Based on the volume of private emails I've been receiving, answering this question here will save my fingers a lot of work!! But, before I answer the burning question, let me give you some food for thought.
Do you know ALL that is involved in being an REO Listing Agent? Here's a sample of what we do:
- Accompany the Sheriff on Evictions
- Secure & Re-key the property
- Turn utilities on in our name
- Have property winterized
- Coordinate the trash out (Some AMs have us store the personal belongings / trash for 90 days+)
- Ready the property for marketing including making repairs and improvements
- Pay the bills on all of the above & wait up to 90 days for reimbursements
- Handle vandalism, theft, squatters, animals, arson, oh my!
- Fill out BPOs
- Marketing Prep Work - Photos, MLS data sheets, info box flyers, write ads etc
- List the Property
- Schedule showings
- Educate Co-op agents
- Submit Offers
- Coordinate all details of the closing
- Keep all parties up to date
Do you have an opinion or preconceived notions of foreclosures?
What about the folks who lost their house ~ what do you think about them?
What is the cause of foreclosures in your area?
Who are the lenders in your area? Who are the Asset Managers?
Do you have any specialized training in REO work?
Do you know what a BPO is? Are you familiar with the various BPO forms?
Do you have the ability to front the money for Property Management?
Do you have a crew to handle the clean outs, lawn care, re-keying, winterizations etc?
Are you willing to take the time to educate the co-op agents on how to submit offers correctly?
Are you willing to explain the process to prospective buyers?
Do you have systems in place to handle all the details?
Do you have someone who can cover for you when you are sick or on vacation?
In my work as an REO agent, I have:
...been on a police raid that resulted in a drug bust of 3 known criminals. I was hiding behind a tree, on my cell phone w/ the 911 operator while the police approached the home, shotguns drawn. My job was to notify dispatch if anyone ran by me. I was unarmed, other than my profuse sweating caused by extreme FEAR!
...was visited by the sheriff as to why I was ‘breaking' in to a house (just assessing the contents!)
...been chased down by unhappy occupants after I photographed their dwelling for my report
...been cornered by Pit Bulls
...explained to a child why I was kicking his family out of their home 2 weeks before Christmas
...accompanied my clean up crew as they discarded dead animals and a lot of drug-like substances from a house that was broken into numerous times and we evicted squatters twice!
...had as much as $19,000 in outstanding reimbursements. (Did I mention that YOU front the money?!)
...been called at 2 a.m. by a neighbor who thinks someone has broken into my listing
...become BPO Certified
...become a Foreclosure Intervention Specialist
...attended REO Conventions
I'm sure by now that you get the idea that it's not quite the same as regular real estate. In my next post, I'll tell you how I became an REO agent.
UPDATE: Please give comment & ratings to this post! I see that I have 22 comments, and well over 2200 VIEWS! Come on you lurkers - join Active Rain! It will be GREAT for your business! I promise! Click here to join, then come back and comment on this post - did you find it helpful? How's your REO biz now?!
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Thanks for not sugar-coating it! The fronting the money part is definitely a consideration, almost as much as dealing with the unsavory situations.
I appreciate your candor,
Fran