House committee substitute makes the following changes to the 1st edition.

Amends GS 45-21.17, posting and publishing notice of sale of real property, to require the notice of sale, for properties that are residential and contain less than 15 rental units, also including single-family residential real property, to be mailed to any person that occupies the property pursuant to a residential rental agreement. 

Amends GS 42-45.2 regarding the early termination of rental agreements by military and other tenants residing in certain foreclosed real property, allowing a tenant residing in residential real property with less than 15 rental units that is being sold in a foreclosure proceeding under Article 2A of GS Chapter 45 to terminate the rental agreement by providing the landlord with a written notice of termination effective on a specified date that is at least 10 days but no more than 90 days after the sale date contained in the notice of sale, provided that the mortgagor has not cured the default at the time the tenant provides the notice of termination (was, can terminate the rental agreement by providing the landlord with a written notice of termination effective at least 10 days but no more than 90 days after the expiration of the upset bid period provided by GS 45-21.27). 

Amends GS 45-21.16A(b), concerning the early termination of rental agreements by any person that occupies the property pursuant to a rental agreement entered into on or after October 1, 2007, providing that after receiving the notice of sale, the person can terminate the rental agreement by providing a written notice of termination with a stated date of effectiveness that is at least 10 days but no more than 90 days after the sale date contained in the notice of sale, provided that the mortgagor has not cured the default at the time the tenant provides the notice of termination (was, can terminate the rental agreement by providing the landlord with a written notice of termination effective at least 10 days but no more than 90 days after the expiration of the upset bid period provided by GS 45-21.27).

Amends proposed GS 45-21.33A, deleting the provisions in subsections (a) and (b), now providing that a purchaser means any purchaser or successor in interest who acquires title to a single-family residential real property. Further provides that unless a purchaser will occupy the premises as a primary residence, the purchaser must assume title subject to the rights of any tenant to occupy the premises until the end of the remaining term of the lease or one calendar year from the date the purchaser acquires title, whichever is shorter. Provides that the purchaser is not required to ever renew an existing lease. 

Amends GS 47G-1(4), the definition for option contract or contract, deleting language which provided that it does not include a contract obligating a buyer to purchase the property even though the obligation may be subject to one or more contingencies or unilateral rights to terminate the contract, now defining it as an option contract for the purchase of single-family residential real property, as specified (previously, only provided it was an option contract for the purchase of property). 

Amends GS 75-121, concerning foreclosure rescue transactions, adding back in language that was previously deleted that provided that this section does not apply to exempt transactions. 

Amends the effective date clause, providing that Section 1 of the bill applies to notices of sale issued on or after the bill becomes effective (was, applies to upset bid periods expiring on or after that date).