Cash for Keys (CFK) in 2020. Anyone?

[Rene Parkyn]

Hello,

I'm in CA. Has anyone used Cash for Keys recently? (i.e... 2020)

If so.. did you have the tenant sign any paperwork you prepared? How did you go about coaxing the tenant out of your property. How did it go? If paperwork was involved, can you share, please. How did you pay (check, cash, something else...)

Thanks...

Rene

[Jay Hinrichs]

Originally posted by @Nathan Gesner:

I hate "cash for keys" but the eviction moratorium may be one instance where I would say it's a viable tool.

If you going to pay them to leave, I have a couple recommendations:

1. Put it in writing!

2. DO NOT pay them until they are out.

3. Have a hard deadline and start reducing the payment daily if they aren't out on time.

Good luck.

Nathan in Oregon with rent control there is a 4500 dollar fee that is owed if you want to get someone out under most circumstances  ( city of Portland Only)

and then you have the moratorium .. we had inherited a house ( business inheritance IE borrower failed )  And its really a touchy thing.. the tenant knew i could not evict them. But they also knew I had to pay the 4500.00  but they missed some rent so we deducted that.. they did have a large deposit but the house was trashed of course ..  So end of the day given rent forgiveness and some cash they actually moved.. I did not pay the balance until they were out and i changed the locks then i gave them the accounting.. which i am sure they were not happy with but never heard from them again.. these folks now they are who they are..  they said they were moving to rural Oregon but then she calls and says she is at motel 6 and needs the rest of her money..  etc etc.. Glad I only have to deal with ONE of these.. these rental moratoriums in the wrong hands or with the wrong tenant are very troubling and financially damaging..

I think it will have the exact opposite effect in the Portland market.. I think ( except for big apartment projects that are under way and committed) there is not going to be the same demand for investors to buy smaller or SFR's for rental purposes.. And those that do and or have them the screening process is going to be ( or should be) like an FBI background check you simply cant take the risk.. this will put the less than desirable renter into even more peril of not being able to get a rental unit. the exact opposite effect as i think the pro rent control folks thought they were doing.