre family could even buy
the home. However, she said the eviction notice went up on the front door the day after she
moved in.

Bland, T. (2009, June 19). “The water's back on, but new issue looms.” Pensacola News Journal.
Available at:

** Link to article is no longer available.                                                40
Water service at the Heritage Oaks mobile home park, which has at least 100 residents, was
restored Thursday after being shut off for more than a week. However, a larger problem now
arises as a bank has filed a foreclosure complaint against the property's owners, meaning the
property could be sold. The owners are delinquent on a $990,000 loan, say court documents.

David, J. (2009, June 8). “In search of a boarder or two, preferably sane.” Sarasota Herald
Tribune. Available at:
Isabella Wasser and her fiance, Thomas Ganter, are looking for a roommate to share the 2,600-
square-foot home that they already share with Wasser's adult son. One room is unoccupied, and
the couple wants to rent it out, even if it means a crowding a stranger into the family home. While
statistics tracking these ad-hoc living arrangements are elusive, housing experts say they are
rising across the country.

Bandell,B. (2009, May 19) Corus Bank ordered to submit capital plan. South Florida Business
Available at:
Corus Bank had 14 condo construction loans and two apartment loans with a $1.03 billion
balance as of March 31. Of those, 12 condo loans and both apartment loans with balances and
commitments of $955 million were nonperforming.

Taylor Martin, S. (2009, May 15) Tenant paid thousands in rent for condo that was in foreclosure.
St. Petersburg Times
Available at
Tampa real estate agent Lori Polin played a key role in one of the state's "most dramatic"
mortgage fraud schemes, according to Florida's attorney general. Polin is still an agent — and
she's still engaged in questionable dealings, an angry tenant claims.

WFTV (2009, May 12) Renters Also Impacted By Foreclosure Crisis.
Available at
Eyewitness News found a listing on Craig's list; A Baldwin Park home for rent, $2,700 per month
and the owner wants a total of $6,900 to move in, but the house was listed with the Orange
County circuit court as a pre-foreclosure.
Lindberg, A. (2009, May 10) More people pushed into homelessness in Pinellas. St. Petersburg
Available at
 The majority — 86.3 percent — blame their homelessness on the lack of income, job loss or
other financial reason. And 18.6 percent had been through a foreclosure or eviction.

Bandell, B. (2009, May 11) Ocean Banks seeks foreclosure against Sunrise apartment complex.
South Florida Business Journal
Available at
Ocean Bank has filed a foreclosure action against the owner of Sunrise Place Apartments, a 60-
unit apartment complex in Sunrise.

Rich, J. (2009, May 8) Renters beware: Foreclosure putting renters out.
Available at
Her dilemma began when Graham defaulted on the home loan - something he has done with other
rental properties in her neighborhood according to public records and Log coverage last year -
and the home was repossessed by the bank through a court-ordered auction.

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Bandell, B. (2009, May 7) BankUnited sells foreclosure at 64% discount. South Florida Business
Available at
BankUnited sold a foreclosure judgment on a Coral Gables apartment building to a St. Louis-
based company at a 64 percent discount on the delinquent mortgage amount.

Bandell, B. (2009, May 5) “Judge denies Meruelo’s claim, apartments set for foreclosure.” South
Florida Business Journal.
Available at
After buying the complex, 3720 Collins removed all the tenants and completely gutted the
building, the judge stated.

Leland, J. (2009, Apr. 10). “Putting Folks in Homes, Illegally.” Miami Herald Tribune.
Available at
In this article about homeless families living in foreclosed vacant homes, a family tells how it
moved back into a home that it had owned for 22 years. After stopping payment on the mortgage,
the family of 12 was evicted and lived in a truck before returning illegally.

Wozniak, M. (2009, Mar. 18). “Ousted SW Fla. Renters ‘Forgotten Victims’.” Fort Myers News-
Available at
This article discusses the hardships that renters must endure when their home is foreclosed on.
One example is a couple in their 70s who had two days to move and had to spend $1800 for
movers because of the short notice.

Thorner, J. (2009, Mar. 14). “Foreclosed Rentals Leave Good Tenants Suddenly Homeless.” St.
Petersburg Times.
Available at
By telling the story of several renters in St. Petersburg, this article describes the hardship that
renters encounter when their units are foreclosed on. One individual has been evicted from two
different homes. Three rentals on one street have gone through foreclosure recently, leaving the
tenants with little time to move and resulting in hasty departures and the loss of many household

WPBF-TV, MSNBC, Palm Beach Gardens, FL. (2009, Feb. 27). “Evicted Tenant Shares
Available at
Once the eviction notice arrived, a single-mother and her son had 36 hours to vacate their
foreclosed rental unit. The tenant and her lawyer had been aware of the landlord’s financial
situation for some time and had even tried to work with the foreclosing lender to remain in the

NBC6, Miami, FL. (2009, Feb. 24). “S. Fla. Organization Moves Families Back into Foreclosed
Available at
A family of 12 that was evicted from the home that it owned was forced to live in a bread van in a
grocery store parking lot. They “reclaimed” their home after a few days of homelessness.

** Link to article is no longer available.                                                  42
Zeitlin, J . (2009, Feb. 22). “Wait for Housing Can Be Lengthy in SW Fla.” The News-Press.
Available at
Foreclosure on rental units has forced the Fort Myers Housing Authority to find roughly 25 new
places for housing choice voucher holders to live every month.

WPEC12, CBS, West Palm Beach, FL. (2009, Jan. 22). “Single Mother and Children Losing
Rental Home to Foreclosure.”
Available at
A single mother with four children was given 48 hours to vacate a foreclosed home she was
renting with a Section 8 voucher. After living in the home for five years, she is now working with
the housing authority to find a new place to live.

WTVT13, FOX, Tampa Bay, FL. (2009, Jan. 15). “New Law Would Protect Renters from
Available at
Weeks after moving into a rental unit, a family in Port Richey, FL, found out that the property
was headed for foreclosure. Because cases like this one are becoming increasingly common,
legislation has been proposed that would require landlords entering a lease agreement in Florida
to sign a legal document stating that their property is not being foreclosed on.

Orth, C. (2009, Jan. 14). “Legislation Targets Dirty Foreclosure Practices.” The Suncoast News.
Available at
A Florida state senator has proposed legislation that would fine landlords up to $10,000 if they
initiated a rental agreement on a property that was already involved in foreclosure proceedings.
The legislation would also require that landlords include any ongoing legal proceedings in any
rental agreement.

WTSP10, CBS, Tampa Bay, FL. (2009, Jan. 12). “Frustrated Renter Deals with Water Shutoff
and Foreclosure.”
Available at
This article tells the story of a veteran in ill health in St. Petersburg who was renting a home that
was foreclosed on. The water was shut off, and the family was given five days to find a new place
to live. Utilities have since been reconnected while the landlord tries to refinance his mortgage.

FOX35, FOX, Orlando, FL. (2008, Dec. 22). “From Riches to Rags.”
Available at
This piece tells the story of a family who lost their home to foreclosure and now lives in a
homeless shelter in Orlando, FL.

Hatcher, M. (2008, Dec. 18). “Foreclosure Crisis Creates Unique Hardships for Apartment
Renters.” The Miami Herald.
Available at
Small multi-unit apartments are being foreclosed on in South Florida, and many represent
investors’ failed attempts to buy rental properties and convert them to condominiums before
values fell. Rents cannot cover costs, and owners are facing foreclosure and allowing the
properties to deteriorate. From the time when the owner stops taking responsibility for a project

** Link to article is no longer available.                                                  43
and the bank finishes foreclosure proceedings, utilities are often disconnected and properties fall
into disrepair. When they are resold, tenants often face an expensive relocation process that some
cannot afford. This story highlights the case of an 11-unit building in Miami.

Conner, D. (2008, Dec. 18). “Renters Find They Are Not Immune to Foreclosure.” The Florida
Available at
This article discusses the uncertainty and tension that surrounds renters who are notified by the
bank that their unit is in the midst of foreclosure proceedings. In the case of a Jacksonville renter,
the landlord claims that the mortgage will be paid, but the renter has stopped paying rent because
she may be losing her home. Calls to Florida’s Division of Consumer Services to mediate tenant-
landlord disputes are on the rise. Renters in these situations are at risk of losing their security
deposit and face the prospect of having to relocate quickly, and affordable legal assistance is
difficult to find.

Wernowsky, K. (2008, Dec. 14). “Faces of Foreclosure.” Pensacola News Journal.
Available at
Citing RealtyTrac statistics that 30% of foreclosures involve renters, this article highlights a
family’s eviction from a rented unit in Pensacola. The family had one day to move and went
directly to a homeless shelter before moving in with family a month later. A housing counseling
agency in Santa Rosa sees at least three clients each month who are being evicted from their
home due to foreclosure, compared to one client in 2006.

Sword, D. (2008, Dec. 7). “Two New Efforts to Aid the Needy.” Sarasota Herald-Tribune.
Available at
Sarasota County and local charities are trying to find ways to address the rising demand for
assistance created by the foreclosure crisis and job losses. Calls to the United Way for rent,
mortgage, and utility assistance increased from 700 per month in January to 1200 in August, but
only 100-200 per month receive assistance based on available funding.

Moore, W.A. (2008, Dec. 4). “No Heat, No Lights, Then No Home in St. Petersburg.” St.
Petersburg Times.
Available at
After utilities were shut off at a residential hotel in St. Petersburg that had already been through
foreclosure proceedings, 53 people were displaced and had to find new homes. Advocates say
that tenants are often displaced by foreclosure but continue to pay rent because they are not
notified by their landlords until the last minute.

Spinner, K. (2008, Nov. 30). “Renters Should Be Wary of Landlords in Trouble.” Sarasota
Available at
This article reports that renters in Florida, leasing agents, and social service agencies that help
place low-income renters are beginning to check the finances of landlords to prevent entering into
a lease on a property that is at risk of foreclosure. Two families are highlighted that were evicted
from foreclosed rentals, and the article states that hundreds of the 822 properties foreclosed on in

** Link to article is no longer available.                                                    44
Manatee and Sarasota Counties were rentals. Without providing a source, the article reports that
as many as 311,000 renter households have been displaced by foreclosure in 2008.

Miller, G. (2008, Nov. 27). “Lee County Bankers Laud Crist Foreclosure Plan.” The News-Press.
Available at
Bankers in Lee County, FL, agree with the governor that there should be a moratorium on
foreclosures of owner-occupied homes because they represent such a small share of all
foreclosures – as few as 10% – but put people on the streets. All agree that foreclosures should
proceed on investment properties because they do not displace families, but none seem to
recognize that investment properties are often occupied by renters, who would subsequently be

Burton, B.J. (2008, Nov. 3). “Help the Forgotten Victims of the Housing Crisis.” Miami Herald.
Available at
The author states that foreclosures can impose financial strain on renters who often have little
time to find alternative housing. Additionally, landlords have the opportunity to rent to another
tenant before foreclosure proceedings have completed in Florida. Compared to last year, evictions
in Miami were up 9% in September.

WTVT13, FOX, Tampa Bay-St. Petersburg, FL. (2008, Oct. 24). “Renters Blindsided by
Available at
A family in St. Petersburg, FL, was given less than 24 hours to move from the home they were
renting. The bank that foreclosed on the property claims it mailed prior notices but the tenants did
not receive any advance warning. The family has nowhere to stay, and their belongings were put
in storage.

Blake, S. (2008, Oct. 18). “Rental Scam a New Risk.” Florida Today.
Available at
This article provides two examples of renters in Florida being evicted from their units due to
foreclosure and losing thousands of dollars in security deposits and advance rent payments.

Sainz, A. (2008, Oct. 16). “Renters in Foreclosed Homes Get Help.” Associated Press. Available
at A family
renting a condo in Miami Beach is at risk of eviction because the landlord is going through
foreclosure proceedings. The article provides a brief overview of tenant protections in place or
being considered in some states, but there are no such laws on the books in Florida.

WTVT13, FOX, Tampa, FL. (2008, Oct. 10). “Pasco Renters Displaced by Foreclosures on
Landlord’s Properties.” Available at
ale=EN-US&layoutCode=TSTY&pageId=3.2.1 This story focuses on two families in Pasco
County who have been paying their rent but are being evicted because their landlord stopped
paying the mortgage. As many as 600 people have been similarly evicted in Pasco County this

WTSP10 CBS, Tampa Bay, FL. (2008, Oct. 8). “Foreclosure Crisis Hits Tenants.”
Available at The
increasing incidence of households renting properties that are already in or are on the verge of

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foreclosure is prompting calls for state-level legislation to protect tenant rights. This link also has
a checklist that renters can use to avoid signing a lease that may end in foreclosure.

Back to Top


Paul, Peralte C. (2009, Nov 9). “Law helps renters forced out when landlord defaults.” The
Atlanta Journal-Constitution. Available at:
Even though there is a new law to help renters in foreclosed properties, it doesn’t always mean
that new owners are going to abide by that law. That’s what Crystal Johnson of Sandy Springs,
Georgia found out in June. Not only was the bank dishonest, but she had trouble finding lawyers
who knew enough about the new law to help her in her situation. It is important for renters to
know their rights and for them to be able to contact people who can help them understand and
maintain their rights in a foreclosure situation.

Oliver, Charles. (2009, Aug 23). “Law helps protect renters of foreclosed property.” The Daily
Citizen. Available at:
It appears that the first legal test of the new Protecting Families at Foreclosure Act of 2009 will
be in Georgia where a home owned by Paniagua Construction is in foreclosure, and a lease-to-
own resident, Ms. April Arrieta, wants to continue to live there throughout her 30-year lease.

Pickard, Mark (2009, May 14) Foreclosure: The Loss Of The American Dream. WXIA.
Available at
"I was renting from somebody" Annie Benson explains. "And I was paying my rent. And my
landlord said she got ill. And she couldn't pay the mortgage while we were paying. And then she
defaulted on her payment." In the cold and the rain, Annie Benson watches her life piled onto the
driveway of the house she used to live in...but can no longer enter.

WJBF6, ABC, Augusta, GA. (2009, Mar. 27). “Renters Faced with Foreclosures.”
Available at
An interview with a tenant facing eviction from a foreclosed rental property reveals the hardships
that renters in these situations face. The tenant discusses the difficulty she will have finding a new
place to live and paying for the cost of the move.

Hodson, S. (2009, Mar. 4). “Landlord Defaults Force Out Renters.” The Augusta Chronicle.
Available at
Two weeks after learning that the bank was foreclosing on the home she’s renting, a grandmother
fighting lung cancer appeared in court to fight the eviction. The judge will likely rule in favor of
the bank if the foreclosure has been handled appropriately, which will give the woman and her
elderly neighbor 24 hours to move.

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WAGA5, FOX, Atlanta, GA. (2009, Feb. 12). “Program Helps Renters in Foreclosures.”
Available at
The Fulton County mediation court has started a program to facilitate meetings between
foreclosing lenders and tenants of the foreclosed properties. The intent is to allow renters to
remain in foreclosed homes and prevent abandonment, and renters going through the process
typically remain in the home for one month after foreclosure.

WCTV2, CBS, Valdosta, GA. (2009, Jan. 13). “Tenants Evicted in Valdosta Foreclosure Crisis.”
Available at
A five-building multifamily rental property in Valdosta, GA, has been foreclosed on and at least
20 renters must find a new place to live on short notice. After an initial offer of $500, the tenants
have been offered $1000 if they can vacate in 15 days, but it is unlikely that this sum would cover
all of the costs involved in a move.

Simmons, A. (2008, Dec. 7). “Foreclosures Strike at Renters, Too.” Atlanta Journal-Constitution.
Available at
Highlighting the lack of protection from eviction that renters have in Georgia, this article
describes the story of a faithful renter who had to leave his home of eight years after a foreclosure
on his unit. A judge who handles evictions reports that the number of evictions this year is 10
times higher than two years ago.

Adams, T., & Gierer, L. (2008, Oct. 18). “Foreclosure Worries Mobile Home Residents.” Ledger-
Enquirer. Available at Foreclosure
proceedings have begun on a 400-unit mobile home park in Columbus, GA. Approximately half
of the homes are rented from park owners, and the other half are occupied by mobile home
owners who pay monthly site rent.

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Schaefers, A. (2009, Apr. 16). “Finding it Hard to Hang onto Home.” Honolulu Star Bulletin.
Available at
The owners of roughly 46% of homes in foreclosure in Hawaii have an address other than that of
the distressed property, indicating that a significant share are renter-occupied or vacation homes.

**DaSilva, A. (2008, Oct. 19). “Suit Puts 88 More Homeless Students in School.” Honolulu Star
Bulletin. Available at
?page=2&c=y Some school districts in Hawaii are reporting increases in the number of homeless
students ranging from 20% to 50% and attribute the phenomenon to foreclosures and a down

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KIFI8, Boise, ID. (2009, Feb. 3). “Rental Foreclosures Take Renters by Surprise.”
Available at
An apartment complex in Idaho Falls was foreclosed on, displacing the renters there. Renters face
housing insecurity as single-family and multifamily owners default on loans, often leading to

Talbutt, B. (2009, Feb. 2). “Boise Renters Increasingly Caught in Foreclosure Crisis.” Idaho
Available at
Idaho Legal Services is receiving a dozen calls each month from renters facing foreclosure-
related eviction, and two property management companies report numerous rental properties
going into foreclosure: for one, 20 since September; for another, 26 last year. One renter
receiving assistance from the Ada County Housing Authority tried to work with her bank to
remain in her home but decided to leave as the property fell into disrepair.

KIFI8, Boise, ID. (2009, Feb. 2). “SW Idaho Renters Caught in Foreclosure Web.”
Available at
Legal aid attorneys in Idaho are reporting an increasing number of low-income renters seeking
their services after being notified by a foreclosing bank that they must leave their homes.

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Tadena, Nathalie. (2009, Nov 10). “Law gives renters new rights in foreclosures.” The Daily
Northwestern. Available at:
Public Act 96-0111, or the Renter’s Bill of Rights, was signed by Gov. Pat Quinn on July 31 and
went into effect Oct. 29. Under the law, the new owner of a property in foreclosure must notify
residents at least 21 days in advance of the foreclosure’s completion and give renters at least 30
days to move after an eviction hearing. Owners who fail to do so are unable to collect rent or
evict tenants due to non-payment.

