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What is a "Free Foreclosure List"?

By
Services for Real Estate Pros with AZ Veteran Notary Services CA BRE 01444168

What is a "Free Foreclosure List"?
by
John Occhi, Hemet REALTOR®  
Mission Grove Realty  

I have to hand it to my fellow REALTORS®, they certainly know how to market, if nothing else.  Some would argue that is a REALTORS® most important job - marketing - or getting the word out.

The change in the market of 2007 has brought all sorts of people into the foreclosure and preforeclosure niche of selling real estate.

One of the latest techniques that REALTORS® are using is offering a "Free List of Foreclosures".  OK, I suppose I could see the value in that, if it was legitimate.

One of the brokers in town has a sign out in front of their office with those exact words on it.  I was talking with a friend of mine - outside of the business.  Actually my friend was asking me what that was all about, and to be honest I wasn't real sure just what they were providing.

So a couple of days later, my friend gets back to me and says he went in and asked for the list.  Well, after a 45 minute drilling on what his objectives were and the gathering of his personal contact information, they finally gave him a NOD list - from last month.

They did take the time to explain what the list was and how to read it - with all of the codes and column headings that looked like Greek to the non real estate professional.  The list was 24 pages and had properties from one end of Riverside County, CA to the other.  He was told he could look this over and preview any of the homes by driving by and if he wanted to see the inside, they would try and arrange it.

These properties aren't even for sale.  They are preforeclosure and many of these homeowners are struggling to keep their homes - not sell them.  Certainly these homeowners don't appreciate people knocking on their door.  That can be very dangerous in some parts of Riverside County.

Now get this, the REALTOR® who gave him the list has called twice in the last 3 days to see if he found what he was looking for.  It turns out they had my friend sign an in-house form that says they would not disclose this list to any outside persons and that if my friend wanted to make an offer on any of these homes that he had to go though them, as they are now considered the procuring cause.

So, Anything They Can Do...I can do Better

I pulled out my laptop and shoed my friend how I have access to this data updated three times a day - fight thereon my computer.  I show him how I scan the property and let the computer select the properties that meet my criteria - first by zip code, property size, lot size, bedroom count, if it has a pool or not and almost anything else I want to know except what color the kitchen sink is.

So we go through several thousand listings from the past month, up to that afternoon and narrow the criteria down to about 15 properties that have the potential for what my friend is looking for.  I map them out and we do drive-bys of all 15 in less than an hour and narrow the list down to 3 or 4 that he believes his wife would like - based on nothing more than the curb appeal and the filtering of the list.

After my friend did his drive by with his wife, she agreed that she could live in any one of them.  Now at this point, nothing is guaranteed, but they want me to try and buy one of those four homes.  So, I wrote a personal letter to each of the four homeowners and mailed them.  I will give them until Wednesday, and if I have not heard from them, I will take the next step and knock on a few doors to see if any would entertain a short sale offer to help them out of their problems.  Who knows, it just might fly - and if it doesn't I have a buyer ready to go and will continue to work with me - not because we are friends - that only got him in the door - but because I provide a service and I'm not talking about an outdated list on NPOD properties and sent driving aimlessly.

I think I have a buy coming up, very soon.

Now Have a Blessed Day,

John Occhi, Hemet REALTOR®  
Mission Grove Realty  

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Until Next Time, Have a Blessed Day,

John Occhi, ePRO, REALTOR®
DRE Lic No: 01444168


ePro,John Occhi,www.johnocchi.com,realtor      Certified Probate Real Estate Specialist Logo Awarded to John OcchiFive Star Logo,Certification,REO,Five Star Institute     

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This blog and the contents written here is the intellectual property of John Occhi, Temecula - Murrieta, CA REALTOR® in the South West Riverside County region of the Inland Empire of Southern California.  The views and opinions expressed are just that - views and opinions of John Occhi and those who comment.  Please note that I am not an attorney or a tax professional and any time I discuss either topic, I suggest you consult with the proper professional for relevant assistance. 


I am proud to be a full time REALTOR® who is proud to be a contributing member of the ActiveRain community.

