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How to get REO Listings

By
Real Estate Agent with www.eBrokerHouse.com

How do you get in the Reo Market?

 

This is most frequently asked question amongst new comers and even agents who have been in the industry for years. Although Bank owned properties are nothing new, what is different in today’s market is the sheer amount of REO properties on the market today. Banks are still adjusting, correcting, and even expiring by the way side today. In this rapidly changing scenario it is very tough to know “where to begin” and this is always the hardest step. You can take a deep breath because we have already taken a lot of the busy work out of the equation. We like to use a program called www.roboform.com and it’s very affordable at only $29. This is perfect for the tedious process of signing up for all the asset manager portals on the internet. I estimate that this tool will save you up to 20 -30 hours in your first month alone. How much is your time worth?

Now you will need to purchase a list of working Asset Managers. You will get BPO’s and REO listings from Asset Managers, not the Banks. The Asset Managers are the middle man between the Bank and actual real estate agent. This is not always the case but this is how you should see the process. Very few banks actually do their own property management during the entire REO process. First off, there are a lot of lists that claim to have done all the research and will sell you hundreds of companies from $29 -$150. A great list is www.ReoProfessor.com (it comes with the Asset Managers you will need already prebuilt in, but it is also a full blown REO organization tool that every money maker needs) and this is a steal for $97. You will use this deep list and have enough REO and BPO work for quite a long time. Now this may seem overwhelming but with RoboForm its really easy to get signed up on multiple sites within just a few hours. RoboForm remembers key details that enable you to save all your personal information and passwords in one well encrypted area. Next, sign up on a good amount of Asset Managers websites. You will need a pdf copy of your R.E License, a copy of your Brokers E & O insurance, and copy of signed by W-9 by yourself. You can sign up on each Asset Manager site from anywhere to 5- 15 min. There is some follow up needed for certain sites but their instruction are generally easy to follow. We will now proceed to call these Asset Managers as another step to ensure that you are on their radar where you want to be. The script could go something as follows.

“Hello, I am a REO agent specializing in all arena’s of foreclosure real estate and beyond. I have recently signed up on your portal on was wondering if you have any BPO orders you need completed in the (your city) area. I am eager to show you how quick my turnaround time is and my quality of work.”

If they don’t currently have an order for you then say….

"Ok that is fine. What I would love for you to do then is take down my personal cell phone and call me the next time you need to look for you manager. I PROMISE you that you won’t be disappointed"

If you don’t get an order by the 2nd or 3rd call…Send a short and breif email! This only takes a few moments and this is often the most useful way to get your foot in the door. Sometimes you will get orders on the first call and others will take more. Once you are in their system and doing orders, you don’t have much to worry about except completing every BPO valuation and REO listing as fast as possible. Some agents say they refuse to do BPO’s (valuations) because they don’t pay very much and they are time consuming. (usually only $40 -$100). This is a huge mistake because this is the exact way that you will start to get their REO listings. The Asset Manager usually wants to test an agent out before giving them the much more demanding task of taking on a Bank Owned listing. They are able to tell how you stand up against other agents with just a few orders. BPO’s can also be a very profitable business if you set it up correctly. Also, we won’t get into this until later lessons , but there is a huge advantage of having a BPO business running along side by side with your REO operation. Don’t worry about having to decide if you will continue to complete BPO’s once you’re up and fully running with enough REO listings to keep you busy. There will plenty of time in the near future to make your own decision to pull the cord or not on your BPO’s. The whole goal is to get to REO listings right? Completing BPO orders is the absolute best way to get this done.

 

Recap.

1. Purchase RoboForm (or even try their 30 day trial first if you don’t believe me)

2. Purchase A General List of Asset Managers. Or do your own research online but this could takes several days of deep searching and you still won’t uncover what a good list could do for you.

3. Sign Up for as many sites as possible (I recommend 30 -40 of all the top companies to begin)

4. Call all the Asset Managers you got with and let them you that you are signed up on their portal and ask them for an BPO order and even an REO Listing.

