‘Cash for keys’ offers are making people homeless, say housing advocates in northern Ontario

Housing advocates in Sudbury warn that “cash for keys” agreements—where landlords pay tenants to vacate—are worsening long-term homelessness. While payouts of $3,000 to $5,000 may seem appealing, Homelessness Network coordinator Raymond Landry says recipients quickly fall behind because Sudbury’s low vacancy rates and high rents make the money insufficient. Many people offered these deals already rely on Ontario Works or ODSP, leaving them especially vulnerable. Evie Ali of the Go-Give Project calls cash-for-keys a loophole that avoids the formal eviction process, noting a rise in homelessness linked to such agreements over the past two years.

Property manager Sherry Jordan says her company uses cash-for-keys monthly, usually when tenants have already defaulted on rent. She argues the deals spare tenants the eviction process and may forgive arrears, giving renters a chance to find more affordable housing. But with bachelor units costing $1,000 or more, Jordan says the real issue is inadequate provincial support for people on assistance.

The province notes ODSP rates have risen 20 percent since 2022, including a 2.8 percent inflation-linked increase in 2025, along with higher income exemptions and a minimum wage hike. Still, Ontario’s Living Wage Network reports northern Ontario residents now require at least $21.10 per hour to meet basic needs.

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