All Forum Posts by: Sri Voodi

Very Interesting article by Brandon on Evictions - may be Cash for Keys might be suitable in your case

https://www.biggerpockets.com/renewsblog/2015/05/2...

Cash for Keys

Cash for Keys is a controversial process debated often in landlord circles. Cash for Keys is the process of giving your tenants money to leave the property, avoiding the eviction process altogether. I’ve used this system several times over the past few years and found great success; however, before throwing money at your tenant, let’s talk about the specifics.

The idea behind Cash for Keys is simple: Giving the tenant money to leave is cheaper than paying an attorney for an eviction.

Think about it: Evicting a tenant will likely take a month or longer, depending on your state. It will cost you several thousand dollars in legal fees to do so, on top of the lost rent for at least a month and maybe two. Then, you have to deal with the clean-up of a tenant who was just evicted, which, I guarantee you, isn’t very pretty. All in all, an eviction could cost you around $5,000 or more.

BUT… what if you could just offer your tenant $500 to leave the property in good condition?

Also, $500 is just an example. Maybe you want to give more? Maybe less? It will depend on the unit, the tenant, and the motivation. But $500 is usually enough to encourage someone to leave.