Wynn, Janeen. (2009, Nov 3). “New foreclosure law gives renters a sigh of relief.” Medill
Reports. Available at:
A bill sponsored by state legislators Jacqueline Collins and Will Burns, both Chicago Democrats,
provides protection for renters who are living in residences that are being foreclosed. Gov. Pat
Quinn signed the bill this summer and it took effect last week. The bill states that a landlord who
is undergoing foreclosure must immediately inform tenants, provide contact information for
services or repair requests and post notices with contact information at the property. The bill also
specifies that once a property is foreclosed, the new management must make good faith efforts to
notify tenants of new ownership.

Moore, Natalie. (2009, Nov 2). “New law Helps Illinois Renters in Foreclosure Limbo.” Chicago
Public Radio. Available at:
A new state law just took effect that gives tenants the right to find out who owns their building or
who’s in control during the foreclosure process. The law states that the person or entity in charge

** Link to article is no longer available.                                                  48
of the mortgage has to contact the renters, or at least make an effort to. If this isn’t done, the
owner cannot collect rent from the tenants. California and Minnesota have similar laws.

WGIL. (2009, Nov 1). “Protection for Apartment Renters Living in Foreclosed Buildings.”
Illinois Radio Network. Available at:
HB 3863, which is an amendment to the Code of Civil Procedure, went into effect on October 21
and provides renters living in foreclosed buildings with a number of new rights.

Prior, Jon. (2009, Oct 29). “Illinois Law Gives Renters 21-Day Notice of Foreclosure.” Available at:
HB 3863, which requires all new owners of apartments in foreclosure to notify all tenants within
21 days, went into effect on October 21. The bill requires that the new owner give all residents
contact information and a place to be reached for repairs. Owners failing to comply cannot
collect rent from tenants until the requirement is fulfilled. However, after it is fulfilled, the owner
can collect all rent that is due—except that rent owed to the last owner.

eNews: Park Forest. Press release. (2009, Oct 29). “New State Law Goes Into Effect to Protect
Renters Impacted by Foreclosure.” eNews: Park Forest. Available at:
HB 3863 goes into effect on October 21, 2009. The law will provide guaranteed notice of
foreclosure to tenants and clarified eviction procedures to renters.

Ataiyero, KT. (2009, May 14) Foreclosure can weigh on tenants. Chicago Tribune.
Available at,0,7128720.story
In Cook County a tenant whose rent is current generally has up to 120 days to vacate a foreclosed
property, according to the sheriff's department. …If you're behind on your rent, an eviction can
occur much more quickly.

Zelinski, A (2009, May 6) Vacant homes weaken neighborhoods across Illinois. Chicago
Available at,0,2335448.story
As employment in Illinois continues to erode, some people will face foreclosure, begin renting
apartments or move in with family and friends -- all shrinking tax revenue for the city, county and
state and possibly forcing officials to seek tax increases to make up the difference, said Geoffrey
Hewings, director of the Regional Economics Applications Laboratory at the University of

Allgood, E. (2009, Apr. 24). “Foreclosures Threaten Student Living.” Daily Illini.
Available at
A lawyer with Student Legal Services reports that students at the University of Illinois face
eviction as property owners lose their homes to their lenders.

Summers, N. (2009, Mar. 10). “Vigilante or Hero?” Newsweek.
Available at

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In this interview transcript, Cook County Sheriff Tom Dart explains in detail the situations he
encountered when executing eviction notices on unsuspecting renters. These situations prompted
him to temporarily suspend evictions and fight for better notification practices from the
foreclosing lenders.

Hawbaker, L. (2009, Mar. 10). “DuPage County Homelessness Jumps 34 Percent.” Naperville
Available at,DuPage-
Homeless is on the rise in suburban Chicago, up 34% in DuPage County. This article says that
almost 10% of the increase in homelessness is a direct result of foreclosure activity in the area.

Knowles, F. (2009, Mar. 2). “Foreclosures Spread to Middle-Income Chicago Communities.”
Chicago Sun-Times.
Available at,chicago-home-forecloses-030209.article
In this article covering foreclosures in Chicago, a woman who lost the home she owned for 35
years is quoted. She states that when her home was foreclosed on, the renters occupying the
building’s second floor also were evicted.

Elejalde-Ruiz, A. (2009, Feb. 26). “What to Know When You’re Renting.” Chicago Tribune.
Available at
This Q&A in the paper’s real estate section notes the following: Chicago’s rental market is not
“booming” because the job market is bleak; landlords will still try to raise rents, though the
increase will be less than last year; and low-income renters are not better off because they’re
being evicted – often without their security deposit – and low-cost units are being held off the

Cottrell, M. (2009, Jan. 12). “Communities Search for Solutions to Housing Crisis.” Chi-Town
Daily News.
Available at
The Chicago Rehab Network, which recently hosted a forum to address the housing crisis in
Chicago, estimates that of the 1,000 foreclosure filings that occur each month in the city, one-
third of the properties are renter-occupied. Exacerbating the rental housing crisis in Chicago is
redevelopment that is occurring in anticipation of the Olympics, which is producing drastic rent

Housing Action Illinois. (2008, Dec. 22). Who’s serving whom? Analyzing the frequency of loan
servicer modifications. Chicago, IL: Author.
Available at
A study based on a survey of 45 housing counselors employed at 35 housing counseling agencies
in Illinois reports that many foreclosures are affecting rental units and tenants. Of those surveyed,
39% said that tenants “often” or “very often” occupy the units that are at-risk of foreclosure. The
report also finds that, according to these counselors, roughly three-quarters of loan servicers
rarely agree to workout plans that would prevent foreclosure, and repayment plans, which often
do not help homeowners in the long-run, are the most common form of workout.

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Black, L., Bowean, L., & Schmadeke, S. (2009, Jan. 7). “Shelters Brace for Homeless Families.”
Chicago Tribune.
Available at
This article tells the story of several families who have become homeless as a direct result of
foreclosure and others who are on the brink of homelessness for other reasons in the Chicago

Duchnowski, J. (2008, Nov. 29). “New Policy Notifies Renters of Owner Foreclosures.”
Northwest Herald.
Available at
Recognizing the hardship that foreclosure-related evictions place on renters, the sheriff’s office in
McHenry County, IL, has instituted an early-warning policy. Deputies promptly visit foreclosed
homes after receiving a foreclosure court order, thereby giving renters one or two months notice
of an impending eviction. During this time, renters can attempt to find alternative housing.

Dunleavey, M.P. (2008, Nov. 14). “Tight Times Even Tighter for Charities.” New York Times.
Available at
The chief executive for Catholic Charities in Chicago reports an increasing number of renters are
seeking financial assistance after being evicted from homes that have been foreclosed on.
Nationally, charitable contributions are down but demand is up during these trying economic

Esposito, S. (2008, Oct. 21). “Foreclosure Evictions Back.” Chicago Sun Times.
Available at,CST-NWS-evict21.article Cook
County Sheriff Tom Dart commenced serving eviction notices after a new court document
ensures that occupants are named and have been given proper notice of the impending eviction.
Of 19 homes visited the day after the sheriff agreed to serve notices again, none was evicted. One
tenant interviewed for the story had no idea that his rental unit was going through foreclosure.

Knowles, F. (2008, Oct. 19). “Landlord’s Woes Are Renter’s Too.” Chicago Sun-Times.
Available at,CST-NWS-foretenant19.article A
family in Chicago is facing imminent eviction because their landlord’s unit is going through
foreclosure proceedings. A lack of nearby affordable housing will make it difficult to find another
residence that is proximate to both work and school for the children.

Roesgen, S. (2008, Oct. 16). “Illinois Sheriff to Resume Foreclosure Evictions.”
Available at After
suspending court-ordered evictions in Cook County because blameless renters were being put out
on the street, Sheriff Dart has agreed to resume them as long as the lender: provides the court
with information on who the occupants are; shows proof of the most recent inspection date; and
proves that tenants were given 120 days to find alternative housing before the scheduled eviction.
A social worker will also be made available to assist those evicted., Chicago, IL. (2008, Oct. 9). “Illinois Sheriff Scolds Banks for Evictions of ‘Innocent’
Renters.” Available at Sheriff
Thomas Dart of Cook County, IL, has refused to execute eviction orders from lenders unless the
lenders can verify either that the owner lives in the building or that the renter occupying the law
has received proper notice as stipulated in state law. The sheriff recognizes the injustice of

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evicting renters who have done nothing wrong and who have not been notified of an impending

Leland, J. (2008, Oct. 8). “Sheriff in Chicago Ends Evictions in Foreclosures.” The New York
Times. Available at
Sheriff Thomas J. Dart of Cook County, IL, became the first in the country to refuse to evict
residents from foreclosed properties. Many renters who were current on their rent were being
displaced from their homes with little notice. The number of foreclosures in the sheriff’s
jurisdiction is triple what it was in 2006, and it’s estimated that half of Chicago foreclosures are

This story is also covered in the following news outlets:
Chicago Tribune -
Yahoo News -
AP -

Schory, B. (2008, Oct. 7). “No Home? Kids Still Have School.” Kane County Chronicle.
Available at
.This article links the foreclosure crisis and subsequent eviction of renters to an increase in the
number of homeless children. The right to attend the same school is a stabilizing factor but does
not replace a stable home.

**Spielman, F. (2008, Sept. 30). “Renters Hit by Foreclosure to Get Warnings.” Chicago Sun-
Times. Available at,rent092908.article
A law proposed by Chicago’s City Council would require small landlords to notify their tenants
within seven days of receiving a notice of foreclosure from the bank. The article cites statistics
from the Lawyers Committee for Better Housing that as many as 2,500 families and 10,000
tenants could be evicted following a foreclosure in Chicago in 2008.

Gary, A. (2008, Sept. 27). “Housing Slowdown Hasn’t Segued into Renters Boom.” Rockford
Register Star. Available at
An increase in foreclosures in the Rock River Valley (IL) has produced lower vacancy rates
among high-cost rental units but had little effect on demand for lower cost units. This may be
partly explained by families doubling-up and by the addition of more single-family units to the
rental stock as families decide to rent rather than sell. Despite the perception that foreclosures
have not affected rental demand overall, rents are 6.3% higher than in 2007.

PR Newswire. (2008, Sept. 10). “Foreclosure Crisis is Affecting Renters, Too.” Market Watch
:Available at
A new online service operated by Illinois real estate broker Baird and Warner allows renters to
search a database to determine whether a property is in foreclosure. This is a valuable tool for
renters because they are often the last to know about foreclosure.

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Spak, K. (2008, Sept. 2). “Renters in Foreclosed Buildings Get a Break.” Chicago Sun-Times.
Available at,CST-NWS-evict02.article
Sheriff’s deputies in Cook County, IL, are allowing renters one week to prove that they legally
reside in a foreclosed unit. Upon seeing proof, deputies are canceling the eviction. Until recently,
evictions would take place as scheduled with no grace period for renters to provide proof of

Spielman, F. “New Laws to Protect Renters from Foreclosure.” (2008, Aug. 15) Chicago Sun-
Times. Available at,rent081508.article
Chicago’s mayor unveiled plans to provide rental assistance and expanded legal services to
renters evicted from foreclosed properties in the city. These measures would complement state
legislation awaiting the governor’s signature that would give renters at least 90 days to vacate a
foreclosed unit. It is estimated that small multi-unit rental buildings represented 35% of
foreclosures in Chicago in 2007 and that as many as 2,500 families in the city could be evicted as
a result of foreclosure this year.

Hutson, W., “Apartment Renters Caught in Foreclosure Net.” (2008, Aug. 13) Chicago Defender.
Available at
in-foreclosure-net.html Cook County, the largest county in Illinois with over 5.3 million
residents, recorded more than 38,467 foreclosure filings in 2007, up 11,180 from 2006.
According to the executive director of the Metropolitan Tenants Organization (MTO), the
organization received 50 calls last month from renters living in foreclosed units when it typically
only receives five such calls each month.

Smith, G., & Duda, S. (2008, August). “Foreclosure Fallout: An Analysis of Foreclosure
Auctions in the Chicago Region.” Chicago, IL: Woodstock Institute.
Available at This analysis of foreclosure auctions in the Chicago
area concludes that while the number of foreclosure filings – the first stage in the foreclosure
process – increased 32% from 2006 to 2007, the number of foreclosed properties that went to
auction and actually resulted in a change of ownership increased by 98% over the same period.
Data show that the foreclosing lender assumed ownership of 94% of these properties after auction
in 2007, up from only 71% in 2005. The confluence of more properties going to auction and the
higher incidence of lenders assuming ownership led to 12,897 properties becoming bank-owned
in 2007, compared to only 3,896 in 2005. The report also notes that the 2-to-6 unit stock
represents a growing share of properties going to auction, at 37% in 2007. As banks take
possession of an increasingly growing share of multi-unit properties, it is likely that the number
of displaced renters is growing and the available rental stock is shrinking.

Burkert, M., “Tips for Renters Caught Up in Foreclosure.” (2008, Jul./Aug.) The Chicago
Reporter. Available at
As part of the article “A Renter’s Nightmare” in the July/August edition of The Chicago
Reporter, Madelaine Burkert provides a list of tips for renters to help them avoid eviction. The
tips include recommendations for renters during all phases of their lease, including precautions to
take before a lease is signed, while renting, after a foreclosure, and others to take if all else fails.

Schmitz, C., “Rental Runaround.” (2008, Jul./Aug.) The Chicago Reporter.
Available at Renters
evicted from foreclosed properties are experiencing difficulty in finding rental housing in
Chicago’s already saturated market. Currently, Chicago has an 80,000-unit shortage in the
affordable rental housing stock for low income families. However, according to The Apartment

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People, a free apartment locating service, good deals still exist for renters in Chicago as long as
they are flexible as to which neighborhood they want to live in and are open to living in a basic

Virella, K., “A Renter’s Nightmare.” (2008, Jul./Aug.) The Chicago Reporter.
Available at's_Nightmare Banks
who have repossessed properties due to foreclosures have been telling the tenants of such
foreclosed properties to vacate “immediately” instead of the 30 days required by IL law.
Mortgage companies continue to evict tenants as quickly as possible in order to resell them and
recoup their losses. The article offers several recommendations for renters to help them before,
during, and after any potential foreclosures.

Woodstock Institute, Foreclosure Crisis Impacts Chicago’s Rental Housing Market (May 2008).
Available at
This report shows how rising levels of foreclosures are adding stress to the affordable rental
housing market, which is already troubled. In Cook County, IL the imbalance between demand
for affordable rental housing and the affordable rental housing stock totaled 114,000 units by
2005. Foreclosures have forced families to leave owner-occupied households for rental housing in
order to satisfy a temporary, or long term, need for housing. With the supply of affordable rental
housing decreasing due to condominium conversions, demolition, and previously affordable units
increasing rents to market rates, the housing stock cannot handle current demand levels.

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Jones, Pamela. (2009, Dec 18). “Tenants Lack Heat as Bank Forecloses on Building.” CBS 2.
Available at:
The owner of a Whiting, Ind. apartment building is leaving his tenants out in the cold -- literally.
The residents say he lost the building to a bank without telling them and their heat was shut off
before they could move out. The tenants are still paying their rent, and have not been given the
proper information about what is going on with their building.

Swiatek, J. (2009, June 15). “New rules, programs aid Hoosier foreclosure candidates.” The
Indianapolis Star. Available at:
Indiana homeowners facing foreclosure are starting to see benefits of new legal protections and
counseling along with millions of dollars in new federal grants. On July 1, a new state law takes
effect requiring mediation between homeowners and lenders in foreclosure cases.

Schladen, M. (2009, Jan. 25). “Deputy Sympathetic in Foreclosure Duty.” The Journal Gazette.
Available at
The police sergeant in Ft. Wayne, IN, interviewed in this article says that he serves 150-200
eviction notices per month. He said that most people know the eviction is coming but that renters
are can be surprised to learn that they must leave their home because their landlord did not notify

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them that the house was in foreclosure. This situation is becoming more common, according to
the sergeant.

Keagle, L.H. (2008, Nov. 27). “Economy Hitting Homeless Agencies, Clients Hard.” The Times.
Available at
Workers at homeless shelters in Munster, IN, indicate that homelessness is on the rise. Unlike in
years past, shelter employees report that an increasing number of people are seeking shelter
because they were displaced from rental properties after their landlords fell behind on the

**WISH-TV8, Indianapolis, IN. (2008, Oct. 10). “Shelters Worried About Homeless Needs.”
Available at The director of
Dayspring shelter in Indianapolis says that families are becoming homeless after being evicted
from their rental units following a foreclosure.

WHTR13 NBC, Indianapolis, IN. (2008, Oct. 9). “Renters Also Affected by Foreclosures.”
Available at Renters in a
townhouse development in Indianapolis face an uncertain future because an owner of several
units has been in default on the mortgages since May.

Benman, P., “Renters Caught Up in Foreclosure Storm?” (2008, Jul. 13) The Times of Northwest
Indiana. Available at
Banks who have foreclosed on non-owner occupied properties in Northwest IN have not been
allowing renters to continue paying rent in order to stay in the properties. Many banks have been
offering tenants $1,000 as an enticement to move out within a week of foreclosing on a property,
known as “cash for keys.”

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KMEG14, CBS, Sioux City, IA. (2009, Feb. 7). “Confusion for Tenants of Foreclosed
Available at
Tenants in properties owned by one investor in Sioux City are unclear who must vacate their
homes. Twenty-five properties were supposed to be affected, displacing tenants with only a few
days notice, but confusion surrounded exactly who had to move. Advocates note that the renters
do not have adequate money to cover the costs of a new security deposit or moving expenses.

KCAU9, ABC, Sioux City, IA. (2009, Feb. 4). “Coalition Offers Help to Displaced Renters.”
Available at
Hundreds of renters displaced from a foreclosed apartment building in Sioux City, IA, must be
out of their homes by February 7. A coalition of groups in the city is scrambling to help the
renters find the necessary resources – transportation, supplies, money for a security deposit – to
move successfully into new housing.

