What are a tenant’s rights to the return of their security deposit after foreclosure?
Get Legal Help Today
Compare Quotes From Top Companies and Save
Secured with SHA-256 Encryption
What are a tenant’s rights to the return of their security deposit after foreclosure?
My rental was officially foreclosed on 3 1/2 months ago. The landlord notified me maybe a week before that this would be happening. When I went to talk to her about the return of the security deposit, she wanted to start playing “Let’s make a deal” and saying “Oh well there was oil in the tank that you used, etc.” Her husband got very nasty with me saying how I didn’t have to pay rent to the bank, etc, and how he wanted to do a walk through first. Are they obligated to return it to me? Since I paid full month but they lost ownership mid-month do they owe me 1/2 month rent.
Asked on July 3, 2011 under Real Estate Law, New York
Answers:
M.D., Member, California and New York Bar / FreeAdvice Contributing Attorney
Answered 12 years ago | Contributor
You are indeed entitled to a return of your security deposit. What arrangement you make with the bank as no bearing on this. Frankly, it's none of your landlords' business. As for the 1/2 month rent, you are also entitled to a refund. They were not the legal owners as of the middle of the month. However, from the sound of things you are going to have to take legal action to get your landlord's do the right thing. In a case such as this you will more than likely need to file suit in small claims court. If you do be sure to bring all documentation with you - a copy of your lease, foreclosure notices that you received, can celled checks, etc.
On the other hand, if you inform your landlord that you will sue to obtain your rightful refunds, then they may just give these monies back to you. Perhaps at this point they have had their share of the legal system. Good luck.
IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although AttorneyPages.com has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.