5. Get your first order and complete it as fast as possible

 

Please send me any questions that you may have. I will be posting some videos to simplify this even further

Good luck to All!!

 

Thomas Moore

REODB Inc.

Las Vegas , NV

Cathryn Jones
Assistants For Agents, LLC - Houston, TX

As a previous Asset Manager, I agree with Jeff.  Don't call the Asset Managers in order to get listings!!!  They have HUGE caseloads and are doing their best to "keep their head above water".  Being a "pest" is not the way to get the business.  Our company had a vendor management department that handled all agent inquiries, performance stats, etc..

When I was an Asset Manager, generally our need was not for agents in the big cities..but for REO agents in rural areas or for multi-lingual REO agents.  REO Agents that wanted to "cherry pick" are not looked upon favorably.

Just another thought...don't apply for the REO business unless you have the time, energy and effort to handle the REO business. 

Aug 10, 2008 11:53 AM
Norma J. Elkins
Elite Realty Group - Morristown, TN
Realtor - Elkins Home Selling Team

Great post and lots of good info - this is a market that I certainly want to tap into - thanks for sharing!

Aug 10, 2008 01:51 PM
Leila Mortaz
Homestretch Properties - Los Gatos, CA
Leila Mortaz

Hi Thomas

Great info here.  Does the list from REOProfessor identifies the banks that these Asset Managers cover!?  I am interested in finding the Asset Managers for specific banks who have inventory in our Area.  I know the banks, but need to contact the Asset Managers who cover them.

Any suggestion or hints would be appreciated.

David

Aug 10, 2008 06:33 PM
The Serenity Real Estate Team - Pamela Ann Northup & Anthony Arsondi
Keller Williams Realty - Castro Valley, CA

thomas,

Great Job, your post is appreciated.

 

I love RoboForm!!!!!!!!!!

 

Pamela

Aug 10, 2008 06:47 PM
Anonymous
james

wow, I'm happy to see how everyone is getting along in this forum... I'm new to the REO scene and recently got 9 REO properties in the last 4 months after doing BPO's for the last 12 months.  BPO is really key, the only reason why I got my REO listings was because I handled 21 BPOs in 3 days for the same asset manager. I would NOT RECOMMEND doing this unless you have help, I was up almost 48hrs straight and had my sister and girlfriend out in the field taking pictures while I did the research on the properties.  It is very different than regular listings, from the re-keys to cfks, lockouts ect.  There is a lot of time, MONEY!!, and effort put into it.  By the way Reason why I stress "MONEY" is because you have to pay for all prep work for the property and than be re-imbursed, most properties will run you from $100 to several thousand dollars depending on what needs to get done....

 

Tom, thanks a lot for all the info, Jeff you too... now I know where to look for more asset managers to try and grow my business, if you guys have any other good list of website or emails I would greatly appreciate it. By the way I work the grossly saturated market of FLORIDA!!! We're going to be in this for A WHILE!!!

Thanks again for all your help.

 

James

Aug 12, 2008 06:08 AM
#18
Abacus Properties, Inc. DBA Apple Dream Homes
Abacus Properties Inc. - San Diego, CA

Thomas, thanks for the straight talk and not beating around the bush. Great post!

Aug 12, 2008 11:40 AM
Abacus Properties, Inc. DBA Apple Dream Homes
Abacus Properties Inc. - San Diego, CA

BTW, I just got my first bpo order from RRReview, can anyone tell me if they pay on time?

Aug 12, 2008 11:41 AM
Eric Egeland
RE/MAX SUBURBAN - Libertyville, IL
SFR, e-PRO, CDPE

Thanks for the post Thomas.

Some great points everyone, thank you....I got a lot out of this

Aug 12, 2008 02:02 PM
Carolyn Nelson
Realty One Carolina, LLC - Burlington, NC
Your Triangle to Triad Real Estate Expert!

Hi J, been a long time!

