As CNN reports, renters are definitely at risk in today's collapsing real estate market. In the event a home goes into foreclosure the lease agreement on said property is typically voided. The good news is that new laws have recently been passed that help renters in situations like this, but so far only Freddie Mac and Fannie Mae loans are required to be part of the program. If your landlord has their mortgage with a different provider, you may be out of luck. With 40 percent of all foreclosures happening to homes with renters in them, sadly there are a lot more people who are going to be in the same situation as the lady in the video. For more on this, read Tim Iacono's blog post below:
Wow! About 40 percent of all foreclosures are for properties that are being rented. We'll have to keep this in mind when looking for a new place - a report the other day said there are ten new foreclosures every day in Deschutes County, Oregon, where we're headed.