Let's review just a bit, some of the highlights of the Cash for Keys Programs:
1.) Cash for Keys offers are available to both former owners and tenants.
2.) Cash for Keys offers are initiated by lenders usually within 5-15 days after a foreclosure auction sale.
3.) Cash for Keys offers are usually initiated by real estate agents who are hired by the lender.
4.) Cash for Keys offers are usually not offered for more than a 30 day move-out.
5.) Cash for Keys offer amounts may reflect the value of the home.
6.) Cash for Keys offers are usually between $1000 and $3000 for a 15 day move-out.
Some interesting questions have been asked about occupancy and how it relates to Cash for Keys. For example, many people have asked, "What if I move out before a lender representative offers the Cash for Keys?"
In this situation, there are several things that can happen. First, we must realize that the lender wants possession of the home. They intend to sell it, and can't if you live in it. So, if you move out before the lender makes a Cash for Keys offer, you may be rejected. If I, as a lender representative, roll up to your home and ascertain that it is vacant, why would I offer you Cash for Keys? In fact, I wouldn't really have any way to contact you, and no motivation to do so. I have what I want: a vacant house that I can put on the market and sell.
Let us say, for the sake of discussion, that I roll up to your home and see the yard well kept, the blinds or shades drawn, and I can't clearly ascertain whether someone is living there or not. I'm going to post a notice on the home advising the occupant to contact me as soon as possible. Now, here's where it gets interesting, so pay attention:
A suggestion was made that a certain homeowner might move out, make the place appear to be occupied, and post a notice right on the door that says something to this effect,
"Dear Lender Representative,
My name is Franklin DeMint. I am the occupant of this home. Please contact me with any questions: 555-555-5555."
Theoretically, this might indeed work. You could move out, the lender rep would contact you, you would make an agreement, sign the docs electronically or fax them, then meet at the home on the agreed upon move out date and collect the money. The agent did not inspect the property up front, so he or she has no idea the property was vacant all along. Neat trick, right?
Well, it could be, depending upon the agent or lender rep. In the case of my company, and the services we provide to our lenders? Not gonna happen. See, I'm all for helping people out, and I love to be able to work out a good Cash for Keys deal with a family who needs it. The problem is, I have to protect my clients. In this case, it is indeed the lender. I feel it is my duty to inspect the property up front, at the time of the agreement, so I can report to the lender the condition of their asset (the home) both at the time of initial contact and at the time of vacancy. A LOT can and HAS happened between these time frames, none of it pretty.
I also feel it is my duty to work with the former homeowner or tenant to protect them against further damages by my lender clients. If a homeowner does not work with me, and under my guidance, they may inadvertantly remove items or fixtures that legally don't belong to them. I would hate for them to be prosecuted for property damage after the fact. It can and does happen.
On a final note for now, I'll identify the general guidelines for what a person can and can't take from the home when they leave:
1.) You MAY take your washer, dryer, and refrigerator.
2.) You MUST take all personal property and trash or debris from the home.
3.) You MAY NOT take anything that is "fixed" to the home by nail, bolt, or screw.
Examples of items you MAY NOT take from the home include:
Ceiling Fans Light Fixtures Cabinets
Range/Ovens Built-In Microwaves Blinds
AC Units Water Heaters Dishwashers
Disposal Units Pool Equipment Flooring
Built-In Speakers Built-In BBQs Plumbing Fixtures
Hope that was helpful!
Allen Butler
2 comments:
Allen,
Do you have any idea whom we can/could contact regarding CFK.
When we were contacted about move out, they were inflexible. NO extension. Move out date dictated was 12/18/2010.
Well, today is 12/22/2010. The home is vacant/clean still NO check. This seems wrong on so many levels. I telecommute from home so, needless to say, additional stress was involved.
As I understand it if we were not out of the property on time NO check. OK I get that, no problem.
Do we have any recourse, after meeting their demands, they have NOT lived up to their end of the deal. What monetary reserves we had went for deposits, moving expenses. Christmas is days away and our Christmas prospects are as bleak as the weather here in Phoenix.
Any guidance or, contacts would be greatly appreciated.
Thanks so much in advance for your assistance.
So you are telling me the things that I had paid for oven, blinds, and dishwasher have to stay?
When I had gotten this home those things were not in the home when purchased.
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