Cash for Keys Offers

The following are excerpts from What is Cash for Keys? on Wisegeek.com located at: http://www.wisegeek.com/what-is-cash-for-keys.htm.

"The advantage of cash for keys from the point of view of the bank is that it gets people out of the house quickly, and the house is often left in better condition than it would be in the event that an eviction was needed. However, it is important for people to be aware that a cash for keys offer is a last resort, because once the paperwork is signed, you typically have no recourse...

Without voluntary surrender of the keys to a home, banks face a lengthy eviction process. Running an eviction is expensive, and time consuming, because while eviction notices are served and the eviction is finally enforced, the house is simply sitting there, and the bank cannot put it on the market. By getting a so-called “broom clean” house in exchange for a small cash settlement, the bank can quickly turn it around; most banks do not like to hold on to a real estate inventory, so they welcome the opportunity to sell off their foreclosed properties.

In addition to helping banks cover their losses quickly, cash for keys can also prevent damage to the house. In some cases, people who are evicted feel resentful and angry, and they may stop maintaining the house or actively damage it out of spite. As a result, a bank might need to invest in some basic repairs to make a house salable before putting it on the market, and this eats up more time and money."

To read this entire article and join in on the discussion, go to: http://www.wisegeek.com/what-is-cash-for-keys.htm.

Basically, in my non-expert opinion, "Cash for Keys" really only benefits the banks, because they want the property empty and clean so that they can put it on the market. Unless you've already found another place and already have a move-in date, this may not be a good offer for you and your family.