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KPTH44, FOX, Sioux City, IA. (2009, Jan. 30). “Foreclosure News Sends Dozens More
Scrambling for Housing.”
Available at
A property owner in Sioux City, IA, has lost multiple properties to foreclosure, displacing dozens
of tenants who now must scramble to find alternative housing. The tenants of the 25 units
received very little notice that they would be evicted. Four more buildings may be emptied by the
bank next week, and the landlord owns a total of 242 units, all of which may be at risk of

This story is also covered in the following news outlets:

KCAU9, ABC, Sioux City, IA. (2009, Jan. 8). “Police, Renters Wonder What Will Happen
Available at
“Dozens of buildings” and “hundreds of renters” are being affected by foreclosure because a large
property owner in Sioux City, IA, could no longer afford to cover the costs associated with
maintenance and utilities. There is concern that the city does not have an ample supply of rental
housing to accommodate the number of households simultaneously searching for a new place to

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Metz, C. (2009, Apr. 19). “Economy, New Units not Driving Rent Down.” Lawrence Journal-
Available at
In this article about stable rents in Lawrence, KS, a housing counselor notes that they received
many calls from students receiving foreclosure notices on their rental homes. Several apartment
buildings in Lawrence have also experienced foreclosure recently.

KWCH 12, CBS, Wichita, KS. “Renters Too Feel Pain of Foreclosure.” (2008, Aug. 21).
Available at
Local news investigates a property manager hired by a court-appointed trustee of a foreclosed
property to rent the property to tenants. The property manager rented the unit “as-is” and assumed
no responsibility for making the property habitable. The city is investigating the numerous code
violations, but the confusion surrounding the property’s ownership complicates enforcement.

Wenske, P., “Renters Get Caught in Mortgage Crunch.” (2008, Jan. 28) The Kansas City Star.
Available at A Mortgage Bankers
Association survey found that one in five foreclosed properties involves a rental unit, with poorer
neighborhoods fairing worse. Commenting on the growing impact foreclosures have had on
renters, Pat Gilmore-Wilkins, Executive Director of the Greater Kansas City Housing Information
Center, stated, “at first we just saw homeowners. Now we’re seeing more tenants at risk of being

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Huang, J. (2009, May 13) Renters Stand To Lose In Foreclosure Disputes. Maine Public Radio.
Available at
Landlord A, who filed for bankruptcy, agreed to sell several Portland apartment buildings to
Landlord B. But Landlord A says Landlord B is defaulting on mortgage payments. Now the two
landlords are in litigation and both are trying to collect rent from the confused tenants. Zivkovic
paid one landlord for May's rent and not the other, and is worried about what the other landlord
will do. "I feel like I made a grevious error, you know? And don't really know where to go from
here," she says.

Exception Staff (2009, May 11) Maine Legislators Debating New Home Foreclosure Laws. The
Exception Magazine
Available at
Another measure, LD 148, would require that mortgagees mail a notice of foreclosure to all
tenants no less than 14 calendar days after the foreclosure proceeding is commenced. LD 1144
defines the rights of renters living on properties under foreclosure proceedings. Tenants would be
able to stay in their apartments up to 30 days after the property was finally foreclosed. If a
mortgagor fails to notify a tenant within a week after the property goes into foreclosure
proceedings, the tenant gets one month free rent.

Hench, D. (2009, Jan. 26). “Evictions Surge Amid Foreclosures, Unpaid Rents.” Portland Press
Available at
This article highlights the growing number of evictions in Maine. Although some renters are
victims of the recession and falling behind on their rent payments, a lawyer with Pine Tree Legal
Assistance says that the number of renters being evicted when a landlord loses the home to
foreclosure is on the rise.

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Izadi, E. (2009, Mar. 5). “Legislators Work to Protect Renters.” Prince George’s Gazette.
Available at
The story of a family who was evicted from their rental property in Prince George’s County, MD,
during Christmas week inspired a state legislator to introduce a bill to afford renters greater

Tully, M. (2009, Feb. 27). “County Official Asks for Help for Renters in Foreclosure.” Frederick
Available at
The rental program coordinator at the Frederick County Department of Housing and Community
Development relates the story of a single mom and her five children being evicted from a
foreclosed property with only 10 days notice. Legislation is being considered that would compel

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new owners to honor existing leases for 90 days, and the coordinator is also advocating for the
guaranteed return of security deposits.

Malarkey, J. (2009, Jan. 22). “Homeless Survey to Focus on Youth, Foreclosure.” The Baltimore
Available at
The director of Baltimore Homeless Services reports that the foreclosure crisis has created left
more households seeking their assistance. According to the director, many of those who have
become homeless as a result of foreclosure are renters evicted from their homes because
homeowners often have the resources to avoid immediate homelessness.

Spradlin, K. (2008, Nov. 26). “Agencies Struggling to Help Area’s Homeless.” Cumberland
Available at
The population requiring homeless services is rising in Cumberland, MD. Discussing the reasons
for homelessness, the program director at a local shelter references one family who paid their rent
on time but was evicted from a foreclosed home and became homeless.

Tully, M. (2008, Nov. 7). “Officials Work to Protect Renters from Evictions.” Frederick News-
Available at
The Department of Housing and Community Development in Frederick County, MD, has
encountered 10 renter households who have been evicted from foreclosed properties, and no one
knows how many others have faced similar hardship but not contacted the department. County
commissioners support efforts by two state delegates to give tenants more warning of an
impending eviction; some are evicted with as little as 10 days notice today.

Hopkins, J.S. (2008, Sept. 8). “How-to Mondays: Apartment Intelligence.” Baltimore Sun.
Available at
Rents in large multifamily properties in Baltimore are up only 2% compared to last year, partly
because owners who do not want to sell for a loss are renting their homes. Known as the shadow
market, these properties are largely priced to compete with high-end rental units, and despite the
additional supply, demand in downtown Baltimore has driven rents up 4%.

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Taber, David. (2009, Nov 6). “Foreclosures are few in JP.” Jamaica Plain Gazette Online.
Available at:
Compared to the rest of Boston, Jamaica Plain is facing fewer foreclosures. 68 foreclosures have
been filed as of October 28, which is higher than the 2008 number of 59. 34 of the 68 have been
multi-family homes.

Taber, David. (2009, Nov 6). “Roslinde foreclosure petitions jump.” Jamaica Plain Gazette
Online. Available at:
The Roslindale area saw the highest increase in foreclosures of any neighborhood in Boston
between 2007 and 2008, according to the City of Boston report Foreclosure Trends 2008. So far
this year, according to Warren Group numbers, multi-family homes have seen 43 petitions out of
111 and 10 foreclosures out of 33, and condos, 31 petitions and 11 foreclosures.

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Berry, J. (2009, July 8). “Cape evictions test new federal law.” Cape Cod Times. Available at: group
of tenants who received eviction notices last week at a local lodging house may be among the
state's first to find protection under a federal foreclosure law signed this spring by President
Barack Obama. As many as a dozen tenants in six rental units at Park Square Village, a 36-unit
boardinghouse on Main Street in Hyannis, received eviction notices Friday threatening legal
action if they did not vacate their units within seven days.

Holtzman, M. (2009, June 23). “KNOW YOUR RIGHTS: Law students help tenants protect
themselves.” The Herald News. Available at:
A small group of area law students is circulating throughout the South Coast to help tenants learn
their rights and avoid evicted under harsh terms because landlords didn’t pay the bills and the
banks came knocking at their doors. “Only the court can evict you after a foreclosure,” said Kelly
Rafferty, one of six Roger Williams University School of Law students involved in a new
summer program.

McKim, J. (2009, May 21) Council backs foreclosure protections. Boston Globe.
Available at
Globe Staff / May 21, 2009 The first petition seeks to protect tenants and former owners in
foreclosed buildings from eviction. Residents would be required to pay rent until the distressed
properties were resold. The second petition would impose a 180-day moratorium on foreclosures
for owners of some homes. The moratorium would be limited to borrowers whose loans were
considered unfair. The third petition would create a foreclosure mediation program.

McKim, J.B. (2009, Apr. 22). “More Being Foreclosed into Homelessness.” Boston Globe.
Available at
This article reports on a survey showing that 8% of Massachusetts’s homeless attribute their
condition to foreclosure, up from 3% in a survey conducted last year. The article also tells the
stories of some of the families affected.

NECN, Boston, MA. (2009, Mar. 12). “Bus Tour Highlights Foreclosure Crisis in Mass.”
Available at
A bus tour of foreclosed properties stops to hear renters talk about the injustice of eviction and
the horrid conditions of some foreclosed properties that are still occupied. Advocates want more
renter protections and a six-month moratorium on foreclosures for subprime loans.

TODAY on (2009, Feb. 3). “The Changing Face of Hunger.”
Available at
This story highlights the difficulties that working families in Boston are having making ends meet
in the economic downturn and interviews one family who became homeless after their lender
foreclosed on their home. The story demonstrates the current need for emergency assistance and
tenant protections.

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McKim, J.B. (2009, Feb. 3). “Forgotten in Foreclosures, Renters Forced to Live in Decaying
Homes.” The Boston Globe.
Available at
This article highlights the practice of some lenders who have foreclosed on homes in the Boston
area but do not maintain them for the renters who continue to live there. Some 27% of properties
that have been foreclosed on since last year have not been registered with the city and thus are not
being monitored for compliance with city codes. Maintenance is made more difficult because it is
often hard to determine who owns the property or how to contact them.

Crimaldi, L. (2009, Feb. 1). “Foreclosure Crisis Hits Dorchester Renters Hard.” Boston Herald.
Available at
Like many renters of multifamily units in Massachusetts, a family in Dorchester was evicted
when its landlord lost the unit to the bank. The family, which has a Section 8 voucher, was
displaced during its legal battle when the building sustained fire damage and now lives in a
temporary motel.

Urbon, S. (2009, Jan. 15). “Shelters Help Homeless Face Cold Reality.” Standard-Times.
Available at
In this article about the services available to the homeless in New Bedford, MA, a social services
director recounts the story of two renter families who had to leave their homes because the
landlords, who were in foreclosure, refused to fix broken boilers and burst pipes.

Gerardi, K.S., & Willen, P.S. (2008, Dec. 22). Subprime Mortgages, Foreclosures, and Urban
Neighborhoods. Boston, MA: Federal Reserve Bank of Boston.
Available at
In this study, the authors match sales and foreclosure transactions with loan information and
racial characteristics from Home Mortgage Disclosure Act data in Massachusetts. The authors
show that subprime lending did not increase minority homeownership as much as is commonly
believed. The study also delves into the foreclosure of multi-unit buildings, which are commonly
located in low-income, minority communities.

Schworm, P. (2008, Dec. 24). “Cardinal Makes Christmas Eve Visit to Homeless Shelter.” The
Boston Globe.
Available at
The director of a homeless shelter in Boston states that renters displaced by foreclosure with little
warning of the impending eviction partially account for the rising number of people seeking

Leenders-Cheng, V. (2008, Dec. 21). “Wish for the Holidays: A Roof Over Their Heads.” The
Boston Globe.
Available at
A family in Boston lost their home to foreclosure and became homeless. The article discusses the
hardships they endured, including a five-week stay in a short-term transitional motel.

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Christie, L. (2008, Dec. 9). “Tenants Victimized by Foreclosures.”
Available at
Foreclosures on 2-4 unit buildings numbered 22,386 through October, a 150% increase over last
year, and Greater Boston Legal Services alone has represented tenants in 174 eviction cases to
date this year. Despite legislation to the contrary, a legal services attorney in Connecticut said that
Fannie Mae continues to evict renters in foreclosed buildings. A Fannie Mae spokesperson says
that it offers to provide “cash for keys” to renters but is also willing to help some avoid eviction.
In a few metro areas, the company is also testing the possibility of hiring companies to manage
properties that it owns while they’re on the market, thus allowing renters to stay in place.

Boston Globe Business Team. (2008, Dec. 9). “New Foreclosure Brochure Outlines Renters’
Rights.” The Boston Globe.
Available at
In this article discussing a brochure on tenants’ rights issued by the governor of Massachusetts, it
is estimated that 30% of foreclosures in the state in 2007 were on multi-family properties. The
estimate was provided by the Commonwealth’s Division of Banks.

WHDH7, NBC, Boston, MA. (2008, Nov. 30). “Free Legal Help for Low-Income Residents
Drying Up.”
Available at
In this article about reduced funding for legal aid, the demand for renters in Lawrence, MA, is
discussed. Many households being displaced by foreclosure in Lawrence are renters who paid
their rent but were not notified by the landlord that the bank owned the property. Many of these
renters require the free legal assistance that is being cut.

Turner, M. (2008, Nov. 27). “Springfield: City of Foreclosures.” Valley Advocate.
Available at
The foreclosure crisis is hitting rental units particularly hard in Springfield, MA, where half of all
homes are renter-occupied and where “the investment market has certainly taken the biggest hit.”
Renters in foreclosed properties sometimes find it difficult to rent again because their landlord
will not communicate with them, thus leaving them without a reference for future landlords.

Crimaldi, L. (2008, Nov. 23). “Eviction Spike Leaving More Bay Staters Out in the Cold.”
Boston Herald.
Available at
An estimated 60% of the 2,400 households expected to be evicted as a result of foreclosure in
Boston this year are renters. At least 2-3% of those in homeless shelters are there because of the
foreclosure crisis.

Crimaldi, L. (2008, Nov. 23). “Renters Bear Crunch’s Brunt.” Boston Herald.
Available at
The Boston Housing Court sees 15-20 cases per week in which banks are attempting to evict
tenants from foreclosed properties that the banks now own. An attorney said that in an effort to
lessen the legal representation of low-income renters, banks like to file eviction cases in district
court where pro bono assistance is scarce. Banks are also attempting to use “cash for keys” offers
to empty buildings without notifying tenants that they have a right to stay even after the

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Ragusea, A. (2008, Nov. 21). “Foreclosed Tenants Fight Eviction.” WBUR, Boston Public Radio
Available at
Tenants in a three-unit building in Boston resisted Fannie Mae’s “cash for keys” offer after the
GSE foreclosed on the building’s owner. The renters worked with a local CDC, who purchased
the property from Fannie Mae and allowed the renters to stay. City Life, a community organizing
nonprofit, estimates that as many as 25,000 renter households in Greater Boston may be displaced
by foreclosure this year.

Blanton, K. (2008, Oct. 29). "Area's rents up 4.2% in one year." Boston Globe.
Available at Blanton, K. (2008, Oct. 29). "Area's rents up 4.2% in one year." Boston Globe.
Available at
Rental prices in Boston have increased significantly over the past year, rising to 4.2%, due to the
high number of foreclosures and a slowing housing market. With families losing their homes
because of foreclosures, the demand for apartments is increasing, allowing landlords to easily
raise rental prices. Also, many potential homeowners are staying in apartments while waiting to
see just how low home prices will go. This article noted that high-end, luxury apartment buildings
are raising their rents more than other rental properties. The impact on low-cost rentals is less

Schiavone, C. (2008, Oct. 23). “Officials, Advocates Fear Homelessness is Rising.” The Beacon.
Available at
The director of the public housing authority in Acton, MA, said that three families have sought
housing assistance in the last two months because they lost their home to foreclosure.

Appelbaum, B., “Default Crisis Is Evicting Renters: Tenants Forced Out by Foreclosures.” (2007,
Oct. 21) The Boston Globe, p. A1.
Available at
The foreclosure crisis has even affected renters who have not taken out unaffordable mortgages.
Mortgage companies usually become the new owner of a foreclosed property and are averse to
acting as landlords because it is easier to sell a vacant building. According to housing lawyers,
about 20 eviction cases per week in Boston Housing Court involve tenants living in foreclosed
properties—more than 100% since 2006.

WCVB5, ABC, Boston, MA. (2008, Oct. 9). “Homeless Family Victim of Foreclosure.”
Available at A family in Boston is
profiled because after losing a home through foreclosure, they have been intermittently homeless
for the last year. Homelessness in Boston is up as much as 25% over the last three or four months.

**LeBlanc, S. (2008, Oct. 6). “Economy Creates Surge in Homeless Mass. Families.” Associated
Press. Available at
sASgD93KSJ9G0 The number of homeless families in motels has increased from 17 to over 550
in the last 12 months in Massachusetts. A lack of affordable housing and the slumping economy
have forced the state to house homeless families in motels because shelters are at capacity.
Recognizing it as a contributing factor, the state has also begun tracking the number of families
who have become homeless as a result of the foreclosure crisis.

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McFarlane, C. (2008, Sept. 26). “Duct Tape is No Remedy for Sewer Leak.” Worcester
Telegram. Available at
Tenants in a multifamily building in Worcester are seeking assistance to keep their property
livable. The owner has walked away from it, and the lender has delayed foreclosure proceedings
and not maintained it. The city is attempting to gain control of the property through a court-
ordered receivership.

Wyeth, A. (2008, Sept. 8). “Banks Take a Beating on REO.” Banker & Tradesman. Available at
A study of foreclosed properties in Massachusetts finds that 95% of those that went to auction
between September 2007 and February 2008 were purchased by the lender, and nearly half are
still owned by the bank. Of those sold after auction, the average sales price was $45,000 less than
the amount owed on the mortgage. Because of such losses and the costs of foreclosure
proceedings and property maintenance, banks are becoming more willing to accept a short sale or
modify existing loans.

Fraser, J. (2008, July). “2008 Foreclosures by Property Type for Lowell and Lawrence.”
Merrimack Valley Housing Report, 1 (2), 2-3.
Available at
Although multi-unit buildings make up only 23% of Lowell’s and 48% of Lawrence’s housing
stock, they represent 46% and 73% of the foreclosures in the Massachusetts cities, respectively.

Foote, C. L., Gerardi, K., Goette, L., and Willen, P. S. (2008, May 30). Subprime Facts: What
(We Think) We Know about the Subprime Crisis and What We Don’t. Public Policy Discussion
Papers, Federal Reserve Bank of Boston.
Available at
Foreclosures in MA comprise a disproportionate share of multi-family dwellings, defined as
properties containing two-to-four separate units, as they account for only 10% of residential
purchases but 30% of the state’s current foreclosures. Since most units in multi-family properties
are rented, the pool of families that have been directly affected by foreclosures in MA is
significantly larger than the number of foreclosure filings, affecting both property owners and any

Kahn, R., “Foreclosing Costs.” (2008, Mar. 9) The Boston Globe.
Available at In
Boston the number of citywide foreclosures more than doubled from 276 in 2006 to 705 in 2007.
The foreclosure crisis is not only ousting homeowners from their homes, but also unsuspecting
renters living in foreclosed units.

