"Cash For Keys"?

[Marie S.]

Does anyone have a "Cash For Keys" agreement? What are some things that I shouldn't forget to add? What are some things that can go wrong?

[Steve Babiak]

I have found that a google search for the REO brokers will turn up a number of these agreements. That's how I put mine together a few years back.

If you put too much verbiage into it to try to become "bullet-proof", you run the risk of the occupant not wanting to agree - could defeat the purpose of having such an agreement! Obviously you want to be sure to not omit things that you consider important.

Is this for a rental or for a foreclosure auction purchase? Have you seen what the occupants have inside the place? Have you spoken to the occupants to see what their plans are for moving, and when and where? It can help to evaluate the occupants to see whether they will be belligerent or cooperative.

If you do produce one, be sure to allow space for notary, so that you can have a notarized document as opposed to just signatures.