I have been living within this womans home, renting a room. She wants me to pay in cash (thats illegal, right?). She taped up the thermostat (its 99 degrees outside). There is NO heat. Yes…move is the answer. I have a signed lease and want to know how to get out of it!! We have had several…differences. One where she stated she is having me “watched” by neighbors! I have lived here over a year and a half, she just started acting this way afew months ago. We had air when I moved in (no heat). I have paid her on time or early since I have lived here. I don’t bring anyone over here because she is being so creepy! She has accused me of this and that, I honestly have done nothing wrong. Thank you for any responses. I have contacted Fair Housing in Santa Ana, Calif., who has informed me she cannot demand cash (she stated she now wants cash so she doesn’t have to pay taxes on it!), that she MUST have heat, but the ac, I am outta luck. I noticed in the lease I signed last April that she checked a box stating I must pay cash. Anyways, thank you for letting me vent this! I’m hoping I get some ideas posting this here. Thanks!! 
It would be pretty easy to get out of a lease for a place where you know the owner is renting it to you illegally. Just tell her you don’t want any trouble and presumably neither does she, so let you out of the lease and you’ll be on your way.
Even if she won’t agree to it, what’s she really going to do about it under those circumstances?
Have your friend always ask for receipt at the time of payment that includes the date and the persons’ signature.
Our last landlady wanted cash, but she gave us her bank account number and we deposited it directly. So, we at least had proofs that we deposited money to her, but never did get actual receipts that it was for rent.
I did have a landlord I paid in cash - but I always got a reciept, and he was perfectly happy getting a check. he was actually a personal friend, and we actually tended to hang out on weekends, so I tended to pay him weekly instead of monthly. [I was doing the old school envelope trick - put that paychecks money into different envelopes marked for what they were for - rent, electricity, phone, money, spending. But I also had a small safe at the time.] I didn’t have a bank at the time, and I got paid in cash.