Foreclosure Cleanups and Cash for Keys: How Junk Haulers Can Help
With the unprecedented number of Americans losing their homes to foreclosure each year, it’s no wonder that property cleanup has become a booming business. In fact, according to the Mortgage Bankers Association, since the outbreak of the foreclosure crisis in 2007, an estimated six million homes have been affected by its wake, with millions more heading toward the same demise. That’s a tremendous amount of real estate in need of cleanup and repair, giving entrepreneurs who aren’t afraid to get their hands dirty the opportunity to profit from other people’s losses.
Typically, banks will hire a real estate agent to resell foreclosed properties. But someone has to come in and clean up the mess left behind by the previous residents. That’s where the foreclosure cleanup contractor comes in. The cost to clean up a single home can be as high as $2,000 depending on the amount of trash removed and the repairs needed. At that rate, a motivated cleaning contractor can make a lot of money, with very little cash up front and virtually no overhead.
So with all the “junk” operations springing up across the country, how do you find a foreclosure cleanup business that has the credentials to do the job right? The best thing to do is stick with service providers who have the necessary skills and equipment to handle the full range of property preservation issues that can arise in a foreclosure situation. These are the professionals who are used to dealing with everything from appliance removal and dumpster rental to junk hauling and yard waste pickup. They have the knowledge to restore each repossessed home to its original market-ready condition, providing lenders, as well as neighboring homeowners, with the hassle-free, fast exchange rate they so often seek.
In some home forfeiture situations, a cash-for-keys offer may be made, requiring the cleaning specialist to expedite trash and debris removal and renovate the property in a particularly short time frame. This is a deal that the bank makes with the affected homeowner, in which the homeowner receives a cash settlement to vacate the foreclosed property. Used exclusively as a last resort, cash for keys offers can benefit both sides of the real estate transaction. For the bank, it gets residents out of the house quickly and prevents the additional damage often caused during an eviction. For the homeowner, who is no doubt strapped for cash, the settlement can provide some much-needed funds for relocation at an especially difficult time and avoid the hassle of having to go through a difficult eviction.
With no end in sight to the current foreclosure crisis, the number of cleaning contractors hanging a shingle is likely to continue to grow. Before you hire one to do your dirty work, make sure they’re a garbage collector with the skills and equipment to do the job right.
