The issue with a bona fide lease is whether it was created before the “notice of foreclosure”.
That term is kind of confusing for CA.
Some banks define that as the date of the NOD, some as the date of the NOT, some as the date on the original note (not kidding).
HUD finally weighed in and clarified that the “notice of foreclosure” occurs when there is a clear winner of a trustee auction.
In other words, the repo date.
You can’t create a bona fide lease after the house is no longer the ex-landlords.