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WWMT (2009, May 4) Foreclosure fears hit mobile home parks.
Available at
A company called West Michigan Venture owns East and West Gun River Estates, in addition to
three other mobile home communities across West Michigan. The company is still hoping to
avoid foreclosure altogether, but if that is not possible, the lender says that "no tenants in good
standing would be at risk of being evicted as a result of a change in ownership or management."

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Anonymous blog entry. (2009, Jan. 28). “Foreclosure Crisis Hurts Renters, Too.” Port Huron
Times Herald.
Available at
This is a testimonial from a renter whose home was foreclosed on in Port Huron, MI. The renter
lost the security deposit but was luckier than many because the bank has agreed to let the renter
remain in the home.

Behnan, C. (2008, Dec. 8). “Food, Shelter Needs at Historic Highs.” Daily Press & Argus.
Available at
The Oakland Livingston Human Service Agency in Michigan works primarily with families in
foreclosure and at risk of becoming homeless. Demand for emergency assistance is 40-66%
higher than in 2007, and the agency had matched last year’s number of recipients by October of
this year.

Melzer, E.J. (2008, Dec. 4). “House Passes Bill to Protect Renters from Surprise Evictions.” The
Michigan Messenger.
Available at
In an effort to strengthen tenant rights and citing a situation in which tenants had only nine days
to vacate a foreclosed rental property, the Michigan house passed a bill that requires landlords to
notify tenants when they become 90 days delinquent on their mortgage. The bill, which now goes
to the state senate, also stipulates that renters receive 30 days after foreclosure to relocate.

Hinkley, J.A., & Willis, E. (2008, Dec. 4). “Homelessness Rises in Calhoun County.” Battle
Creek Enquirer.
Available at
Requests for rental assistance are on the rise in Battle Creek, MI, as more and more people face
the real prospect of becoming homeless. Demand is outstripping the supply of available funds.
One homeless individual highlighted in the article lost his rental home when his landlord was
foreclosed on.

Esparza, S. (2008, Nov. 26). “Proposed Mich. Foreclosure Bill Gives Renters More Time to
Move.” The Detroit News.
Available at
At a hearing in Michigan, seven women discussed being evicted from foreclosed rental homes
despite being current on their rent. A bill has been proposed that would allow renters to stay
through the end of their lease or provide them with 90 days to find alternative housing after a
foreclosure, if there is no lease agreement.

Murphy, S. (2008, Oct. 13). “Landlords Prepare to Sue over Sheriff Robert Pickell’s Moratorium
on Evictions of Renters.” The Flint Journal.
Available at
Landlords in Genesee County, MI, plan to sue the sheriff for imposing a two-week moratorium
on evictions. Although even non-foreclosure cases are covered by the moratorium, Sheriff Pickell
wants to devise a way to provide renters with more time to find alternative housing. Roughly five
renter households are evicted from a foreclosed home each week in Genesee County despite
being current on their rent.

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Lawlor, J. (2008, Oct. 10). “Foreclosures Prompt Genesee County Sheriff Robert Pickell to Call
Off Evictions of Renters.” The Flint Journal.
Available at
Sheriff Robert J. Pickell of Flint County, MI, is placing a two-week moratorium on renter
evictions, during which time a process will be instituted for ensuring that renters receive plenty of
notice before being subjected to a foreclosure-related eviction. Homeless advocates say that they
are serving evicted renters who did not have enough time to save for a security deposit or other
costs associated with moving after being evicted from a foreclosed property.

Wyche, P., “Foreclosures Rise, and Rental Agents Take Notice.” (2008, Jul. 14) Tri-Cities
Business Review. Available at
According to RealtyTrac, foreclosures in MI increased by almost 25% in May from the previous
month, placing MI’s foreclosure rate fifth highest out of all states. Local rental agents have
noticed an increase in rental traffic, but they expect demand for rental housing to continue given
rising foreclosure rates.

Jessup, K., “Foreclosures Jump 66% in Kalamazoo: Housing Services ‘Swamped’ with Requests
for Counseling.” (2008, Jul. 1) Kalamazoo Gazette. Available at
The foreclosure crisis is not isolated to owner-occupied households as one in four foreclosures
involves rental property. One Pennsylvania study showed that values of households located 150
feet from a vacant, foreclosed property decline $7,600 while those located 450 feet away witness
a decline of $3,500 in value. Foreclosures in Kalamazoo, as elsewhere, could increase city
municipal costs, as local governments must maintain abandoned properties.

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Porter, Kyle. (2009, Dec 28). “Residents choose to stay despite mold warnings.” NBC Kare 11.
Available at:
Melting snow has created a big problem for residents at 1015 York Avenue. Not only is the
property in foreclosure, but residents are tired of reoccurring problems.

Hallman, Charles. (2009, Oct. 14). “Local women fight loss of homes.” Minnesota Spokesman-
Recorder. Available at: http://www.spokesman-
Five local women—dubbed “The Foreclosure Five”—are fighting to keep people in their homes
in Minnesota. They speak out on behalf of tenants and homeowners—themselves included—in
foreclosure meetings around the state.

Aslanian, S. (2009, June 11). “Schools await stimulus funding for homeless students.” Minnesota
Public Radio. Available at:
Public schools are awaiting word on federal stimulus funding to help homeless children.
Minneapolis saw a 30 percent increase in homeless children this school year, largely because of

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the foreclosure crisis, Hinz said. Last year the district reported more than 5,500 homeless or
highly mobile students.

Shortal, J. (2009, June 10). “Renters now homeless because of landlords.” Available
Last February Sheila Nelson was in her home, a rental property, when a processor came to door
letting her know the property was in foreclosure and the sheriff's sale was coming. "I left on my
own, I knew what was coming," Nelson said. Shelia left before eviction but she didn't have to.

Rosario, R. (2009, Apr. 19). “By Bus, Van or Taxicab, She Gets Homeless Students to School.”
Pioneer Press.
Available at
This article attributes the increase in homeless schoolchildren primarily to the foreclosure crisis.
One family is highlighted that had 24 hours to vacate the home they had rented for several years
and had to move into a homeless shelter.

Allen, R. (2009, Mar.) The Unraveling of the American Dream: Foreclosures on the Immigrant
Community of Minneapolis. Minneapolis, MN: Humphrey Institute of Public Affairs, University
of Minneapolis.
Available at
The author matches foreclosure addresses from the Hennepin County (MN) sheriff’s department
with a student database from the Minnesota public schools and a parcel database from the county
assessor’s office. In the last two years (ending July 2008), 61% of the foreclosed properties were
likely renter-occupied based on the homestead status, indicating that renters “were
disproportionately represented among foreclosed parcels by a factor of nearly 2.7.” The study
also finds that foreclosures disproportionately impacted minority households and households with
school-age children.

Buchta, J. (2009, Mar. 9). “Still Another Big Housing Gap.” Minneapolis Star Tribune.
Available at
This article discusses the growing demand for affordable rental housing as families lose their
homes to foreclosure. Exacerbating the growing demand and insufficient supply, tax credit
projects are frozen across the country because investors are hard to find and their value has
dropped. Fifty-five percent of applicants to one affordable tax credit project in Minneapolis had
been through foreclosure before applying.

Baran, M. (2009, Mar. 9). “Tough Rental Market Hits Families Hard.”
Available at
After living in a home and running a business from the garage for two years, a Section 8 voucher
holder and her family are being evicted from their rental home. The story discusses the disruption
that an eviction can cause, including the difficulty finding an affordable home with little notice,
the possibility of transferring schools, and the general feeling of instability. The article also
mentions that many landlords do not follow tenant protection laws, and many tenants are not
aware of their rights.

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FOX9, Minneapolis, MN. (2009, Mar. 9). “Helping Residents Plan for Foreclosures”
Available at
This piece discusses the ways in which the foreclosure crisis is affecting renters in Minneapolis
and the resources to help alleviate the problem. The reporter says that foreclosure has led to a
spike in homelessness, with one-third of school children considered either homeless or mobile.

KARE11, NBC, Minneapolis, MN. (2009, Mar. 9). “No Escape: Housing Crisis Hits Renters
Available at
A woman, three children, and her grandchild were given 30 days to leave a foreclosed rental
home in Minneapolis. They moved in with a friend before finding a unit in a Section 8 apartment

Minnesota Public Radio. (2009, Mar. 2). “Investigation and Foreclosure Targets Dozens of
Minneapolis Rental.”
Available at
Twenty-three Minneapolis properties owned by the same group of investors have been foreclosed
on. The principals, who have a history of legal trouble, own several other units in the city. As a
result of the foreclosure, the city plans to revoke the rental licenses for 17 properties, potentially
uprooting renters where the buildings are occupied.

Perry, S. (2009, Feb. 19). “Who’s Getting Hurt? UM Study Crunches the Numbers on
Minneapolis Foreclosures.”
Available at
A study conducted by the University of Minneapolis links foreclosure addresses to public school
rosters. The study found that in the last two years, 61% of all foreclosures in the city have been
renter-occupied. African Americans, Latinos, and families with children were also
disproportionately affected.

This story is also covered in the following news outlets:
WCCO, CBS, Minneapolis, MN -

KARE11, NBC, Minneapolis, MN. (2008, Dec. 27). “Princeton Renters Suddenly Without
Homes Due to Foreclosure.”
Available at
Residents of a three-building rental property in Minneapolis had to relocate between Christmas
Eve and New Year’s Eve because the lender, who took possession of the property after
foreclosure in the spring, evicted them after a water pipe burst. The tenants have been
maintaining the property themselves and believed they would be able to live in the complex until
spring 2009.

Havens, C. (2008, Dec. 23). “Helping ‘Invisible’ Victims of Foreclosure.” Star Tribune.
Available at
The St. Paul, MN, City Council is attempting to enforce a state law that requires landlords to
notify tenants when their property begins foreclosure proceedings. Tenants like the one

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highlighted in this story too often have little notice before their evicted, despite state law to the

Mador, J. (2008, Dec. 17). “Are Laws Protecting Tenants in Foreclosure Working?” Minnesota
Public Radio.
Available at
Recently-passed Minnesota laws that allow tenants to occupy foreclosed units for up to 60 days
after foreclosure and that prevent landlords from entering into long-term leases on foreclosed
properties are providing more protection for renters in the state, as the tenant highlighted in this
piece illustrates.

Furst, R. (2008, Dec. 8). “Homeless: Rising Tide, Nowhere to Go.” Star Tribune.
Available at
Hennepin County homeless shelters are serving 25% more families than last year, and a county
official blames the foreclosure crisis and the increased competition for affordable rental units. She
is quoted as saying that 10% of those in homeless shelters are there because of foreclosure, and
many are evicted renters.

Minnesota Housing Partnership. (2008, Nov.) Survey of Applicants to the Minneapolis Public
Housing Authority Section 8 Waiting List. Minneapolis, MN: Author.
Available at
Seven percent of the 161 households applying for Section 8 assistance and interviewed for this
study report losing their home to foreclosure, and nearly all of them were renters. This study also
includes the abbreviated testimony of two of the respondents, one of whom was in the middle of
losing her fourth rental home to foreclosure.

Traudes, C. (2008, Nov. 10). “Housing Crisis Puts Pressure on Fight Against Family
Homelessness.” Downtown Journal.
Available at
The foreclosure crisis and broader economy have led to an increase in homelessness in
Minneapolis, MN. Foreclosure is directly responsible for one-tenth of those homeless in
Minneapolis today. Indirectly, other households going through foreclosure are entering the rental
market and making it more difficult for families with fewer resources to find affordable units. For
example, there are almost no four-bedroom rental units available for rent in the city today.

Shaw, C. (2008, Oct. 30). "Officials celebrate surpassing half-way point in effort to end
homelessness, but advocates say more needs to be done." Saint Paul Legal Ledger: Capitol
Available at
The state of Minnesota exceeded the half way mark of its goal to create 4,000 new housing
opportunities by 2010 in an effort to end long-term homelessness. Some say these efforts aren't
enough and that, due to the country's current economic downturn, we need to help people before
they reach the point of homelessness. Many of those who have recently entered into homelessness
are renters whose landlords were foreclosed on.

Koch, W. (2008, Oct. 21). “Homeless Numbers ‘Alarming’.” USA Today.
Available at Homelessness
and requests for housing assistance are on the rise in nine of 12 large metropolitan areas surveyed

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by USA Today. The foreclosure crisis is among the causes, and it is estimated that 10% of the
homeless in Hennepin County, MN, were renters displaced by foreclosure.

Belden, D. (2008, Oct. 18). “St. Paul Public Schools, Especially on the East Side, Report a Jump
in the Number of Homeless Kids.” The Pioneer Press.
Available at
Foreclosures and a down economy are being blamed for an expected 26% increase in the number
of homeless students in St. Paul, MN. Calls to the East Side Family Center about housing and
utility assistance are also considerably higher than last year.

Minnesota Public Radio. (2008, Sept. 21). “Foreclosures Push Rents Higher, Squeezing Low
Income Families.” Available at
The foreclosure crisis has created greater demand for rental housing in the Twin Cities, where
rental vacancy rates have decreased from 7% to 4% in the last three years. Greater demand has
led to higher rents, and homelessness is inevitable for some low-income families priced out of the
market. Volunteers Enlisted to Assist People has provided housing assistance and food to 1,000
more people this year than it did during all of 2007.

Brandt, S. & Wolfe, W. (2007, Nov. 5). “Wave of Foreclosures Hits Renters.” Star Tribune.
Available at
More than 2,500 rental households were expected to be foreclosed in Hennepin Country, MN,
according to a county task force. With foreclosures hitting low income renters, often considered
the most vulnerable, the Hennepin County task force has created a series of recommendations,
such as “Know your rights,” to help current tenants dealing with foreclosure and hopes to develop
a rights fact sheet.

Hennepin County Foreclosure Task Force. (2007, Oct. 18). Hennepin County foreclosure task
force report.
Available at
Roughly 43% of the foreclosed homes in Hennepin County were investment properties and thus
likely occupied by renters. The same statistic in Minneapolis was closer to 60%. The task force
estimates that as many as 2,500 tenant households could have been affected by foreclosure in

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Pflaum, Nadia. (2009, Dec 7). “Legal Aid is looking for renters facing eviction from foreclosed
properties.” Kansas City News Blog. Available at:
Legal Aid of Western Missouri is anxious to help renters facing foreclosure. They are urging
people and nonprofits to refer renters to them if they are in need of assistance.

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Pepitone, Joe. (2009, Oct. 19). “Renters Caught In The Middle If Landlord Faces Foreclosure.”
WDAF-TV, Fox News. Available at:
Many property owners in Kansas City, MO are facing foreclosure, which means trouble for their
tenants. Housing counselors are suggesting that tenants in foreclosure get a lawyer to avoid
losing their rights. They should also continue to make rent payments to their landlord. In
Missouri, it takes a court order to evict someone, so tenants will be notified if they are going to be

Kansas City Sun Tribune. (2009, July 10). “Governor signs bill protecting tenants from sudden
foreclosures.” Available at:
Gov. Jay Nixon on Friday, July 10, signed House Bills 836 and 753 into law to protect Missouri
families from sudden foreclosures during these difficult economic times. Under the new law,
tenants of a residential property must be given written notice when the property has been
foreclosed. If the new owner plans to seek possession of the property, the current tenants must be
given at least 10 days from the date of notice to vacate the premises.

Jadhav, A. (2009, Mar. 18). “Tenants’ Rights Promoted in Mo. Bills.” St. Louis Post-Dispatch.
Available at
The stories of two renters caught up in the foreclosure crisis are used to illustrate the need for
additional tenant protections in Missouri. One family that lost its $1200 security deposit had 10
days to leave their rental home after it was auctioned, and another found out about the foreclosure
after the utilities were turned off.

KFVS12, CBS, Cape Girardeau, MO. (2009, Mar. 11). “Foreclosure Fiasco Hits Renters.”
Available at
A 70-year old woman faces the prospect of moving from her home of seven years after her
landlord lost the home to the bank.

WDAF4, FOX, Kansas City, MO. (2009, Jan. 5). “Are Renters Safe as Foreclosures Rise?”
Available at
This story highlights a mother of five in Kansas City, MO, who moved into a home with the
understanding that she’d “rent to own” but soon after found out that the home was in foreclosure.

WDAF4, FOX, Kansas City, MO. (2008, Dec. 12). “Despite Paying Bills, Peculiar Families Face
Available at
Roughly 15-20 renters in the same Peculiar, MO, subdivision face eviction as a result of
foreclosure. The families rented their homes through a real estate management company, and the
units appear to be owned by the same group of investors.

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KETV (2009, May 5) From 1 Hardship To Another, Woman Endures
Sewage Backup Takes Woman's Possessions.
Available at
The city has ordered all residents of an 18-unit apartment building to vacate by June 15… KETV
has learned that Wright's previous landlord, Chicago-based DryRain Earth Points LLC, has gone
into foreclosure.

KETV (2009, May 5) City Condemns 'Deplorable' Apartment Building: Tenant Loses Everything
After Raw Sewage Backs Up In Her Unit.
Available at
There’s an apartment complex in Omaha that the city’s chief housing inspector calls deplorable
and the landlord is nowhere to be found.In fact, one building has raw sewage flowing throughout
it… The current mortgage holder for the apartment complex confirmed the property is in

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Clifford, M. (2009, July 13). “Renter Rights Expanding in Major Foreclosure State.” Public News
Service. Available at:
The "Helping Families Save Their Homes Act of 2009" (S896) took effect in May. It gives
renters 90 days to vacate the premises, a huge improvement over the three days they used to have
under Nevada law. Another new state law takes effect in October that requires landlords to give
renters advance notice that mortgage trouble is on the horizon. The law (AB140), which was
passed in the last legislative session, also imposes civil penalties on landlords who rent a property
that is about to go into foreclosure.

