Cash for keys on Section 8

[Andy Chen]

Hi all,

Need some suggestions on proposing cash for keys on section 8 tenant.  Here is my current scenario:

We are planning to sell a multi-family unit and my real estate agent needs the tenant to be vacated due to the amount of damages the unit have suffered and other factors that could potentially drive potential buyers away.  The tenant is under auto annual renewal voucher program that just recently renewed a few months ago.  In order to get out of it, we both need to sign Mutual Termination Agreement which we already know this will not happen.  Now here comes the sticky point.  The tenant have refused to allow any showing even if given 24+ hours of notice.  This violated the lease agreement.  She also violated other lease agreements such as

- Emotional support animals.  Contract states she can have single animal that weigh less than 40 lbs and instead have a husky, doberman pincher and a cat.

- Peace and livelyhood of the first floor tenant whom is pregnant and the animals are out of control and scaring the tenents on the first floor.

My attorney suggest to do cash for keys as initial suggestion before thinking about eviction process as this can take a very long time and expensive.

Any suggestions are welcome.

Thanks.

[Carl Millsap]

Hello Andy, 

I would contact the tenant's Section 8 case manager about the lease violations.

I would then inquire about the impact of an eviction on their ability to maintain their S8 benefits.

In our area an eviction is an automatic termination of benefits. 

On another note:

1. How many units is this building?

2. Do you have a buyer lined up / contingent upon the place being vacant?  

I would imagine some cash flow is better than no cash flow unless the buyer has a renovation team / plan ready to go day one and has budgeted for $0 cashflow while they renovate.

Hopefully, this helps.