Many tenants in Ontario are offered 'cash-for-keys' — a payment from a landlord to leave voluntarily. This guide explains what cash-for-keys means for renters, clarifies your rights under Ontario's Residential Tenancies Act, and outlines practical steps to protect your tenancy record, security deposit, and future housing options if you consider accepting an offer. You ll learn when to accept or refuse, what to include in a written agreement, how to document the process with photos and receipts, and where to find official forms and tribunal help. Plain language and tenant-focused examples will help you respond safely and keep your options open. If unsure, seek tenant legal clinic advice before signing.
What is cash-for-keys?
Cash-for-keys is a private agreement where a landlord offers money or other compensation to a tenant in exchange for vacating the rental unit by a specific date. These offers can happen before an eviction process, during negotiations, or after a formal notice. The Landlord and Tenant Board handles disputes about eviction and related applications in Ontario[1], while the Residential Tenancies Act, 2006 sets out tenant and landlord rights and obligations[2].
When you might consider accepting
- If the payment covers moving costs and any unpaid rent or damages you might otherwise owe.
- If the move-out date is realistic for your schedule and prevents a formal eviction record.
- If you can secure new housing quickly and the offer helps you relocate without extra hardship.
How to protect yourself when negotiating
- Get the offer in writing with the exact amount, who pays, and the move-out date.
- Include a clear deadline for handing over keys and any deadlines for payment.
- Document the unit condition with date-stamped photos or video before moving out.
- Insist on a signed receipt showing the amount paid and that you have returned the keys.
- Contact a tenant legal clinic or the LTB if the agreement asks you to waive rights you do not understand.
What if the landlord already filed to evict?
If the landlord has started an eviction application at the Landlord and Tenant Board you can still negotiate, but be careful: any voluntary move-out could affect a pending case. You may want to continue the LTB process until you have a signed written agreement that states the terms of payment, the move-out date, and a release from future claims if you accept. Official LTB forms and application guides explain how to respond to an application or request a hearing[3].
Moving out and your deposit
Document the condition of the unit and keep receipts so you can pursue any improper deductions. Before handing over the keys, take photos and request a joint final inspection if the landlord agrees. For guidance on returning keys and deposit disputes, see How to Get Your Security Deposit Back with Interest When Moving Out and schedule a final walkthrough using tips from The Final Inspection: What Tenants Need to Know Before Moving Out.
FAQ
- Can a landlord offer cash-for-keys?
- Yes. A landlord can offer money to encourage a voluntary move-out, but you can refuse and pursue your rights under the Residential Tenancies Act.
- Do I have to accept a cash-for-keys offer?
- No. Accepting is voluntary. If you decline, the landlord may start or continue a formal eviction through the Landlord and Tenant Board.
- What should a written agreement include?
- The exact payment amount, when and how you will be paid, the move-out date, a statement about the unit condition, a signed receipt, and any release of claims you are asked to sign.
- Where can I get help if I am unsure?
- Contact a local tenant legal clinic or the Landlord and Tenant Board for guidance on your options and how a cash-for-keys deal may affect your rights.
How-To
- Get the offer in writing with the amount and move-out date.
- Confirm payment method and get a signed receipt when you are paid.
- Document the unit condition with photos and video evidence dated before you leave.
- Agree in writing who is responsible for repairs or cleaning and any deductions from payment.
- Return keys and obtain a signed release or acknowledgement that you vacated on the agreed date.
- If unsure, contact the Landlord and Tenant Board or a tenant legal clinic before signing anything.
Key Takeaways
- Get any cash-for-keys offer in writing before you act.
- Document unit condition thoroughly to protect your deposit.
- Seek tenant legal advice if the agreement asks you to waive rights.
Help and Support / Resources
- Contact the Landlord and Tenant Board (LTB)
- View the Residential Tenancies Act, 2006
- LTB forms and guides (applications and instructions)