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Missy Caulk
Missy Caulk TEAM - Ann Arbor, MI
Savvy Realtor - Ann Arbor Real Estate
Good luck, it sounds interesting. One agent in our company started working with foreclosure's in Michigan a year ago. That is here whole business. She is already up to 300K in GCI. I personally don't like them and refer them out. But, it is definately a niche market, if you can get in with a bank. There are so many in Michigan and she loves doing it.
Jul 28, 2007 11:59 PM
Paul Moye
Benchmark Realty - Franklin, TN
Broker, GRI, SRES

Sounds like the agent is looking to get a group of people under an Exclusive Buyers Agreement and then habd out a bag full of info that covers every house in the local MLS so they can claim these people were Their Exclusive Clients. Seems to me that I would rather spend that energy working with a quality client who will buy....

The other agent will spend countless hours fighting a losing battle....see who ever gets the clients signature on a contract prevails in the commsiion arbitration. Signing up Buyers in front of Wal MArt is not a client level service and the agent in this case is truly signing up the County 

Jul 29, 2007 02:54 AM
John Occhi
AZ Veteran Notary Services - Marana, AZ
Mobile Notary Public/Certified Loan Signing Agent

 Rondel Williams - I am not really concerned with "that form".  In my opinion it lacks any validity because :

1 - It is as generic as the phone book
2 - They never showed a property or even filtered the list - just take it and drive
3 - the list was misrepresented as a foreclosure list of homes - the layman thought these were homes that had already been taken back from the bank and are now available for sale and not homes that were potentially going to be foreclosed on.
4 - If a sale happens, it's because I knocked on the door and negotiated with the homeowner to sell their home.
5 - It is an internal form and not one that is recognized by the California Association of Realtors (CAR) - we have buyer agreements.  This is very simple language that does not have anywhere near the same provisions a s a recognized CAR form does.  In my never humble opinion I believe it to be nothing more than a marketing piece that establishes a relationship in exchange for this "free information"  Certainly with the persistent telephone call follow-up, it could help bring a buyer back in when they are ready.

As far as predating a form - it just isn't going to happen.  We do have a code of ethics, after all.  Besides my friend is an investor and I have already sold three house for him and he is in escrow with me to buy another.  He was a friend long before he was a client, so I am not worried about them even considering to enforce the agreement, since I can prove what I have done to find the properties - even if they are on the same list.  On thier list, the property was buried - on mine it was one of a handful.

Now Have a Blessed Day,

John Occhi, Hemet REALTOR®  
Mission Grove Realty  

 

Jul 29, 2007 03:00 AM
John Occhi
AZ Veteran Notary Services - Marana, AZ
Mobile Notary Public/Certified Loan Signing Agent

William Johnson - First, thank you for the language correction.  when I was blogging last night my brain had already started to melt awya and I just could not come up with the word procuring - prevailing was stuck there and nothing else could break through, so thanks for the catch, I have changed it.

I agree that they do not have much of a shot at enforcing anything, but I like your idea of sending the letter - if nothing else it may stop the phone calls.

Now Have a Blessed Day,

John Occhi, Hemet REALTOR®  
Mission Grove Realty  

Jul 29, 2007 03:04 AM
John Occhi
AZ Veteran Notary Services - Marana, AZ
Mobile Notary Public/Certified Loan Signing Agent

Missy Caulk - It is a tough market and the competition is starting to jump on the bandwagon.  The good news that no one hardly gets is how powerful an ActiveRain blog is at getting the message out there.  I have about 50 articles now that show up under terms such as foreclosure, preforeclosure, short sale, investor, etc.  This forum has positioned me as the local expert and I think it would be very hard for anyone to out maneuver me at this point, as long as I am consistent at what I am doing.  Perhaps next year I can report back that I am that agent making in excess of $300K GCI - wouldn't that be sweet.

Now Have a Blessed Day,

John Occhi, Hemet REALTOR®  
Mission Grove Realty  

Jul 29, 2007 03:08 AM
John Occhi
AZ Veteran Notary Services - Marana, AZ
Mobile Notary Public/Certified Loan Signing Agent

 Paul Moye - Well luckey I guess that I have not yet seen them camped out at WalMart - but who knows.  Tha is ian interesting scenario.

You, of course, are right.  1 Quality client is worth 1,000 signed documents if the clients want nothing to do with the agent who holds the paper. 

