Archive for February, 2010
You know, when you do a lot of volume in REO, you spend a lot of time looking at the big picture and you sometimes forget about the small improvements that could greatly impact the efficiency and morale of your team. Sit here for just a moment now and imagine that you are sitting in your office chair trying to get a little work done. As you stare at the words on your computer screen, words that look a lot like the ones you see on your screen now, black on a white background, you begin to feel yourself tuning in. The more you stare at these words and the the tasks they represent, the more you settle into your place and get so focused that you can almost feel your chest rise and fall with each breath you take. You are in your zone, to the point that you are feeling super energized and ready to accomplish the work of two or maybe even three people. Then all of a sudden...
It is quite common to find discoloration caused by water intrusion in abandoned foreclosure listings. Depending on the price and condition of the property, your client may choose to repair and replace or simply find a more cost-effective solution for getting the home free of potential safety hazards and ready for market. In this video, I'll show you how we creatively handled the situation in a property that had some discoloration in the basement. I should mention that I hear myself using the word "mold" in this video. I am incorrectly saying using this term. The drywall had discoloration and I am NOT a mold expert and could not identify it as discoloration of the drywall. Furthermore, you'll notice that I mention that it is less than 100 contiguous feet, which is the standard by which many companies determine whether or not full "remediation" is necessary. In this case, it was not. Take a look at the end result of our "fix". Also be sure to notice that I check to see if the source of the problem is fixed as well. In this case it was not and I had to report it to my REO Asset Manager and my contractor had to return and get it corrected. "Band Aids" don't work. Double check every time! Hey, a repair like this on a bank owned property isn't always a pretty process but it gets the job done safely and properly!
There are certain tools that can just make life a heck of a lot easier if you're an REO broker.
RoboForm2GO Pro is just about the best little piece of software that I have ever purchased. It auto-fills registration forms and remembers passwords to all of your clients' on-line platforms. I cannot tell you how strongly I feel about having this little tool. It WILL be the best $49.50 you have ever spent. I prefer the RoboForm2GO Pro version. It can be loaded on to a flash drive and you can take it with you wherever you go. Get RoboForm2GO Pro version here RIGHT NOW.
Your website should be very "buyer sticky". By that I mean that it should give buyers reasons to stay around and seek out more information. Let's face it, buyers want to see homes. They don't care about how great you are or about your silly sales pitches. I have always gotten the best results by providing a "one stop shop" for REO searchers. I found exactly ONE IDX software that can be fully customized to your own specs - IDX Broker. Do not be fooled by companies who say there's is customizable. If you can't have access to the code then you can't really customize. For example: on my site REOAtlanta.com I have been able to code in special parameters that identify potential REO properties and short sales in ways that I could NOT do with any other IDX provider. This is like GOLD to REO investors and they come back to my site over and over each day. Try IDX Broker. It's the only truly customizable IDX solution on the market today. Don't know how to custom code? No problem. Email Brent Guest of BHGDigital LLC for custom web design (he does 100% of mine-including REO Rockstars.)
For BPO information I use a service called REDLINK. They don't service a lot of states but see if they service yours and use them if you can. It's a big shortcut to information for my valuations staff.
Lastly, I have a self-designed site called UnlistedBankHomes. It is a subscription based site for investors where I list homes that are about to hit the market. We list the homes here after getting a listing agreement from the seller and IMMEDIATELY before placing them on the market (we also give information on pre-list homes but it is very limited). This information makes investors drool and keeps them locked in to you as the expert resource they seek out. I would recommend using every one of these tools if you are going to be serious about making serious money selling REOs. Check them out and get 'em!
So yesterday I failed...Well, actually my staff failed but that means that ultimately I was responsible. Whew....got the self blame out of the way. Is it supposed to feel good to take responsibility or is it just the right thing to do? Who knows and WHO CARES! 
Anyway, I get an email from my office manager telling me to call a particular selling broker, who was upset about how the negotiations were going on one of my listings. He really could not believe that his buyer's offer was flat out "rejected" without a seller counter right in the middle of negotiations (very short negotiations I might add...his buyer was WAY low on price). Anyway, long and short of it was that did not "believe" that banks would just stop negotiating in mid-stream and force a buyer to either walk or counter their own counter. The guy actually believed that the bank was using his offer to shop other offers. He REALLY just didn't "get it"! So how do you (and how do I NORMALLY) prevent this?
Hello again REO Rockstars! As many of you know, I have been a regular road warrior lately, going cross country for weeks at a time to get knee-deep in the trenches with the big shots of the REO world. Accept my apology for the delay in new posts, but trust me, you won't think I owe you anything-nada-when you soak in all of the knowledge that I've gained to share with all of you in the next few months. In case you haven't noticed, things are changing quite a bit in our industry. Banks are telling us of MONSTROUS foreclosure numbers that are looming like giant storm clouds ready to crash down on just about every major city in the country. While many people have been listening to the b.s. being spewed out by the media that "times are getting better", I'm here to tell you that we're merely in the eye of the foreclosure storm-and a TERRIFYING storm it's gonna be.....that is, except for us REO guys!
It is extremely critical that you have the right information and good resources for insights into the REO industry. I for one am a big fan of one of Donald Trump's sayings: "Know everything about what you are doing". Two resources truly stand out for me: DS News is the REO industry's resource for industry events and information that's of high interest to every REO broker. Each year they publish their famous "Red Book" that highlights the major financial institution players in the business.
RealtyTrac is the number one provider of accurate real estate and REO statistics. This is THE best place to get data feeds, widgets and foreclosure article RSS feeds to dress up your website and make it "buyer sticky". The Foreclosure Trends subscription is the real "hook" for investors. Get it here.
Again, if you need help setting these tools up simply contact Brent Guest at BHGDigital LLC for custom web design.
Hopefully you've purchased RoboForm2GO Pro and are registering with every company on the REO Blackbook registration list .
You also need to set up accounts on these two platforms: Res.net allows you to register up to 100 zip codes per account. So if you are a large broker and cover more than 100 areas you will need to set up multiple accounts (I have 4). Res.net is only about $250/year for each account.
Equator (formerly REOTrans) allows you to list as many zip codes as you like and you pay a per zip code monthly fee. Equator is much more expensive than Res.net but you must be listed on BOTH. Asset managers routinely search these databases for agents located in a certain proximity of their REOs.
In addition to being on their own in house systems, many require that you use Res.net or Equator to process the sale of their properties.