Jeff is correct. Don't make it a habit of constantly calling the Asset Managers. They have more than enough to do and don't need their voice mail cluttered with non-property related calls when they are working with 100s of other properties. When you are constantly calling to get REO properties, offers cannot get the attention it deserves. Hence, leaving a lot of angry buyers and buyer agents waiting for a response. Adding to their stress will not gain you points. Your name will be added to the DO NOT CALL list and hit the circuts like a virus.

Carolyn Nelson

 

Aug 12, 2008 02:58 PM
Chris and Maria Jeantet
Shasta Living Real Estate - Redding, CA
Top Realtors in Redding CA

I learn something new every time on this group.

Aug 12, 2008 04:59 PM
Thomas Moore
www.eBrokerHouse.com - Las Vegas, NV

I really appreciate everybody's comments.

 

Please keep them up!

Aug 14, 2008 08:35 AM
Dan Tucci
dddd - Boston, MA

Thanks for the info. this may help my business for the future.

Aug 15, 2008 06:56 AM
Tyson Robinson
Trillion Real Estate - REO/Bank Owned Specialist - Murrieta, CA

Some great information from the post and comments! AR is such a great resource of information thanks to posts like this one. Thanks again Thomas for your post and Jeff for your very informative comments:)

Aug 24, 2008 04:37 PM
Garren Grup
John R. Wood REALTORS - Naples, FL
REALTOR, ABR, CNE,CDPE, GRI, Naples & Bonita Springs, FL

Great info Tom... thanks for posting it for everyone!

Aug 24, 2008 04:47 PM
Anonymous
Karla

HI, My sister's home is now bank owned, since I have my savings I would like to invest and buy my sister's already bank owned property and rent it out to her, can I do this? Is it legal? As of now my sister's roomate is living there and would also like to stay. I find this a good opportunity to invest since I already have the tenants. Would the bank care if I buy my sister's already REO home, since we have the same last name?  Please let me know. The home is not on the market yet, and the Bank told us to speak to the Agent but we haven't heard from him. I have the 20% for downpayment and I already have the bank approved on another property in the same complex but the property that I was going to buy has some problems and decided to buy my sister's home which is in the same complex, these are townhomes. Hope to hear from you soon. Thank you.

 

Oh this is in California (San Diego)

Oct 03, 2008 08:32 AM
#29
Peter Carlseen
RE/MAX Clarity; Praecelsus Property Management - Chula Vista, CA

Karla, I don;t think there are any legal issues there.  There was a clear separation in ownership once the bank took over.  Now if you were to try and buy it off her directly through a short sale process...that might be different.

As always, call or email CAR legal hotline- they have always been good at getting back quickly on issues and questions.

 

And to everyone else, what an amazing blog! Thanks for all the comments, info, etc.

Oct 07, 2008 09:27 AM
Scott Barr
Pacific Sotheby's international Realty - Newport Beach, CA
Realtor

Thanks for the information. This is the good stuff I for on Activerain.

Oct 07, 2008 11:17 AM
Barbara Whisenant
Windermere Real Estate SoCal - Carlsbad, CA
Home 4 Sale Carlsbad

I have found this post most interesting. I have a theory that they never get to the W's in their lists. My partner and I signed up the same day with the same company and have equal experience. His last name started with "E" and has received multiple BPO's & REO's while my last name starting with "W" has yet to be contacted.

 

I also find it interesting that the asset managers have over more listings than a agent can handle is area's that aren't even close to where they practice. How much service could those listing actually be getting?

 

Jun 02, 2009 04:45 PM
Leah Henderson
Asset Realty, Inc - Columbia, SC

Thanks for the great post.  I can only imagine asset managers being flooded with calls from eager agents throughout the day. That will not be a pretty site.  I am glad we have AM who participate in the forum.  The information you provided was great.  Thanks again.

 

Regards,

Leah Henderson

Jun 20, 2011 09:32 AM
Carolyn Crispin
Keller Williams Tri-Lakes - Branson, MO
Crispin Team Sells Branson Homes Land & Commercial

Exellent information!

Oct 09, 2012 06:50 AM