I almost would love to see them try and enforce a relationship as I have described it and watch them get slapped by either the local board or better yet a court of law.

Now Have a Blessed Day,

John Occhi, Hemet REALTOR®  
Mission Grove Realty  

Jul 29, 2007 03:12 AM
1SG (Ret.) David Kucic
Hawaii Military Realty, Inc. - Ewa Beach, HI
President and Owner

John-I need to learn a lot more about foreclosures and short sales.  The foreclosures are not very common here in Hawaii although there are a few here and there.  Short sales are becoming much more common over the past several months for obvious reasons.  Where do you get the list of foreclosures?  Do you have to be a member of something or do you have to pay a fee of some sort?  Could you obtain the list of Hawaii foreclosures or only your own area? 

Our local MLS has a "Foreclosures" tab and as of this morning, there was only 1 active foreclosure on the entire island of Oahu.

Teach me!

 

Jul 29, 2007 07:14 AM
delete account
Clayton, MO
Great post John! I've never dealt with foreclosures, but know of a lot of agents who do. I like how you handled this situation....this can possibly help some of those homeowner's get out of a bad situation. I'd never really thought of it that way...I just always feel bad for those faced with losing their home.  
Jul 29, 2007 08:25 AM
Bill Roberts
Brooks and Dunphy Real Estate - Oceanside, CA
"Baby Boomer" Retirement Planner

Hi John, I think that the real fireworks will happen when somebody with the other list knocks on a door and "insists" that he be allowed inside to inspect the house. I just hope it doesn't get physical. Where are all the lawyers? I'm sure that what they (the other office) are doing is illegal. Misrepresentation is a crime. Inducing a "client" to sign a bogus agency agreement for the purpose of intimidation is prbably also illegal.

Bill Roberts

Jul 29, 2007 11:55 AM
John Occhi
AZ Veteran Notary Services - Marana, AZ
Mobile Notary Public/Certified Loan Signing Agent

1SG (Ret) David & Tonya Kucic Foreclosure lists come from the Title company.  Most have it on the membership section of their website - others yo have to ask for access and your rep should get you in without any problem.

I'm not sure just what I have access to as all I ever look at is in my county - way too many here for me to expand my horizons...Hawaii does sound nice though...hmmmm

Top, I would be glad to teach you what I know on the topic - but not in a public forum...give me a call.

Now Have a Blessed Day,

John Occhi, Hemet CA REALTOR
Mission Grove Realty

Jul 29, 2007 07:10 PM
John Occhi
AZ Veteran Notary Services - Marana, AZ
Mobile Notary Public/Certified Loan Signing Agent

Pamela Williamson - Thanks for stopping by and the kind words.

The truth is most people never have to lose their home - certainly not at auction.  Granted, many can not keep their homes, but that does not mean they have to lose their home.

Now Have a Blessed Day,

John Occhi, Hemet CA REALTOR
Mission Grove Realty

Jul 29, 2007 07:12 PM
John Occhi
AZ Veteran Notary Services - Marana, AZ
Mobile Notary Public/Certified Loan Signing Agent

 Bill Roberts Thanks for stopping by - I was expecting you.  You know I love our banter and you are always welcome here.  In this case I am 100% in agreement with you when a buyer insists on seeing a house ...well lets just say riverside County is a lot like Texas - we have more guns then we do kids in school.

As far as the agreement, I saw it,(no, I do not have a copy) and it really was very simple yet direct.  I seriously doubt that they would even try and enforce it.  After all, who can force a client to work with you - try it and you know you are in for a lawsuit the first time you sneeze - so I don't think anyone really wants that or would even try.  The agreement is more of a tool to reinforce where they got the list.

At least I hope that is what it is...

Now Have a Blessed Day,

John Occhi, Hemet CA REALTOR
Mission Grove Realty

Jul 29, 2007 07:17 PM
Brad Andersohn
Retired Executive Director of Education at eXp - Boulder Creek, CA
ActiveBrad - 707.646.1876
John - 10 posts in one day?  You're going to blind yourself!!  I know you want to bump me from 8th place in CA, but don't hurt yourself, I have a few tricks up my sleeve just waitin for ya...  LOL!  This was a great post, thanks for letting me have some fun with ya on it!~  Be blessed, be your best!!  B-)
Jul 29, 2007 07:37 PM
John Occhi
AZ Veteran Notary Services - Marana, AZ
Mobile Notary Public/Certified Loan Signing Agent

Brad Andersohn I thought I smelt a possum around here somewhere...Oh, is that you lurking Brad.

