New law protects renters from greedy banks

What? There's actually new laws that protect renters? From banks, no less???

The Republican era really is over, isn't it?

President Obama signed a new housing law last week that shields tenants from banks that try to evict them after foreclosing on their landlords.

Many Americans are shocked that a nationwide safeguard like this didn't already exist. Depending on the jurisdiction, a renter might have been able to successfully fight a gluttonous bank. But this is the first time in recent memory that a federal law has protected renters from foreclosures.

Under this groundbreaking new law, if a bank forecloses on your landlord, you can't be evicted by the bank until 90 days after the end of your lease. If you have no lease, you still get 90 days.

If anything, this law doesn't go far enough. Banks that foreclose should be prohibited from evicting tenants at all, even after 90 days. If a property is sold with no foreclosure, new owners are usually bound by the old leases (if a lease exists) - but banks that foreclose are exempt from this. I think it's time to end this special privilege for banks.

Still, the new law is a vast improvement over the previous state of affairs. Until now, banks in most parts of the country didn't have to give tenants any time at all - lease be damned.

Only Free Republic regulars seem to think the new law is a step in the wrong direction.

(Source: http://www.chron.com/disp/story.mpl/headline/biz/6439813.html)