Illia, T. (2009, June 15). “Study: Rentals, investment homes only small part of foreclosure
picture.” Las Vegas Business Press.
Available at:
A new study from the Nevada Realtors Association determined that more than 87 percent of
home foreclosures are primary residences. 8.1 percent were rental homes and 3.6 percent were
investment properties. Nevada had the nation's highest foreclosure rate in April, with one in every
68 housing units receiving a foreclosure filing -- more than five times the national average.

Seelmyer, J. (2009, May 10) Job losses hitting owners of apartments. Northern Nevada Business
Available at
A handful of apartment properties in the region are teetering on the edge of foreclosure by
lenders, and more foreclosures are possible as loans written during the mid-decade boom come

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Humbert, J. (2009, May 8) I-Team: Tenants Angry After Realtor Rents Foreclosed Houses. HD 8
Las Vegas Now.
Available at
Zoellick is still unpacking for her new job at Creech Air Force Base. She found a great rental.
Everything seemed fine until she got a letter in the mail that was an auction notice. She didn't
know her rental was about to be sold.

Curtis, L. (2009, Apr. 10). “January Count: Homeless Kids, Vets Declining.” Las Vegas Review-
Available at
A survey of the homeless population in Southern Nevada finds that 2% became homeless as a
direct result of foreclosure.

KTNV13, ABC, Las Vegas, NV. (2009, Mar. 18). “Renters Kicked Out of Home Due to
Available at
After receiving assurances from the landlord that it would have three months to move, a family
was given very little time to pack up and find a new place to live after their rental home was

O’Malley, J. (2009, Mar. 8). “Washoe Renters Victims of Sudden Foreclosures.” Reno Gazette-
Available at
In this article about the absence of tenant protections, a woman discusses how she was evicted
from her rental home only three days after learning it was in foreclosure and only two months
after moving. Without a loan from a friend to cover the cost of relocating, the woman admits she
would have likely become homeless.

KVBC3, NBC, Las Vegas, NV. (2009, Feb. 25). “New Bill Aimed at Warning Renters of
Available at
This story discusses a bill that would provide renters in Nevada with more than the three days
advance notice of eviction following a foreclosure. A renter whose landlord is behind in
payments talks about the psychological strain that this uncertainty and instability can cause.

KLAS8, CBS, Las Vegas, NV. (2009, Feb. 10). “Foreclosure Crisis Hitting Condo Renters.”
Available at
Las Vegas residents renting condominium units from the developer received foreclosure notices
from the lender. Apparently, the developer owes millions of dollars to the lender and hasn’t paid
on the loan since October. The developer has told residents that it is a mistake, they are
refinancing, and residents should continue to pay rent.

KTNV13, ABC, Las Vegas, NV. (2009, Feb. 4). “Foreclosed Rental Property Scam.”
Available at
A renter in Las Vegas interviewed for this story has been displaced by from four consecutive
homes because the bank foreclosed on all four homes. The renter estimates that she has incurred
roughly $20,000 in total expenses as a result of the four evictions.

KLAS8, CBS, Las Vegas, NV. (2009, Feb. 4). “Foreclosure Protection to Renters Proposed.”
Available at

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Constables in Las Vegas who are frustrated with serving eviction notices to surprised tenants of
foreclosed properties have proposed a law that would notify renters as soon as a building begins
the foreclosure process. Today, many tenants are caught off guard and have little time to find a
place to live after eviction.

Twitchell, J. (2009, Jan. 30). “Foreclosure Crisis Also Hitting Renters Hard.” Las Vegas Sun.
Available at
Law enforcement in Las Vegas, NV, charged with carrying out evictions are pushing for
legislation that would require landlords to notify tenants when a property is in foreclosure
proceedings. This would prevent the common occurrence of serving an eviction notice to an
unsuspecting renter who had been paying their rent on time but whose landlord had stopped
paying the mortgage.

KVBC3, NBC, Las Vegas, NV. (2008, Dec. 29). “Do You Rent Your Home? It Could Be in
Available at
A family renting a home in Las Vegas was notified on December 23 that their home had been
foreclosed on after being in pre-foreclosure since August. Uncertain how long they will be able to
remain, the family is concerned about coming up with the money to move, which could exceed
$4,000 according to the article.

Eckhouse, B. (2008, Oct. 2). “Political Rivals Agree on Helping Tenants in Foreclosed Homes.”
Las Vegas Sun.
Available at
A draft bill in Nevada’s state legislature would allow renters living in a foreclosed home to
occupy the unit until the end of the month if they were current on their rent, rather than evicting
them within five days. Of the 12,800 foreclosures in the valley last year, an estimated 60% were
occupied by renters.

KLAS 8, CBS, Las Vegas, NV. (2008, Sept. 15). “Grandmother, 5 Grandchildren Evicted.”
Available at
In Las Vegas, a family of six is being evicted after learning that their landlord defaulted on the
mortgage. Even though the landlord fell behind on the mortgage payments in May, the tenants did
not learn of their impending eviction until September, and they have only 2-3 weeks to find a new
place to live. Because there is currently no state law that requires more advanced notice, renters
are advised to contact their county assessor or recorder to learn whether their unit is being
foreclosed on.

Pope, J. (2008, Aug. 28). “Impending Foreclosures Leave Renters in Limbo.” Las Vegas Sun.
Available at
Of the 18,220 homes in foreclosure in Nevada during the last few months of 2007, half were
likely rental properties because the owner’s address differed from the address of the foreclosed

“Lawmakers Plan Housing Law Changes.” (2008, Aug. 5) AP.
Available at
n175921D64.DTL&type=newsbayarea A panel chaired by Nevada Assemblyman Marcus
Conklin (D-Las Vegas) wants the 2009 Legislature to enact housing laws, ranging from fines for

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illegal real estate practices to more protections for renters. The proposed bills would require
landlords to notify renters of any defaults or pending foreclosures. Tenants would also be able to
break leases on units with a notice of default and would also receive a 60-day notice before being
evicted from a foreclosed property.

Dornan, G., “Renters the Forgotten Victims in Foreclosures.” (2008, Apr. 23) Nevada Appeal.
Available at Evidence from
Nevada suggests that some landlords continue to collect rent from tenants while also neglecting to
continue paying mortgage payments due to an impending foreclosure. Nevada Legal Services
recommends requiring lending companies to inform tenants of a foreclosure and give them the
option to break the lease. Other recommendations include allowing the tenant to pay rent directly
to the lender in exchange for the right to temporarily remain in the property and/or giving the
tenant the option to purchase the property.

Edwards, J. G., “Officials Told of Renters’ Troubles.” (2008, Jan. 29) Las Vegas Review-Journal,
p. D1. Available at
Under current Nevada law, renters that have paid for the first month, the last month, and a
security deposit on their lease can be evicted with only a three day notice and have to no way to
recover their money when a lender forecloses on the landlord. Despite other states’ effort to enact
laws to offer renters more protection, Nevada will most likely not address the issue until the next
legislative session begins in 2009, unless the governor calls a special session.

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New Hampshire

Chugg, S.A. (2009, Apr. 8). “Suddenly Homeless.” Concord Monitor.
Available at
This letter to the editor is from a gentleman who will become homeless when his home is
foreclosed on later this month. It expresses the uncertainty that he and others face following a

Guay, V. (2009, Jan. 18). “Homeless Numbers Still a Real Problem.” The Citizen of Laconia.
Available at
The director of a homeless shelter in Laconia, NH, said that a few clients have been forced out of
their homes as a result of foreclosure and recounts one family who became homeless after being
evicted from a foreclosed home they were renting.

Green, D. (2008, Oct. 19). “Hitting Home: Sandown Foreclosure Has Far-Reaching
Implications.” The Eagle-Tribune. Available at
This article discusses the impact of one foreclosure on a family of renters who may be evicted, a
small-time owner of multi-family buildings, and the lending bank. The local New Hampshire
bank has foreclosed on eight properties to-date and plans to rent them until the market turns
around enough to sell them for a profit.

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Schoenberg, S. (2008, Oct. 19). “Homeless Rolls Grow, Worry Local Agencies.” Concord
Available at
Homeless advocates in Concord, NH, are seeing an increasing number of requests for assistance,
and a worker at the Community Action Program recently counseled a family of six facing
foreclosure. There have been 49 foreclosures in Concord, NH, this year, compared to six in 2006.

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New Jersey

Spivey, Mark. (2009, Oct 19). “Foreclosures against Connolly-managed apartments continue to
mount.” Available at:
More than half of the city apartment units managed by arguably Plainfield's most powerful
landlord are either under bankruptcy protection or threatened with foreclosure, as copies of six
recent foreclosure filings were obtained Monday by the Courier News.

Spivey, Mark. (2009, Oct 11). “Union County holding workshops to alert renters of their rights.” Available at:
This October has been designated as “Union County Tenants Month”, and the Union County
Board of Freeholders, along with Union County officials plan to use the month to alert tenants of
their rights and of places to turn if their apartment building is going into foreclosure. This is
especially important since Connolly Properties Inc (one of the city’s largest real estate firms) has
over 500 apartment units in bankruptcy or foreclosure proceedings--and that is only one
management company. During the month tenants will be offered information on the county Web
site and by phone. Tenants are also encouraged to attend one of two "Tenancy 101" workshops
being held Oct. 29. The workshops are a joint project of the Elizabeth Coalition to House the
Homeless and Central Jersey Legal Services.

Spivey, Mark. (2009, Sept 21). “Firms owning properties managed by Connolly hit with
foreclosure filings.” Available at:
A mortgage lender has filed for foreclosure against two more companies owning single city
apartment entities managed by Connolly Properties Inc., marking the 11th and 12th such
properties to be so cited during the past three months.

Fahim, K and Roberts, J. (2009, May 14) In New Jersey, Dreams of a Better Life Dashed by
Foreclosure Crisis. New York Times.
Available at:
The effects of the crisis have reached beyond homeowners to their tenants. A block from Ms.
Sparrow’s house on Grove Street, Andrea Lee, 45, is one of the state’s thousands of nervous

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renters told by their landlord that his or her mortgage loan was delinquent. “He told me if it got
desperate, he would let me know,” she said.

Chen, R.K. (2009, Feb. 6). “Tenants Cannot Be Forced Out in Foreclosures.” Asbury Park Press.
Available at
In this editorial, New Jersey’s Department of the Public Advocate explains the rights of tenants in
foreclosed properties and warns those in the real estate industry that attempts to evict tenants are
illegal and could result in loss of licensure. In New Jersey, foreclosure is not a just cause for
eviction and leases survive the process, but this editorial was motivated by numerous instances of
the law being broken.

Epstein, V. (2008, Dec. 23). “NJ Tries to End Foreclosure-Based Renter Evictions.” Associated
Available at
State officials and advocates are reaching out to tenants and others in the real estate industry to
increase public awareness of tenant protections in place in New Jersey. Although tenants cannot
be evicted because of foreclosure, some are illegally being forced out of their homes, and as many
as 20,000 families may be affected by foreclosure in New Jersey this year.

Koepp, P. (2008, Dec. 8). “Officials Acting to Protect Tenants.” The Jersey Journal.
Available at
Reports of illegal eviction threats in New Jersey are prompting lawmakers to find a way to stop
them. Mortgage holders are illegally telling tenants that they must vacate foreclosed properties,
even though state law allows leases to survive foreclosure.

Abdou, N. (2008, Nov. 12). “Demand May Soon Overwhelm N.J.’s Homeless Shelters.” The
Available at
The president of a homeless shelter in Morristown, NJ, reports, for the first time, serving a
household who became homeless as a result of a foreclosure. The faltering economy is also to
blame for an increase in shelter services in New Jersey.

Hassan, M. (2008, Oct. 14). “Foreclosures Spur Cries for Help.” Daily Record.
Available at
Family Promise, a national nonprofit organization assisting the homeless, reports that its affiliates
are serving “many more families…as a result of the foreclosure crisis.” Both owners and renters
of foreclosed properties are facing homelessness.

Torres, J., “Stockton Renter Fights Eviction After Landlord Foreclosures.” (2008, Jan. 20) The
Available at
A landlord in Stockton, NJ failed to notify the renter that the property was now in foreclosure,

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adding to the list of foreclosures in a town already labeled as one the state’s worst-hit areas. To
their surprise, one day the tenants received a five-day eviction notice.

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New York

Ruiz, Albor. (2009, Dec 27). “A Christmas carol from an East Harlem group to keep their
homes.” NY Daily News. Available at:
The carolers, New Yorkers from Community Voices Heard, an East Harlem organization of low-
income people, visited the New York Stock Exchange and several top banks on Tuesday. Their
purpose was to stage a very singular protest by offering a concert of well-known Christmas
music. Except that the lyrics were rather unusual: The words were changed to convey the singers'
call for fairness, sharing and generosity, qualities very much in tune with the spirit of the season.
Their homes in an apartment complex are at risk because of bankruptcy and foreclosure, and they
are fighting to save them.

Rodriguez, Cindy. (2009, Dec 22). “Speculative Real Estate Deals Put Buildings at Risk.”
WNYC. Available at:
Hundreds of rent-stabilized buildings across the city could be heading towards foreclosure. Some
are already in default. This came about because owners overpaid for properties assuming they
could rapidly raise rents to market rates. But that’s not how things turned out.

Jost, Gregory Lobo. (2009, Dec 17). “Updates on Foreclosures.” Bronx News Network. Available
There have been 192 foreclosure filings on apartment buildings with at least 5 units this year in
the Bronx. These buildings are home to about 3,700 households. That means in the Bronx in
2009, about 9,000 households saw their building/house go into foreclosure, either as an owner or
as a tenant. The new foreclosure bill in New York will help protect families who live in
apartment buildings.

Mortgage Orb. (2009, Dec 16). “New York FC Law Extends Subprime Reforms To All
Borrowers.” Available at:
New York Gov. David A. Paterson has signed into law foreclosure legislation that expands on the
state's subprime lending reform law enacted last year. The law expands the scope of early
mandatory settlement conferences to include borrowers of all home loans and not just borrowers
with subprime loans. It also protects tenants from premature evictions by requiring that they
receive written notification of the change in property ownership and be permitted to remain in
their home for the remainder of the lease term or 90 days, whichever is longer.

RealEstateRama. (2009, Dec 15). “Governor Paterson Signs Comprehensive Foreclosure
Legislation into Law.” RealEstateRama, New York. Available at:
Governor David A. Paterson today signed into law comprehensive foreclosure legislation which
provides additional critical protections for New York State homeowners, tenants and
neighborhoods in the wake of the ongoing foreclosure crisis. The legislation builds upon
Governor Paterson’s landmark subprime lending reform law, enacted last year, by assisting

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homeowners currently at risk of foreclosure and minimizing the negative impacts that
foreclosures have on communities. The Governor proposed the legislation as one of his program
bills and submitted it as part of the agenda for the recent extraordinary session of the Legislature.

Schuppe, John. (2009, Dec 10). “Housing Group Warns of Trouble for Manhattan’s Rent-
Regulated Apartments.” DNAinfo, Manhattan Local News. Available at:
Tenants of rent-regulated apartments owned by “predatory” investment groups are facing a new
threat as their landlords head toward foreclosure and a second wave of “vulture” speculators
squeeze profits out of their deteriorating buildings, warns a new report. The problem is
particularly acute in Washington Heights, Harlem and parts of the Upper West Side and Lower
East Side, according to the Association for Neighborhood and Housing Development, a housing
advocacy group. Landlords have been harassing tenants and trying to force them out of their
homes by neglecting repairs.

Bubny, Paul. (2009, Dec 3). “Task Force Will Monitor MF Distress.” Available at:
City Council Speaker Christine Quinn said Wednesday that a task force had been formed to
identify multifamily properties where imminent default puts tenants in jeopardy, and to pressure
the owners to either maintain their buildings or sell them to responsible landlords. The
announcement came on the heels of the successful bid by Omni New York LLC, led by former
New York Met Mo Vaughn, for the debt on a 14-building South Bronx portfolio that had fallen
into disrepair after its former ownership defaulted. Known as the Predatory Equity Task Force,
the group is intended "to quickly respond to foreclosures around the city, and find creative new
policies to prevent problems before they escalate."

Wall Street Journal Blog. (2009, Dec 1). “The Next Stuyvesant Town? Deutsche Bank Report
Examines Fallout.” Wall Street Journal Blogs. Available at:
A Deutsche Bank report out this week paints a grim picture for apartment owners and real-estate
investors in New York City in the wake of the October ruling on Stuyvesant Town/Peter Cooper
Village in Manhattan. The report also looks at some other buildings at risk of becoming,
essentially, the next Stuy Town. Tenants should be watching the possibilities closely to see how
this will impact them—positively or negatively.

Jonas, Ilaina. (2009, Nov 30). “UPDATE 1-Ruling may cost NYC apartment landlords billions.”
Reuters. Available at:
A recent decision by New York's highest court that the owners of Stuyvesant Town/Peter Cooper
Village unlawfully deregulated apartment rents is likely to significantly harm New York
apartment investment for several years, according to a Deutsche Bank report released on Monday.

Tedeschi, Bob. (2009, Nov 27). “Foreclosure Protections for All.” The New York Times.
Available at:
Last year, a new law was put into place in New York to help protect subprime mortgage
borrowers from foreclosure. Now the state is on the verge of extending similar protections to
prime borrowers, too. A bill passed by the State Legislature this month would require, among
other things, that lenders give all borrowers 90 days’ warning before starting foreclosure
proceedings and that they take part in settlement conferences with borrowers before proceeding
with a foreclosure action. The bill also covers co-op owners and tenants in multi-family buildings.

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Hudson Valley Press. (2009, Nov 16). “Comprehensive Foreclosure Legislation.” Hudson Valler
Press Online. Available at:
Governor David A. Paterson and Legislative Leaders today announced passage of the Governor’s
Program Bill No. 46, which provides additional critical protections for New York State
homeowners, tenants and neighborhoods in the wake of the ongoing foreclosure crisis. The
legislation builds upon Governor Paterson’s landmark subprime lending reform law enacted last
year, by assisting homeowners currently at risk of foreclosure and minimizing the negative
impacts that foreclosures have on communities.

