Cash For Keys

Cash For Keys in Los Angeles


This term comes up in the unfortunate circumstance that a property is sold at a public auction and the property reverses to the mortgage company, mortgage holder, lien holder or the bank. This means the property was foreclosed on by the bank—the person who owned the property no longer owns it.

After the property is foreclosed on by the lienholder, bank, or mortgage company—and they become the new owner of the property—they want to be able to sell the property right away. And they are going to want the property vacant as soon as possible. The bank then wants to create a win-win for everybody involved. The process of evicting a tenant can get very costly, and the bank wants to avoid losing more time and money. They want to avoid the cost of repairing damages caused by the occupants. This is where the Cash for Keys situation comes into play.

The bank will offer the occupant a Cash for Keys, an arrangement whereby the occupant is paid to surrender the keys and vacate the property by a certain date. For example, a bank might offer money in exchange for moving out within thirty days. In some cases the amount can be negotiated, and also the amount varies from bank to bank. The money offered is intended to cover the relocation costs of the evicted occupant. If the occupant of a property is offered Cash for Keys (CFK), the bank or mortgage holder will set a mutually agreed upon move-out date. The lienholder, bank or mortgage company offering you cash to move out of the property will want the property vacated sooner than later. Also, when negotiating a move-out date, the longer you want to stay at the property, the less the bank will offer you to move out.  The sooner your move-out date is scheduled, the more money the bank will offer. It is also agreed that no damages can be caused by the occupant. The occupant is usually expected to leave the property clean and in a broom swept condition.  The occupant can not cause any damages to the property.

How we can help:

In many cases, the bank or mortgage holder may inspect the property to assure themselves that the property is free of all household or personal items, etc. In some contracts, the bank can void the Cash for Keys if the property is not left free of all personals, debris, or junk. If you are in this situation, it is fastest and most cost-effective to rent a moving truck for personal items, and to hire Hauling in Los Angeles to move out junk and debris. Hauling in Los Angeles can also help by removing any non-valuable items. The items will then be placed at an easily accessible location, and the junk items will be disposed of. Contact to remove the items from your home. Hauling in LA can make sure that the property is left in good condition.

Some more tips:

-Get as much help as you can, from friends and family.

-Find a place to move to as soon as possible.

-Move your personals and everything of value to your new place.

-Place all your unwanted items in and debris in one location.  Hire a hauling to remove those items.

-Be ready to go at least 2 days before your agreed date to move out.  There is always more to do than you think, especially if you have been at the property for several years.