Cash for Keys

[Bruce M.]

I have encountered my first cash for keys scenario. I bought a condo at the trustee sale and the owner won't leave without cash. He obvioulsy knows how to play the system and is playing it well. I'm sure he did not make a mortgage payment for two years before he was foreclosed upon. It goes against my grain to offer this, but he won't leave without some money. It will be cheaper and take less time than going through the eviction process. What do some of you do in this scenario and do you have any tips or suggstions for me?

[Jake Kucheck]

I agree with most of what K. Marie Poe says here.

Only thing I would add is that we train our CFK folks to do the following:

1) Make contact as a wage earning employee representing a small group of investors (this curbs their likely disdain for large banking institutions).

2) Try to get to the root of their problems before demanding they leave or offering money.

3) Try to offer assistance instead of money (moving van, able bodied workers).

4) Try to offer less money instead of more money.

5) Follow up diligently to ensure any CFK agreement is adhered to strictly.

6) (As others have suggested) Concurrently file initial UD action along with the CFK negotiation, so you are able to carry a big stick while also speaking softly.

If you're able to do all of these things, you should be pretty successful in occupant disposition.