Lynch, Sharon L. (2009, Nov 10). “Stuyvesant Debt Hinges on Tenants, Politicians, LeFrank
Says.” Available at:
On Nov. 6, Tishman Speyer, the owner of Stuyvesant, requested the loan be sent to a special
servicer to help restructure the debt because property doesn’t produce enough income to pay the
debt and a reserve fund probably will be depleted by year-end. In order to save the property, it
will take cooperation from the city, lenders, owners and tenants.

Bubny, Paul. (2009, Nov 9). “Stuy-Town Loan Goes into Special Servicing.”
Available at:
The $3-billion loan on Peter Cooper Village/Stuyvesant Town has been transferred into special
servicing by CW Capital. Although the Stuy-Town loan is not in default, Fitch says cash flow
generated by the 56-building property is "insufficient to service the debt." Debt service reserves
are expected to be depleted by the end of December.

Yu, Hui-yong, Jonathan Keehner and Oshrat Carmiel. (2009, Nov 9). “Tishman Nears
Restructuring, Sale of Stuyvesant Town (Update 1).” Available at:
The owners of Stuyvesant Town-Peter Cooper Village are getting closer to restructuring $3
billion in debt. The loan was turned over to CW Capital on November 6 since the development
has not been able to produce enough revenue to service the debt. The property will most likely be

Heschmeyer, Mark. (2009, Oct 28). “Bad News Indeed for Tishman, BlackRock and other NYC
Apartment Landlords.” CoStar Group. Available at:
Last week, the New York Court of Appeals essentially ruled that Tishman Speyer Properties, the
owners of Stuyvesant Town and Peter Cooper Village have wrongly been inflating rents at the
11,227-unit apartment complex totaling 10.2 million square feet on the east side of Manhattan.
The Court of Appeals concluded that the current and former owners of the property were not
entitled to take advantage of the luxury decontrol provisions of the New York Rent Stabilization
Law while simultaneously receiving tax incentive benefits from the city.

Caruso, David B. (2009, Oct 25). “Record NYC real estate deal now on the rocks.” The
Associated Press. Available at:
Tishman Speyer Properties, the owners of luxury apartments Stuyvesant Town and Peter Cooper
Village are facing foreclosure after a ruling that the rent increases imposed on residents (almost
$200 million worth) were illegal. Analysts say that if the company continues with its payments
as it has been, they are about two to three months away from default on a $3 billion mortgage and
$1.4 billion loan the owner used to buy the property.

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Weiss, Lois. (2009, Oct 25). “Building chaos: Stuy town ruling hits rents citywide.” The New
York Post. Available at:
Chaos ensued after the ruling that Tishman Speyer Properties, owners of The Stuybesant Town
and Peter Cooper Village, were charged with charging illegal rents to their tenants. Questions
involving rent claims and return applications flooded lawyers offices after the ruling, and the
state’s Division of Housing and City Renewal are still unsure as to how they will handle tenant’s

Mulholland, Sarah. (2009, Oct 23). “Bondholders Face Losses After New York’s Stuyvesant
Town Ruling.” Available at:
The Stuyvesant Town and Peter Cooper Village developments may be in trouble after a ruling by
the New York Court of Appeals in Albany that stated that the developers, Tishman Speyer
Properties, illegally raised rents. The developers had received money from the city and received
tax breaks in order to build the complex, but they had also been financed by other investors with
the assumption that they would be able to raise rents in order to help pay back loans. Now the
development is coming under scrutiny from the public and may lose income and default on their

Zarroli, Jim. (2009, Oct 12). “Some Tenants Pay The Price For Mortgage Excesses.” NPR.
Available at:
Anywhere from 70,000 to 100,000 New York City apartment units are in foreclosure or at risk of
it right now, including both small buildings and mega-complexes like Riverton Houses in
Harlem, which went into default a year ago. This is because during the real estate boom New
York was phasing out its rent subsidy laws and developers saw an opportunity to turn low-end
apartments into luxury ones. Developers took out hefty loans, but when the economy went south,
so did their plans—leaving tenants caught in the middle and, in many cases, out of a home.

Zimmer, Amy. (2009, Oct 2). “Foreclosure Catching Up to Renters.” Metro News. Available at:
From Williamsburg to the South Bronx, landlords who bought at peak prices or had bad loans, are
finding themselves unable to repay their loans. Their victims are their renters. It is important for
renters to know what they are entitled to so they do not become further victimized by being
forced out of their apartments early or by having their utilities cut off.

Massey, D. (2009, Aug 16). “Bronx is Burning over Failed Deals.” Crain’s New York Business.
Available at:
Hundreds of other rent-regulated buildings in New York City purchased at the height of the real
estate boom may end up in similar distress. Optimistic underwriting enabled investors, often
backed by private equity, to snap up rental buildings at bloated prices in highly leveraged deals.
In many cases, the new landlords had unrealistic expectations for raising rents, and now some
70,000 units are in jeopardy. That's left government officials seeking ways to stem what some are
calling the greatest threat to the city's neighborhoods since the widespread landlord
abandonments of the "70s.

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Fernandez, M. & Lee, J. (2009, 14 July). “Struggling Landlords Leaving Repairs Undone.” New
York Times. Available at:
As property owners run into trouble paying their mortgages, neighborhoods around New York
City have been witnessing a disturbing consequence: Small and large apartment buildings are
being abandoned in a state of disrepair, leaving tenants in limbo without basic services or even
landlords. (2009, June 22). “The Bottom Line: Foreclosure Rescue Companies.”
Available at:
New York Attorney General Andrew Cuomo is warning renters to be careful of foreclosure
rescue companies because he says that they are capitalizing on the current economic crisis.
Cuomo announced he's suing American Modification Company and has subpoenaed 14 other
foreclosure rescue companies. He says that company is charging illegal up-front fees, and
engaging in consumer fraud.

Markey, E. (2009, June 22). “Foreclosure Threat Looms over Thousands of City Apartments.”
Gotham Gazette. Available at:
As many as 80,000 New Yorkers could find themselves at the center of a new real estate crisis.
Advocates say tens of thousands of affordable apartments are owned by landlords who can't
afford to both make their debt payments and maintain their properties.

Gross, C. (2009, May 21) Keeping Eyes on the Tenant Watch List. Gotham Gazette.
Available at
Council Speaker Christine Quinn and Councilmember Daniel Garodnick introduced legislation
Wednesday, which they say marks the first attempt to regulate tenant-history reporting…In other
cases, said council officials, tenants can be marked with nonpayment or eviction notices -- a
serious scar on their tenant history report -- if their landlord goes into foreclosure.

Lombardi, F. (2009, May 8) Bill would give tenants rights when property gets foreclosed. New
York Daily News.
Available at
The group gathered to press for passage in Albany of a Klein-sponsored bill that would force
banks and other lenders to alert tenants that their homes have been foreclosed on, and give them
as long as 90 days to find housing. Klein's bill passed the Senate by a 37-24 vote on Wednesday
and is awaiting action in the Assembly.

Gralla, J. (2009, May 5) US Treasury must protect apartment renters-Senator. Reuters
Available at
In New York City, there are 60,000 to 90,000 apartments at risk of foreclosure, Schumer said.

Steffen, S., & Feyerick, D. (2009, Mar. 24). “Tenant Evicted Even Though She Pays Rent on
Time.” CNN’s American Morning.
Available at
A woman and her family were given 30 days to vacate their rental home on Long Island because
the bank foreclosed on it. The family lost the $5700 in security deposits and brokerage fees that it
paid only seven months ago and now must cover the additional expense of an impromptu move.

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Katz, C. (2009, Mar. 21). “Foreclosure Crisis Extends to Those Renting Homes from Hit
Landlords.” New York Daily News.
Available at
A family with a Section 8 voucher is being displaced from their rental home in Long Island and
given very little time to relocate. With such short notice, little savings, and no relatives nearby,
the family is considering seeking refuge at a homeless shelter.

Capital News 9, Albany, NY. (2009, Mar. 12). “Foreclosures Forcing Renters to Find New
Homes in Days.”
Available at
A family in Albany was given three days to move from their home, which was foreclosed on in
September. The United Tenants of Albany reports 74 such calls plus walk-ins since last July. In
the 12 months prior, there were only 50 similar cases.

Yan, E. (2009, Mar. 3). “Renters Being Forced Out by Foreclosure on Landlords.” Newsday.
Available at
A real estate broker on Long Island says that at least 30% of the foreclosed properties that he is
involved with are renter-occupied. Like the broker, the Nassau County Office of Housing and
Homeless Services report that the number of displaced renters is on the rise.

NY1 News. (2009, Jan. 14). “Tenants Face Evictions Amidst Foreclosure Crisis.”
Available at
The case of a family being evicted from its rental home illustrates the plight of renters during the
foreclosure crisis in New York City. The Furman Center estimates that 60% of foreclosures in
2007 were on multi-unit buildings, and currently the law does not require landlords or lenders to
provide adequate notification to renters that a foreclosure is pending or has occurred. Evictions
can mar renters’ credit ratings, which makes finding replacement housing that much more

Zhu, Helena. (2008, Dec. 24). “Renters Face Eviction this Christmas.” The Epoch Times.
Available at
Calling attention to the plight of renters caught up in the foreclosure crisis, New York State
Senator Jeff Klein calls for legislation that would give renters 120 days notice before being
evicted from a foreclosed property. Klein says that 552 tenants in New York find themselves in
this situation just in December.

This story is also covered in the following news outlets:
New York Daily News -
23_keep_renters_in_homes_too_bronx_state_se.html -

Bolger, T. (2008, Nov. 12). “Can This House Be Saved?” Long Island Press.
Available at
This article tells the story of a man in Long Island, NY, who took possession of five foreclosed
homes that he had no legal rights to and rented them to tenants in order to pocket the rent. He’s
been charged with fraud, burglary, and grand larceny.

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Aguirre, A. (2008, Nov. 8). “The Wrong Mortgage Derails a Mother’s Plans.” New York Times.
Available at
After negotiating a short sale and needing to leave the premises immediately, a family in New
York had nowhere to stay. If not for the Children’s Aid Society, which covered a week at a local
hotel, moving costs, first month’s rent and security deposit at a new apartment, the family may
have become homeless.

Aguirre, A. (2008, Nov. 8). “A New Start as Tenants, Until Foreclosure Calls.” New York Times.
Available at
A single mother in New York rented a unit that the landlord was in the process of losing to
foreclosure. With little time to vacate and not enough money to cover the expenses, the family
received help from the Children’s Aid Society, which paid utilities, first month’s rent, security
deposit, moving expenses, and helped with some furniture. Without that assistance, the family
would have likely ended up in a homeless shelter.

Gearty, R. (2008, Nov. 4). “Evictions Soar as Banks Foreclose on Landlords During Credit
Crisis.” New York Daily News.
Available at
The article cites research by the Furman Center that 38,000 foreclosures in New York in 2007
involved renters and states that there have been 1,538 evictions in the outer boroughs since April,
concentrated in Queens and Brooklyn. The article tells the story of a family evicted after a bank
foreclosed because properties are thought to be easier to sell when they’re empty.

Foss, S. (2008, Oct. 19). “Mortgage Meltdown Hits Renters.” Daily Gazette.
Available at
United Tenants of Albany has received 50 calls from renters facing a foreclosure-related eviction
in the last six months. These types of calls were not tracked until recently because they were not
numerous enough to categorize. The situation in Albany appears to be worse than surrounding
areas in upstate New York, either because of a higher concentration of investment properties or
because other communities do not have tenant groups keeping tabs on the problem.

Brown, J. (2008, Sept. 16). “Wall Street’s Meltdown Hits Long Islanders at Home.” Newsday.
Available at
As a result of the foreclosure crisis, the Community Development Corporation of Long Island has
had to increase its foreclosure counseling staff from one to five people. Two years ago, 5,000
households applied when the CDC solicited applications for rental assistance; this year, almost
10,000 applied.

Dembosky, A. (2008, Aug. 26). “Foreclosures Mean Crises for H.I.V. Positive Renters.” New
York Times. Available at Like renters
elsewhere, H.I.V. positive renters in New York are having their utilities shut off and facing
eviction as their landlords lose properties through foreclosure. Exacerbating the problems for
H.I.V. positive renters, however, is the fact that despite a city ordinance that prohibits “source of
income” discrimination, prospective landlords are reluctant to accept rental assistance payments
provided by the city’s H.I.V./AIDS Services Administration.

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Hays, E., Belankaya, V., and Lysiak, M., “Foreclosure Crisis Hurts Brooklyn Renters, Too.”
(2008, Apr. 22) New York Daily News.
Available at
More than 7,000 Brooklyn renters lost their apartments due to foreclosures last year, placing
Brooklyn’s foreclosure numbers for renters at the top of New York City’s five boroughs.
Landlords facing high mortgages have passed the financial burden onto renters, causing rents,
along with the increased rental demand as a result of foreclosures, to become more expensive.

Furman Center for Real Estate and Urban Policy, New York University. (2008, Apr. 14). “New
Analysis of NYC Foreclosure Data Reveals 15,000 Renter Households Living in Buildings that
Entered Foreclosure in 2007.” Available at
14_2008.pdf According to estimates by the Furman Center, NYC foreclosures in 2007 affected
around 30,000 households, 15,000 of which were renter households that house over 38,000 New
Yorkers. Nearly 60% of the foreclosures on renter households were on two-to-four family or
multi-family buildings. Around 7,200 of all foreclosures on rental units in 2007 occurred in
Brooklyn, making the borough home to the largest share of the city’s foreclosures on renter

Harris, E. A., “Even Renters Aren’t Safe.” (2008, Apr. 13) The New York Times.
Available at
According to census statistics from 2006, 65.6% of all New York City housing was renter
occupied, compared with 32.7% nationwide. Vicki Been, Director of the Furman Center for Real
Estate and Urban Policy at the New York University, stated that the foreclosure crisis is affecting
more renter households in New York City than in other parts of the country. The Furman Center
estimated that in 2007 38,000 residents facing foreclosure were renters.

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North Carolina

Cooper, R. (2009, 20 July). “Attorney General warns renters to know their rights.” Salisbury Post.
Available at:
North Carolina Attorney General Roy Cooper outlines the federal and state rights that North
Carolina tenants have when facing foreclosure on property they are renting. He also lists
resources to contact if you are facing a similar situation.

WFMY News 2 – Winston-Salem. (2009, June 26). “900 Triad Families Could Lose Homes.”
Available at:
Hundreds of families are at risk of losing their homes as dozens of poor families won't receive the
rent money they were expecting. A local housing leader warns the problem is so bad... it could
overwhelm the city's homeless shelters and other resources.

Orendain, S. (2009, May 15) When renters end up in a foreclosed home. WFAE.
Available at
Friday May 15, 2009 Smith is a single mother of four and qualifies for Section 8 vouchers. The
federal program provides rent aid for very low-income families. "I had to move. I just had to find

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something. There basically wasn’t too much time to really pick or to look, look. So I just looked
and picked what was close by so I could easily transfer stuff quickly," she says.

WTVD11, ABC, Raleigh-Durham, NC. (2009, Feb. 17). “ACORN Helps Homeowners in
Jeopardy of Foreclosure.”
Available at
In this story about ACORN protesting the auction of foreclosed homes, a renter tells how she
didn’t know her home was in foreclosure until a for-sale sign was placed on her front lawn. Two
weeks later, a sheriff notified her that she had to leave her home.

WGHP8, FOX, Greensboro, NC. (2008, Dec. 11). “Home Foreclosures Can Also Affect
Available at
A family in North Wilkesboro, NC, was given 10 days to leave their home of two years after
Wachovia foreclosed on the property’s owner and took possession of the home. Wachovia would
not allow the family to stay and continue paying rent, and there is the possibility that the family
will have to move by December 18, since the bank’s eviction moratorium is scheduled to run
from December 19-January 4.

WFMY2, CBS, Greensboro, NC. (2008, Oct. 23). “The Foreclosure Crisis: A Day in the Life of
an Evictor.”
Available at
The sheriff’s deputy executing foreclosure-related evictions in Greensboro, NC, says that two-
thirds of the properties are rentals. Evictions have slowed recently, from several each day to
several in a week’s time.

WTVD11, ABC, Raleigh, NC. (2008, Oct. 10). “Renters Being Kicked Out of Foreclosed
Properties.” Available at
There are 100 more foreclosure-related eviction s per month in Wake County this year than last,
and many of those losing their homes are renters. Some have only two weeks to find alternative
housing because the owners of the investor-owned properties they were living in have stopped
making payments.

**Barksdale, A. (2008, Oct. 5). “Rent Increases Felt by Tenants of Modest Means.” The
Fayetteville Observer. Available at A 40-unit
subsidized rental project in Fayetteville, NC, went through foreclosure, which removes the
requirement that units be affordable to low-income tenants. As a result, rents are rising for tenants
in the elderly complex, and some seniors are moving because they cannot afford the higher rents.

WRAL5, Raleigh, NC. (2008, Sept. 25). “Economy Driving People into Homelessness.”
Available at
Homelessness is on the rise in Raleigh. In the last two months, six families have sought shelter
with the Wake Interfaith Hospitality Network after the homes they were renting went through

Wise, J. (2008, Aug. 30). “Renters Feeling Mortgage Crisis Shockwaves.” The Durham News.
Available at
The article highlights the various ways in which low-income households have been affected by
the foreclosure crisis: low-income owners may not have the financial resources to maintain

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ownership after a job loss; housing agencies that typically counsel renters are diverting their
resources to delinquent owners; rental costs are escalating as more households choose to or have
to rent; low-cost housing is more difficult to build because fewer investors are interested in
housing tax credits that often spur development; and landlords face foreclosure, leading to the
eviction of renters.

Scott, S. (2008, Aug. 30). “Region’s Flurry of Foreclosures Focused in Brunswick County.”
Wilmington Star News Online. Available at
Some foreclosures in the Wilmington area are the result of investors over-extending themselves
in beach communities, but most are owners and landlords who have seen the job market sour and
living expenses rise. The Brunswick Family Assistance Agency helps delinquent owners and
“many more renters who need a new place after losing the previous one” to foreclosure.

