What is Cash for Keys?
In some instances, when you're approaching the end of foreclosure, lenders are willing to offer what is called "Cash for Keys". Cash for Keys is a program in which lenders will pay you to move out of the home in a timely fashion and without destroying anything. The money that you receive from your lender is to pay for your relocation.
In a Cash for Keys situation, the lender may make several requests from you that are required to receive the money. Typically, the request that you move out in a certain number of days or by a certain date, and they will always ask that you leave the home in a "broom sweep clean" condition, which is just how you would leave a rental after a cleaning if you were expecting to get your deposit back. Additionally, the lenders don't want anything in the home damaged, broken or vandalized. The lenders offering Cash for Keys will send these guidelines to you before you agree to them.
The lender will give you the cash, as promised, in exchange for you moving out of a clean, non-vandalized home.
In some cases, your lender will offer you Cash for Keys automatically at a certain point in your foreclosure, but in most cases Cash for Keys needs to be negotiated with them.