Tenant's rights - Landlord is being foreclosed - CA

[snownsun13]

I am scheduled to sign a lease tomorrow for a property to rent. It has just come to my attention that this home is currently in foreclosure. I have not executed a lease yet. Lease was to be signed 12/1, but just discovered property is to be auctioned at trustee's sale on 12/3.

However, I did pay a holding deposit equal to one month's rent to take the property off market while the previous tenant was in their final 30 days. We received an agreement stating that the deposit would depreciate daily should we choose not to sign a lease agreement, but since this is obvious misrepresentation should we not be able to reclaim this deposit?

 

[mightymoose]

Sounds like you didn't have full disclosure regarding the property, so you should be entitled to a full refund. First thing to do is ask for the refund and let them know that you feel defrauded. If they refuse to return the money then go see a judge.