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Outten, Bridgette. (2009, Dec 21). “Mobile home parks in foreclosure; residents allege upkeep
ignored.” Springfield-News Sun. Available at:
Some of residents of three area mobile parks in foreclosure say the parks have been falling further
into disarray since they went into receivership. Wells Fargo Bank, which holds the loan on the
three properties in question, filed foreclosure actions against Happy Valley April 7, alleging that
the company owes the bank more than $3.5 million plus other costs and attorney fees. Since then
the property has fallen into increasing disarray, and some residents are considering withholding
their rent until the problems are fixed.

ABC 13. (2009, Dec 8). “Program allows tenants to stay in foreclosed properties.” ABC News.
Available at:
If you rent a home or apartment that is being foreclosed on because the owner didn't pay the
mortgage, you may have a chance to keep renting the property. The new program would allow
people who meet certain criteria to keep renting even after the owner has been foreclosed on. The
tenant would have to maintain the property and make it available for agents to show to potential
buyers, among other things.

Siegel, J. (2009, May 7) Bill would give renters foreclosure rights: House OKs plan to let them
stay 30 days; now Senate gets it. Columbus Dispatch
Available at
The Ohio House passed a bill yesterday that would allow tenants to remain in their residences for
at least 30 days following a foreclosure, giving them more time to find a new home. The bill
passed 53-42, with most Republicans voting against it. House Bill 9 also would: Require
landlords to notify potential tenants if the property is currently in foreclosure; Require landlords
to notify all current tenants residing in any building if that property goes into foreclosure, within
60 days of the filing; Require landlords to notify tenants 21 days in advance if a foreclosure is not

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remedied and a sheriff's sale date is set. This is to give the tenant a fair shot at bidding on the

WTVG13, ABC, Toledo, OH. (2009, Mar. 30). “Foreclosing on Rental Properties.”
Available at
A family whose rental home is being foreclosed on provides the backdrop for this story in
Toledo, OH. According to the report, as many as 1,000 rental homes are at risk of foreclosure in
Lucas County.

WKYC3, NBC, Cleveland, OH. (2009, Mar. 18). “Cleveland: Renters Have Almost No Rights in
Available at
Roughly 3,000 renter households have been displaced by foreclosure in Cleveland, and it’s
estimated that an abrupt foreclosure-related eviction can cost each household $2,500. A study
estimates that only 20% of such renters are able to immediately rent again, with 70% living with
family and friends and 10% turning to the shelter system. The reporter talks with one woman
living in a foreclosed building in which the utilities had been turned off.

de Boer, R. (2009, Mar. 15). “Lucas County Sheriff’s Deputy Sees Human Side of Foreclosure
Evictions.” The Toledo Blade.
Available at
In this story about foreclosure evictions in Toledo, OH, the deputy sheriff involved in the process
estimates that seven out of 10 foreclosed homes are renter-occupied.

Armon, R. (2009, Feb. 14). “Wave of Foreclosures Taking Toll on Renters.” Akron Beacon
Available at
A family with a Section 8 voucher was given 10 days to vacate their rental home that was
foreclosed on. They lived in a friend’s basement for several months before finding another home
to call their own.

Fisher, A. (2009, Feb. 11). “Don’t Keep Renters in the Dark on Foreclosure.” The Columbus
Available at
This commentary focuses on the story of one renter and his two sons who were uprooted by an
unscrupulous landlord that continued to collect rent long after the home entered foreclosure. The
writer uses the story to advocate for stronger tenant protections in Ohio. With the help of a
government grant and some good luck, the renters were able to find a new place to live on short
notice, but not all renters are this fortunate.

Mikelbank, B.A. (2008, November). Spatial Analysis of the Impact of Vacant, Abandoned and
Foreclosed Properties. Cleveland, OH: Federal Reserve Bank of Cleveland.
Available at
This study uses property-level data from Columbus, OH, to estimate the separate impacts of
foreclosures and vacant properties on the sales prices of nearby homes. The report finds that

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foreclosures have a wider geographic impact, affecting property values as far away as 1,000 feet.
The report also finds that vacant/abandoned properties have a higher negative impact for
properties within 250 feet (-3.5%), but that their effect is not as far-reaching as is estimated for
foreclosures. Foreclosures are more widely distributed in Columbus, and given their wider
geographic impact, they therefore negatively affected more properties than did the abandoned
properties clustered in the city’s urban core. Being proximate to both a foreclosed home and an
abandoned one could reduce a home’s value by more than $8,600.

WKRC12, CBS, Cincinnati, OH. (2008, Nov. 17). “Foreclosure Forcing Tenants Out.”
Available at
A Housing Choice Voucher holder in Cincinnati, OH, is being forced out of her rental unit
because the landlord lost the house to the bank. Renting in the future may be more difficult
because she will have an eviction on her record. In Ohio, an estimated 4,000 renters have been
evicted as a result of foreclosure, and the number of homeless students in Cincinnati has
increased 28% this year.

NBC4, Columbus, OH. (2008, Oct. 7). “Bill to Offer More Security to Renters.”
Available at
0004.html A bill before Ohio’s state legislature is aimed at protecting renters of foreclosed
properties. The Ohio Renter’s Protection Act would require landlords to notify current and
potential renters of pending foreclosure proceedings and to make lease concessions if the property
is sold.

Williams, S. (2008, Sept. 20). “Foreclosure Puts More Folks Back into Rentals.” The Columbus
Dispatch. Available at
Partly as a result of the foreclosure crisis, the apartment vacancy rate has decreased from 12.6%
in 2005 to 7.5% in 2008.

Albrecht, B., “Program to Notify Renters of Foreclosure Filings.” (2008, Jul. 26) Plain Dealer
Reporter. Available at
A new program in Cuyahoga County, OH, which includes Cleveland, will begin notifying tenants
if the property they are renting has been foreclosed on. Renters would then have around six
months to move if they needed to vacate a property. The program matches residential rental
properties with public foreclosure filings, notifying any tenants of foreclosure while also offering
them local resources to help find a new housing. According to a recent report from Policy Matters
Ohio, a Cleveland-based research group, one third of foreclosures in the county involve rental

Marketplace, American Public Media. (2008, Sept. 3). “Mortgage Crisis Fallout: Homeless
Available at
The eviction of low-income renters from foreclosed properties is blamed for a 25-30% increase in
homeless students in Akron and Cleveland. Student homelessness places additional financial
burdens on the schools and emotional stress on the students themselves.

WTVG 13, ABC, Toledo, OH. “Renters Evicted after Landlord Foreclosed.” (2008, Aug. 18).
Available at

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Available at
Two sisters tell their story of being evicted from their rental home because their landlord stopped
making mortgage payments on the house. Receipts show that the landlord accepted rent payments
from the sisters even after he had lost the property through foreclosure.

Rothstein, D. (2008, June) Collateral Damage: Renters in the Foreclosure Crisis. Cleveland, OH:
Policy Matters. Available at An estimated 3,918
foreclosure filings in Cuyahoga County were rental units in 2007, an increase of 29 percent from
the previous year. Rental foreclosure filings grew at a higher rate than owner-occupied
foreclosure filings. Rental foreclosure filings represented nearly 30 percent of all residential
property foreclosure filings in 2007.

Coulton, C., Chan, T., Schramm, M., and Mikelbank, K., Pathways to Foreclosure: A
Longitudinal Study of Mortgage Loans, Cleveland and Cuyahoga County, 2005-2008 (June
2008). Center on Urban Poverty and Community Development, Mandel School of Applied Social
Sciences, Case Western Reserve University.
Available at
Non-owner occupied households are nearly three times as likely to be foreclosed upon as those
that are owner occupied, with mortgage lenders foreclosing on more than 10.7% of all home
loans made to owner occupied households while foreclosing on more than 30.9% of all home
loans made to non-owner occupied units on loans originated in 2005. The study also presents data
on the lender, borrower, and neighborhood characteristics of all loans foreclosed on in Cuyahoga
County, OH since 2005.

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Graham, G. (2008, Oct. 12). “Landlords Hit Hard by Foreclosure.” Tulsa World.
Available at
This article, which traces the path to foreclosure for a landlord with multiple units, reports that
only 55% of units that have been foreclosed on in Tulsa since August 2006 were owner-occupied.
The article also states that 40% of the units foreclosed on during this time period were owned by
individuals with 2-9 units, and another 5% were held by those with 10 or more properties,
indicating the extent to which investment properties, and thus renters, are facing foreclosure.

Graham, G. (2008, Sept. 28). “Short Notice.” Tulsa World.
Available at
Forty-seven properties owned by one company in Tulsa may be at-risk of foreclosure because its
owners filed for bankruptcy. A renter of one of these properties is interviewed in this article, and
a study conducted by the newspaper shows that nearly half of the properties sold in sheriff’s
auctions in the last two years were not occupied by their owners.

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KPLU 88.5 (2009, July 9). “New Laws Offer Tenants More Protections Against Foreclosures.”
Available at:
Attorney Andrea Ogston works with Portland State University students who are facing legal
problems involving housing. Student renters are facing eviction due to landlord's money troubles
almost on a weekly basis. She says students often lose out on pricey deposits when their landlord
is foreclosed on. A new Oregon law will allow renters to apply their deposit to their final month's
rent. It also gives renters in foreclosed properties at least 30 days to pack up and leave. That's up
from as little as 10 days under the previous law. A similar law is set to take effect this summer to
protect renters in Washington State.

Law, S. (2009, May 7) Landlord woes throw tenants out of housing. Portland Tribune.
Available at
A property owner retains the right to rescue a home from foreclosure until the day it’s auctioned
on the courthouse steps. Yet mortgage lenders and prospective buyers of foreclosed homes are
permitted to send eviction notices to tenants a month before they gain title to the house, said Sybil
Hebb, a lobbyist for Portland-based Oregon Law Center, which advocates for low-income people.

Oregon Legislature (2009, May 5) Senate Bill Protects Renters When Landlords are in
Available at
With the foreclosure crisis continuing to hit Oregon hard, the Senate passed SB 952 this morning,
protecting the rights of tenants when the property they rent or lease goes into foreclosure.

KTVZ21, NBC, Bend, OR. (2009, Apr. 13). “Sawyer Update: Bend Family Pays Ahead – Faces
Available at
A family paid six months in advance and a security deposit – totaling $9,000 – to rent a home that
they later found was already in foreclosure. The owner has eight properties currently in default.
The renters are worried about finding a new, safe place to rent and coming up with the money to
sign another lease.

Borrud, H. (2009, Mar. 21). “Annual Count Reveals More Homelessness.” The Bulletin.
Available at
A three-county survey of the homeless population in Oregon revealed 100 households attributed
their homelessness to foreclosure, a ten-fold increase from the previous year.

KOHD9, ABC, Bend, OR. (2009, Feb. 11). “Rights for Renters in Foreclosed Properties.”
Available at
Legal Aid of Oregon is receiving so many calls from renters learning that their home is in
foreclosure that they’ve published handouts on tenant rights.

Stiles, G. (2008, Dec. 10). “Sunwest Financial Troubles Hit Home.” Mail Tribune.
Available at
Foreclosure proceedings have begun on a 78-unit senior home in Eagle Point, Oregon. This
property is one of several Sunwest Management properties that face bankruptcy or foreclosure.

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Mann, D. (2008, Nov. 8). “Renters, Beware.” Mail Tribune.
Available at
This article gives a good overview of the different scams that landlords in foreclosure are using to
fleece renters in southern Oregon, including taking first month’s rent and deposit even after
foreclosure proceedings have begun.

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Brown, C.G. (2009, Jan. 8). “Towers Apartments in Carnegie for Sale; Owner Defaults on
Mortgage.” Pittsburgh Post-Gazette.
Available at
A 176-unit subsidized rental property has been foreclosed on in Pittsburgh, PA. Because HUD
holds the mortgage and is requiring that any new owner enter into a 20-year rent subsidy contract
and make over $5 million in repairs, there seems to be little chance that this foreclosure will
displace tenants residing in the building.

**KDKA2 CBS, Pittsburgh, PA. (2008, Oct. 6). “Renters Caught in Middle of Foreclosures.”
Available at A reporter highlights
11 small apartment buildings in Pittsburgh owned by one individual who is in default on $2.4
million in mortgage loans. The owner is attempting to sell the buildings, and if it takes
possession, the lender pledges to “try not to evict” any of the current tenants, but tenants are
justifiably nervous about their housing stability.

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Rhode Island

Shlavey, K. (2009, June 10). “Report: Foreclosures lead to evictions.” Providence Business
News. Available at:
A report released yesterday says that financial institutions who had foreclosed on properties in
Rhode Island last year evicted 2,338 tenants, with the highest amount, 1,166 evictions, in

Dujardin, R.C. (2009, May 9) 50 protest loss of living quarters in foreclosures. Providence
Available at
Nearly 50 people, including tenants who say they were being forced from their apartments
because their landlords’ buildings are being foreclosed, protested outside the Bank of America’s
branch at 1473 Broad St. Friday to demand that the bank stop evicting tenants and put a
moratorium on foreclosures.

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AP (2009, May 6) Sales of RI multifamily homes rise as prices drop
Available at
Sales of multifamily homes in Rhode Island accelerated during the first three months of the year
as the median price dropped in half.

Adams, E. (2009, Apr. 9). “At State House, Homeless Advocates Call for Action.” Rhode Island
Available at
Shelter providers in Rhode Island assert that there is a rising demand for their services and
attribute it, in part, to renters being displaced by foreclosures. One tenant states that he has been
evicted from three foreclosed rental units, utilities have been turned off, and banks have not made
good on their promises of “cash for keys.”

Arditi, L. (2009, Apr. 3). “Affordable Housing Advocates Want Funding Restored.” Providence
Available at
A renter at a rally at Rhode Island’s state capitol is facing eviction from a foreclosed unit – for the
third time. The gas was just shut off in his current home. The article also references a study by
the Rhode Island Coalition for the Homeless that the number of persons homeless due to
foreclosure has tripled in the last year.

WJAR10, NBC, Providence, RI. (2009, Mar. 30). “Homeless Advocates Call for Foreclosure
Protection Bills.”
Available at
The executive director for the Rhode Island Coalition for the Homeless reports that 136 families
who entered a homeless shelter in the state last year had become homeless as a result of

Adams, E. (2009, Mar. 26). “Students Share Warmth of their Hearts with Homeless.” Rhode
Island Catholic.
Available at
The executive director of the Rhode Island Coalition for the Homeless attributes the eviction of
renters from foreclosed units as a leading cause for the increase in homelessness in the state. (2009, Jan. 23). “Foreclosure’s Innocent Victims.”
Available at
This story from Rhode Island highlights the challenges facing renters who live in foreclosed
homes. Active tenants and advocacy groups are trying to make sure that tenants know their rights
while trying to expand their legal protections. With few protections today, shelter usage has
increased by 50%, likely due in part to the eviction of tenants living in foreclosed properties.

Arditi, L. (2009, Jan. 15). “Tenants, Advocates Rally to Stop Foreclosures in Rhode Island.”
Providence Business Journal.
Available at
Tenants in Rhode Island demonstrate in the State House rotunda for a moratorium on
foreclosures. Several renters who have been displaced by foreclosure are interviewed, and the

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executive director for the Rhode Island Coalition for the Homeless says that he’s aware of more
than 100 families who became homeless following a foreclosure.

New England Cable News. (2009, Jan. 14). “Rhode Island Tenants Fight to Stay in Their
Available at
Renters in Rhode Island protested in the state capitol building for the right to remain in a rental
property after foreclosure. A state representative has proposed a bill that would allow renters to
pay their rent to the lender following a foreclosure. An estimated 70% of properties foreclosed on
in Rhode Island include more than one unit.

Freyer, F.J. (2008, Dec. 11). “Tenants Protest Eviction Practices.” Providence Journal.
Available at
Community activists held a rally outside a triple-decker in Providence to protest the eviction of
renters living in the foreclosed building. A legal services attorney said that tenant evictions are
common and that one bank in particular initiated 20 evictions in one day.

Cotter, P.R. (2008, Dec. 10). “Update: House Blockage ‘Warning’ Aims to Stop Foreclosures.”
Providence Journal.
Available at
Several groups are considering a blockade of a foreclosed multifamily renter-occupied building in
Providence to prevent the eviction of tenants in good standing. Groups are proposing a
moratorium on foreclosures. The director of Ocean Stat Action estimates that two-thirds of Rhode
Island foreclosures involve multi-unit homes.

Henry, R. (2008, Dec. 8). “RI Lawmakers to Renew Bills Protecting Renters.”
Available at
Rhode Island legislators are considering a bill to strengthen tenant rights after an eviction,
including notice when a foreclosure occurs and at least 60 days before eviction is enforced. One
renter had to leave a foreclosed unit but the mortgage holders are letting him live in another
foreclosed unit – rent free – until he can find another apartment.

Tooher, N. L., “ Rhode Island Tenants, Lawyers Feel Impact of Mortgage Crisis.” (2008, Jan. 21)
Rhode Island Lawyers Weekly.
Available at
Renters in RI continue to suffer from foreclosures as 3.23% of rental-housing loans were
considered “seriously delinquent,” according to a Mortgage Bankers Association national
delinquency survey for the third quarter of 2007. In MA most of the evicted renters are low
income tenants in the state’s urban areas.

**Arditi, L., “New Law Would Help Renters.” (2008, Jan. 12) The Providence Journal, p. F1.
Available at
If passed, new legislation would require all lenders to inform renters of “pending foreclosures”
and notify them, in writing, at least 60 days prior to an eviction. Currently, RI law only requires
that tenants be given “reasonable notice” before an eviction, which lawyers say can range from
three to 30 days or longer.

** Link to article is no longer available.                                                   93
Arditi, L., “Collateral Damage: Foreclosure Crisis Forces Many Renters from Homes.” (2007,
Nov. 26) The Providence Journal. Available at
H87U81P_v377.10b379e.html Although no official figure exists for the number of renters forced
out of their homes from foreclosures in Rhode Island, local lawyers, judges, and real estate agents
say the numbers have dramatically increased. Rhode Island commercial property law only states
that owners of foreclosed properties give tenants “reasonable notice,” which can be as little as
three days but usually amounts to 30 to 40 days.

