What is a Cash for Keys Agreement ?
If you've been a property manager or landlord for years, you may have come across tenants who simply did not work in your apartment, yet they would not move out. In this unsatisfactory situation, apartment building owners or managers are faced with waiting until the lease ends or initiating an eviction if renters overstayed the lease. A cash for keys agreement offers a third option - a separate agreement that lets rental property owners pay a tenant to move out for any reason.
Cash for keys can be a quicker and more peaceful alternative than evicting tenants, or a way to entice tenants to leave if landlords want to renovate the unit before renting it out for more money. Delinquent or undesirable tenants may be motivated to move out quickly in exchange for money.
The American Apartment Owners Association offers cash for keys agreements for real estate owners and property managers to download and use.
Benefits of Using American Apartment Owners Association’s Forms
Real estate brokers and owners rely on American Apartment Owners Association forms because:
A cash for keys agreement between tenants and landlords typically outlines how much a landlord will pay tenants to voluntarily leave by a specified date. For example, a landlord might offer tenants $500 to vacate an apartment within five days. Some tenants will leave for lower sums of money, while some will not leave the unit voluntarily unless real estate owners pay a significant sum.
The agreement usually specifies what actions tenants must take to earn the full cash amount. A landlord may require renters to clean the apartment or specifically prohibit them from taking items furnished to renters, such as appliances or landscaping. If renters do not comply with the terms of the agreement, real estate property owners can deduct money from the specified amount for cleaning, repairs or replacement of stolen items.
If the tenant refuses to sign a cash for keys form, or does not comply, the landlord can move forward with an eviction.
Since the cash for keys agreement form is a negotiated, voluntary termination of lease, tenants who sign can avoid having an eviction judgment on their record. Landlords and property managers can avoid the headache, time and lost income of having to initiate an eviction proceeding or pay tenant relocation fees.
Order Cash for Keys Agreement
Click here to order your cash for keys agreement. Once your order is complete, you can fill out the cash for keys form, select the amount of cash you want to pay, and dismiss your tenants quickly.
