Legal Question in Real Estate Law in California

Re: Tenants & Foreclosure

It's hard to answer your question because I'm not sure what the connection is between the foreclosure, the condition of the property, and the factors driving the foreclosure or the need to vacate.

Rental properties don't enter ordinary foreclosure due to landlord neglect; the usual reason for foreclosure is failure of an owner/borrower to keep a mortgage current. I suppose this could be a public sale following repeated failure of an owner to pay assessments for municipal services, or to enforce code provisions, but your question does not provide enough information for me to reach that conclusion.

Usually, tenants can remain in a property undergoing a loan-default foreclosure until the foreclosure sale occurs and the buyer gets his, her or its trustee's deed. Then, the buyer is entitled to possession (unless a tenant is in possession under a lease that was senior to the loan foreclosed upon), and can give a three-day notice, then begin unlawful detainer proceedings against the tenant.

The facts you give also suggest that the tenants might be forced to vacate due to the place being red-tagged by building inspectors or public health authorities as being unsafe or unfit for occupancy.

If this information isn't helpful, you might re-ask your question giving a few more facts as to who is foreclosing (if it is indeed a foreclosure), and whether it is the foreclosure itself or some kind of health violation that is the concern.