Hey, I had slacked all week and I had the time yesterday.  I am sure you do have some tricks - I know you get a lot of points from your referrals - I get a few to create a profile and maybe post an article or two, but I can't get past that point - so what can I do but blog away.

You know that 7364 point spread we had not too long ago has been narrowed to just over 4,000 points at 4089 as of the close of the official Sunday on AR.

So, whatever you got planned, just keep looking over your shoulder - cause there I am!

And thanks for the kind words about the post.  an excellant opportunity to chime in and let the folks know how you can get them foreclosure information.  I here you guys have offices in more than one state, is that right?

Now Have a Blessed Day,

John Occhi, Hemet CA REALTOR
Mission Grove Realty

Jul 29, 2007 07:55 PM
Pete C
TBA - Kailua, HI
Hawaii Mortgage Loan and Refinance
Interesting.  I'm surprised these pre-foreclusure lists are that easily accessible.  Good for you for being proactive!
Jul 29, 2007 08:42 PM
Brad Andersohn
Retired Executive Director of Education at eXp - Boulder Creek, CA
ActiveBrad - 707.646.1876
John - possum here...LOL!  We have offices in all 50 states.  We are the largest in the nation.  Let me know if you ever need me to hook you up.  Be good, and........catch me if you can!  :-)
Jul 30, 2007 02:05 AM
John Occhi
AZ Veteran Notary Services - Marana, AZ
Mobile Notary Public/Certified Loan Signing Agent

 Pete Castillejos - Yes, I was trying to set my friend Brad Andersohn up to make a pitch - I guess he didn't think I knew that much about his start-up company, First American.  So, just talk to your title rep - they are all public record.

Now Have a Blessed Day,

John Occhi, Hemet CA REALTOR
Mission Grove Realty

Jul 30, 2007 04:30 AM
Brad Andersohn
Retired Executive Director of Education at eXp - Boulder Creek, CA
ActiveBrad - 707.646.1876

Bill,  toooo funny...I don't see the word "worried" except in your comment...LOL!  I'm just trying to push John a little to see what he can do.... hehehehe

EXALTED? Now we're talkin!!  B-)

Jul 30, 2007 04:39 AM
Marc Pellettiere
Scoggin Properties / GMAC Real Estate - Covington, LA

I provide a free list of foreclosures for my Parish (County, for everyone not living in Louisiana) and I use it as lead generation. My list is up to date, and accurate as long as my thumbs don't get in the way of my typing. I do follow up calls and provide information, as well as attend the sales and make contacts there. I do not hound any clients, as a matter of fact, many are very greatful to hear from me. However there are several cons to buying a foreclosure and many people decide they would rather buy through the active market, and that is where I come into play. I originally dealt with a national company to receive my list of foreclosures, but found their information was inaccurate, and will not provide that to my clients. Now I deal directly with the Parish and my clients appreciate the ease of information and my willingness to provide them with this information. Also I am beginning to build a base of investors who want to work with me, buying foreclosures, potential short sales, and active listings. I am filling an open niche in my market. FYI, I am still a fairly new realtor, only 2 years old, but I have found this avenue very rewarding.

Thank You, Marc Pellettiere www.sttammanyhomesandland.com

 

Aug 29, 2007 08:46 PM
John Occhi
AZ Veteran Notary Services - Marana, AZ
Mobile Notary Public/Certified Loan Signing Agent

Marc,

It sounds like you are on the right track.  I can only imagine how nice it would be to have easy access to the County (Parrish) information.  It is over an hour drive for me and very expensive parking when I get there - so I rely on what I can get from my Title rep.

Continued best wishes for your success in developing your niche.

Now Have a Blessed Day,

by John Occhi, Hemet REALTOR®  
Mission Grove Realty  
Preforeclosure Specialist

Aug 30, 2007 01:10 AM