I have spent the past 2 decades working in the Asset Management and Loss Mitigation side of the Real Estate and Mortgage Industries. I started in 1986 with Invescor managing REO properties. Since then I have worked for Beneficial of California as an REO Liquidator managing assets and went on to work for Homecomings/GMAC (both pre merge and post merge) as an asset/property manager.
After GMAC, I took some time to work in the retail side of the business selling real estate and originating loans. I got the itch to go back to the bank in early 2000 and got a contract position with IndyMac Bank where I have worked in asset management in the home contruction division and finally ending up as the head of loss mitigation for the HELOC division. I was at that position until October 2007 when my contract expired.
In the HELOC division, for 2007 I averaged $0.53 on the $1.00. What that means is, as a second position lien in most cases, I would average collecting/recovering $53,000 on an original note of $100,000. This may seem like I lost the bank a lot of money, but the industry standard for second position liens is $0.25 on the $1.00. This means I was able to collect or recover double the national average.
The greatest acomplishment as head of loss mitigation in my mind is that I was able to negotiate some sort of deal with 95% of the short sales that came accross my desk. That means that only 1 in 20 deals would go all the way to foreclosure sale. I believe a deal can be made on every file.