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South Carolina

Sibley, J.M. (2009, Feb. 2). “Seeing the Pain First Hand: Renters, Beware.” Daily Journal.
Available at
A woman serving foreclosure notices to residences in upstate South Carolina says that owners
who are going to lose their homes will move out and rent it for a few months to earn some
income. As a result, the eviction that ensues can displace a blameless renter who has been paying
their rent on time, rather than on the owner who fell behind on the mortgage.

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Smith, Eric. (2009, Dec 18). “Commercial Real Estate Hits Doldrums.” The Daily News.
Available at:
When it comes to trends, commercial real estate usually lags residential real estate, sometimes by
as much as a year. So with the housing market showing its first signs of improvement during the
last month or so, the commercial sector needs to prepare itself for a long, bumpy road to recovery.
This includes multifamily deals, even though multifamily investments have been thought safe in
the past.

Charlier, T. (2009, 24 July). “Sheriff's initiative aims to protect renters from foreclosure
eviction.” Memphis Commercial Appeal. Available at:
At least two or three times a week, the Shelby County Sheriff's Office hears a now-familiar
complaint: A renter unexpectedly faces eviction because a landlord is in foreclosure. On
Thursday, Sheriff Mark Luttrell announced an initiative with Memphis Area Legal Services to
help renters understand their legal options in such cases and to educate landlords on the process
required for evictions.

Smith, E. (2009, May 14) Multifamily Market Dominated By Foreclosure Sales. The Memphis
Daily News
Available at
Of the 15 multifamily sales during the past 12 months valued at $1 million or more, only seven
have been conventional transactions, according to real estate information company Chandler
Reports, The rest have been bank sales, trustee sales or health board
sales, the result of a struggling commercial real estate market.

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WSMV, NBC, Nashville, TN (2009, May 4) Need For Rental Assistance Grows: Program Gifts
Up To $300 For Rental Help
Available at
There's a lot of attention these days on foreclosure, but people aren't just losing their homes --
they're losing their apartments, too.

WREG3, CBS, Memphis, TN. (2009, Mar. 11). “Renters Evicted; Experts Investigate Possible
Available at,0,3687641.story
Renters at multiple duplexes are being evicted after the owner failed to make his mortgage
payments. The former owner’s manager continued to collect rent after the foreclosure sale, which
has prompted a criminal investigation.

WREG3, CBS, Memphis, TN. (2009, Mar. 4). “Renters Beware: Foreclosure Nightmare.”
Available at,0,3558685.story
An investor in Memphis lost at least some of his properties to the bank, catching his renters and
property management company unawares. A renter who had lived in a unit for 15 years had to
relocate, and the investor’s other renters face an uncertain future.

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Gibbs, J. (2009, Mar. 12). “Temple, Belton, Killeen Schools Help Homeless Students.” Temple
Daily Telegram.
Available at
In this article about child homelessness in Texas, a district homeless liaison for a school district
says that they have had a few incidents of children becoming homeless because of foreclosure.

Lee, M. (2009, Feb. 23). “Texas Legislators Look to Help Renters Whose Landlords Are
Foreclosed On.” Ft. Worth Star-Telegram.
Available at
A 79-year old woman on Social Security was evicted from the home she rented for 13 years after
it was foreclosed on. Her belongings were placed on the lawn and soaked in a passing storm.
Several laws are under consideration in Texas that would afford renters more protections and
additional time to relocate.

Nielsen, J. (2009, Feb. 14). “Scammers Finding Open Door at Foreclosed Homes.” The Dallas
Morning News.
Available at
Con artists in Dallas are renting foreclosed homes to families while the cases are tied up in the
appeals process. The criminals have no legal claim to the homes and are profiting from the rent
they collect. The article says that some of the renters are aware of the scam and are benefiting
from low rents, but in truth, many more are likely being duped and quickly displaced.

KTBC7, FOX, Austin, TX. (2009, Feb. 10). “Foreclosure Forces Renters Out Fast.”

** Link to article is no longer available.                                                    95
Available at
One renter who’s being displaced by foreclosure is used to illustrate the plight of other renters in
Austin, TX. In the story, the Austin Tenants Union discusses the short notice that renters have to
find a new place to live and to find enough money for a security deposit and other related moving
expenses. The tenants union is advocating for an extension of the current 30-day notice to 60 or
90 days.

Jares, A. (2009, Jan. 7). “When Rental Houses are Foreclosed on, Tenants Suffer.” Ft. Worth Star
Available at
A family renting a single-family home in Ft. Worth, TX, was notified that the lender had
foreclosed on their home. Although the lender has allowed them to stay until February, banks are
often not as accommodating, and in Ft. Worth, renters may have as few as 15 days between
learning of the foreclosure and being evicted.

Sipiora, L. (2008, Nov. 14). “Homeless in Collin County.” Dallas Morning News.
Available at
The executive director of a homeless shelter tells the story of a family in Collin County, TX, who,
after 10 years in the same rental unit, had five days to find a new place to live because their
landlord lost the house to the bank. The family moved into a hotel before turning to the shelter.

Latson, J., & Olson, B. (2008, Nov. 6). “City Helps Halt Evictions.” Houston Chronicle.
Available at
City officials in Houston, TX, prevented the eviction of over 1,000 tenants whose complex had
been foreclosed on. After the landlord stopped making payments and the property was foreclosed
on, the city ensured that utilities would not be cut off and brokered a last minute deal with the
mortgage holder to transfer the property to a new management company.

KTRK13, ABC, Houston, TX. (2008, Nov. 6). “Good News for Apartment Residents.”
Available at
A large apartment complex in Houston, TX, was foreclosed on, and residents faced imminent
eviction. However, the lien holder that took possession of the property agreed to find a company
to manage the complex until it finds a buyer. The video segment mentions that six apartment
complexes in Houston have been foreclosed on recently because owners are finding it difficult to
get financing for repairs, some hurricane related. The result is a low occupancy rate and the
subsequent inability to pay the mortgage.

Jares, A. (2008, Nov. 3). “Foreclosures Hit Tenants, Too.” Ft. Worth Star-Telegram.
Available at
Tenants in Ft. Worth, TX, will likely be evicted from their home because the homebuilder has
stopped paying vendors for supplies and the house is being foreclosed on. The renters had an
understanding with the builder that they would rent until their credit improved and then purchase
the home. But suppliers have placed liens on three homes owned by the same builder for lack of
payment, resulting in foreclosure and likely eviction.

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Patel, P., “Foreclosure Can Push Renters Out the Door.” (2008, Apr. 30) Houston Chronicle, p.
A1. Available at Investors
lured into the mortgage industry by low teaser rates hoped to sell the property before the rates
adjusted upward have been unable to do so, fueling the number of foreclosures. Texas law
requires new owners of foreclosed property to give renters living in such property 30 days to
vacate if they are up-to-date on rent payments, but only three days if any outstanding rent
payments still exist.

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Mitchell, L. (2009, Mar. 15). “Renters Victims of Utah’s Rising Foreclosures, Too.” The Salt
Lake Tribune.
Available at
The executive director of a housing counseling agency in Salt Lake City reports that more and
more renters are being evicted from foreclosures with as little notice as a couple of days notice.
To further complicate renters’ efforts to find affordable housing quickly, some landlords are not
returning the security deposits to evicted renters.

KSL5, NBC, Salt Lake City, UT. (2008, Oct. 29). "Renter Can Check to See if Landlord is in
Default." Available at
An increasing number of renters in Utah are being evicted because landlords aren't paying their
mortgages. A legal services attorney said they see one or two cases like this per week, up from
one per month. This piece highlights a variety of ways that renters can check to see if their home
is in foreclosure, such as checking public records at the county recorder's office.

KSL5, NBC, Salt Lake City, UT. (2008, Oct. 22). “Home Foreclosures Leaving Renters without a
Place to Live.” Available at An attorney says that
one or two renters displaced by foreclosure are seeking legal advice from Utah Legal Services
each week, compared with one per month before the foreclosure crisis. The article points out that
low-income families are affected more than others because it is more difficult for them to afford a
new security deposit.

**Mayorga, C. (2008, Sept. 29). “Stranded in Tough Times.” The Salt Lake Tribune. Available at
Demand at homeless shelters in Salt Lake City has doubled since last year as the economy has
slowed. One family became homeless after being evicted from a foreclosed home and then
doubling-up with a relative, who was consequently evicted from his home.

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Hemingway, S. (2009, Aug 14). “South Burlington Apartment Building Target of Complaints.”
Burlington Free Press. Available at:

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A ramshackle apartment building in the middle of a tidy South Burlington neighborhood is the
target of complaints by tenants who say squalid living conditions persist since a foreclosure put
the place in mortgage insurance giant Fannie Mae's hands. "The power was shut off on us for
awhile, and so was the gas," said Norman Croteau, one of 13 tenants still living at the 195
Hinesburg Road building. "The trash in the storage room was so nasty it would move because of
the animals in it." Fannie Mae became the owner of the property July 31, completing a 2007
foreclosure action brought against the previous owner, Douglas Skidmore, by the mortgagee,
Aurora Loan Services of Littleton, Colo.

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Umble, Amy Flowers. (2009, Sept 10). “Renters Get Help with Evictions.” The Free Lance-Star
Publishing Co. of Fredericksburg. Available at:
$727,262 of stimulus money to Virginia will go to help area-agencies in Fredericksburg help
renters who are in foreclosure. The money will help hire case-managers and lawyers for renters
who are in danger of eviction due to owners who are being foreclosed upon.

Sadler, G. (2009, Apr. 22). “More People with No Place to Live.” Chesterfield Observer.
Available at
The director of a transitional shelter in Chesterfield, VA, notes that an increasing number of
renters evicted from foreclosed units are approaching the shelter for housing assistance.

Grimes, C. (2009, Apr. 6). “Schools are Reporting More Homeless Students this Year.” Daily
Available at
In this article about increasing student homelessness in Newport News, VA, both state and local
officials note that many of the newly homeless are renters who have been evicted from foreclosed
homes. One official notes that the lack of affordable housing, the short notice that many receive,
and the cost of moving are contributing factors to their homelessness.

Kremer, A. (2009, Mar. 20). “Homelessness on the Rise.” Richmond BizSense.
Available at
A survey of homeless individuals in Richmond, VA, found that 34 former homeowners and 22
renters lost their home and became homeless as a result of foreclosure.

Miroff, N. (2008, Dec. 9). “Foreclosure Epidemic Infecting Rental Market.” Washington Post.
Available at
This article describes the various ways in which renters are being victimized during the
foreclosure crisis: being charged rent or entering a lease after a home has already been foreclosed
on; renting from someone who has no legal rights to the property; illegal threats of eviction and
loss of property. Abuses are more rampant in minority communities where people are sometimes
less aware of their rights or reluctant to go to authorities. Tenants in Virginia and Maryland can
be evicted after a foreclosure, but the lease for tenants in DC survives foreclosure proceedings.

** Link to article is no longer available.                                                  98
Colvin, R. (2008, Nov. 12). “Family Homelessness Rising in the United States.” Reuters.
Available at
Drawing from a variety of sources that indicate family homelessness is increasing in the U.S., the
article focuses on a specific family in Northern Virginia that became homeless after banks
foreclosed on the properties of two previous landlords. Advocates stress that many of the families
who are homeless as a result of foreclosure were renters, not homeowners.

WTVR 6, CBS, Richmond, VA. “Foreclosures & The Homeless.” (2008, Aug. 25).
Available at
One family who lost their home through foreclosure tells their story about living in a homeless
shelter until they can find affordable housing. According to a local study, 5% of those living in
shelters or on the streets were former owners or renters displaced by foreclosure, and the number
of homeless children has increased by 10%.

NBC 4. “Renter’s Facing Foreclosure.” (2008, Jul. 30).
Available at
Legal Services of Northern Virginia informs tenants living in foreclosed properties that they do
not have to vacate their units the day they are sold. The legal organization advises renters to stop
paying rent and remain in their units until the eviction process is complete, reminding them that
new owners cannot change the locks or force tenants out without a court order.

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Kagarise, Warren. (2009, Nov 6). “Park Pointe stalled again as developer files for Chapter 11.”
Issaquah Available at:
The project developer of Park Pointe, Wellington Park Pointe LLC, filed for bankruptcy
protection Monday as the company worked to restructure a loan from Regal Financial Bank. The
developer failed to make payments on a loan from the Seattle-based bank and in June defaulted
on nearly $12 million. Wellington held $29 million in assets but owes about $15 million, court
filings show. Plans presented by the developer show Park Pointe with 251 units or 344 units. The
smaller, 251 residential units would contain 121 single-family attached units and 130 multifamily
units; the larger option would include 59 single-family detached, 145 single-family attached and
140 multifamily units.

Thompson, Connie. (2009, Nov 3). “Banks offering cash to clear out foreclosed properties.”
KOMO News. Available at:
Some lenders are paying people to move out of their homes. This is cheaper than evicting them
and having the home sustain possible damage. This “Cash for Keys” program may also be
available to renters who live in foreclosed homes. The landlord may not let their tenant
participate, but it’s always worth asking.

Bhattm, S. (2009, July 6). “New laws help tenants evicted due to foreclosure.” The Seattle Times.
Available at:
Both federal and state lawmakers enacted new tenant protections this year in response to the
growing number of foreclosures involving rental property but attorneys are scrambling to
reconcile differences between that law, which went into effect May 20, and a new state law that

** Link to article is no longer available.                                                   99
goes on the books July 26. Tenant advocates say they fear inconsistencies — even contradictions
— will make it hard for attorneys to advise their clients, and hard for renters of foreclosed homes
to understand their rights.

Lewis, M. (2009, Jan. 27). “Under the Needle: Renter Evicted in Landlord’s Foreclosure Finds
New Home.” Seattle Post-Intelligencer.
Available at
This story follows a Seattle family who was evicted from their rental home after it was foreclosed
on, even after the property manager assured them things would be fine. Tenant organizers say
these cases are on the rise in Seattle and across the country. In Washington, although a new
private owner would have to honor an existing lease, a mortgage company who takes possession
of a home is under no such obligation.

Lewis, M. (2008, Nov. 22). “Under the Needle: Law is on the Landlord’s Side.” Seattle Post-
Available at
This story focuses on one renter in Seattle who is being evicted from a foreclosed unit, even after
receiving assurances from the owner that everything was fine and that she should continue paying
rent. Washington law does not require that the new owner honor the lease after a foreclosure.
Tenant groups and legal services have seen dramatic increases in foreclosures involving renters.

Holden, D. (2008, Sept. 30). “Home Free.” The Stranger.
Available at
Over 1,300 homes in King County, Washington, have been foreclosed on and are currently
owned by the bank. The vast majority are vacant and many renters have been displaced, but this
article examines one situation in which the bank has allowed the renters to remain, rent free.
Although rare, this may become more common because banks must pay more to insure vacant

Berton, B. (2008, Sept. 12). “Residential Real Estate: Demand from Puget Sound Area Renters
Sustains a ‘Landlord’s Market’.” Puget Sound Business Journal. Available at:
Many households attracted to the Seattle area by its economic growth and job opportunities are
reluctant to buy a home and are opting to rent. An increasing number of current owners are
leasing their homes and condos because of depressed values, but this supply is apparently not
exceeding demand. Rents have returned to their historic highs, and average annual rent increases
are expected to range from 6-8% between 2007 and 2009.

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Vogel, S. (2009, May 1) Kesselring could lose 18 properties. The Janesville Gazette.
Available at
Kesselring said he is owed $110,000 in back rent, or about three months' worth for every tenant.
He said he could start to pay his debts if his tenants find jobs and pay rent. He said he doesn't
know what would happen to the tenants if the bank forecloses on the properties. The bank could
hire a property manager or find other places for the tenants to live, he said.

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Pabst, G. (2009, Mar. 31). “Renters Blindsided by Apartment Foreclosures.” Journal Sentinel.
Available at
After renting part of a duplex for more than a year, a woman in Milwaukee was initially given 24
hours, later extended to a couple of weeks, to move out because the building was foreclosed on. A
new law in Wisconsin requires lenders to provide tenants with more notice than this woman
received and gives them two months to find a new home.

WISN12, ABC, Milwaukee, WI. (2009, Mar. 18). “Foreclosures Leave Renters Without Home,
Available at
A renter in Milwaukee recounts how she has been evicted from two foreclosed homes in the last
three months. She has lost her security deposit and the rent she’s paid for this month. A new law
in Milwaukee fines landlords for not notifying tenants of a foreclosure and gives renters two
months to move from a foreclosed home.

Stein, J. (2009, Feb. 7). “Reactions Mixed to Foreclosure Proposals in Legislature.” Wisconsin
State Journal.
Available at
In this article about legislative proposals in Wisconsin, the director of the Tenant Resource Center
in Madison said that the number of calls from renters concerned about being displaced by
foreclosure has increased from a couple each year to the same number each week. She advocates
for better tenant notification and allowing renters at least two months after a foreclosure to find a
new place to live.

Rodewald, A. (2009, Jan. 12). “Evictions on the Rise in Winnebago County.” The Northwestern.
Available at
Building on significant increases in recent years, the number of eviction notices file last month in
Oshkosh, WI, was 43% higher than the same month last year. Renters are being evicted both as
landlords go into foreclosure and as jobs become more scarce.

Dennik, S.M. (2008, Dec. 7). “Milwaukee Foreclosure Partnership Initiative.” Presentation from
the Housing Justice Network conference in Washington, DC.
Of the 2,933 foreclosed units that are currently bank owned in Milwaukee, 66% are in multi-unit
properties and only 1,001 are single-unit homes.

Ryno, M. (2008, Oct. 8). “Foreclosure Crisis Hits Home.” Baraboo News Republic. Available at
As foreclosures increase in Sauk County, WI, so does demand for homelessness prevention
resources. Central Wisconsin Community Action received over 100 contacts in September, most
of whom were seeking rental assistance and 15 of whom were homeless. Emergency food and
shelter resources have largely been spent.

**Poling, J. (2008, Oct. 4). “As Economy Sours, Homeless Shelters See More Traffic.” Leader-
Telegram. Available at
Homeless shelters and services are seeing greater demand from the population in west-central
Wisconsin and the Chippewa Valley than in previous years. Foreclosures, high housing costs, and
evictions due to the inability to pay for utilities are partly to blame.

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