Landlord in foreclosure - Tenants rights? 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?

 

[JETX]

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?

Should you?? Yes.
Required?? Would require a review of ALL the documents and facts before anyone can GUESS.
What did the landlord say when you requested a full refund of the deposit in WRITING??

 

[snownsun13]

This all just came to my attention in the last 8 hours. I have not had a chance to confront them yet. Just preparing myself ahead of time.