Contractors- Property Preservation and Field Service Business

By
Home Builder with MortgageFieldRep.com

More and more contractors have moved into the mortgage field service industry assisting banks with the maintainance of their properties across the nation due to the downturn in the construction industry.

This emerging market has grown substantially in the past two years. The demand from lending institutions and government entities for professional contractors to aid in the revitalization of neighborhoods is now more needed then ever. It's a essentcial that banks maintain curb appeal to sell the property for maximum profits.

The growth of this emerging market is primarily due to the unfortunate increase in REO's. With unemployment rates reaching double digits in many states and more Americans living paycheck to paycheck, it is no surprise that foreclosures and REO inventories are still on the rise. The more foreclosures there is in a particular neighborhood, the more effected house values in that area would be. You might have already felt the effects of this

 The more deteriorated the property conditions are on the home the more it will cost the lender to recover. This will of course effect their bottom line. Lenders need regular continues maintainance of their assets to maintain curb appeal for the potential buyer.

 Some of the services contractors are providing to bank are

  • Renovation
  • Debris removal
  • Eviction support
  • Property inspections
  • Lawn care

  It's estimated that mid 2010 their will be approximately 3,000,000 foreclosures on the market according to analysts from the  Royal Bank of Scotland. About half are seriously delinquent, 90 days past due, and other half have entered the foreclosure process. But the banks have not taken them yet.

It's not to say that all of this shadow inventory will ever hit the market.  However,  contractors should get themselves in position for the percentage of the properties that will hit the market says Will Addo, President of MortgageFieldRep.com. MortgageFieldRep.com is a nationally recognized database provider to lenders and asset management firms. They use the site to locate contractors, reo agents, inspectors, appraisers and real estate attorney throughout the country.

If you are amoung those contractors effected by the current housing market you should consider getting into the mortgage field service industry.

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Rainmaker
4,993,772
Barbara Todaro
RE/MAX Executive Realty - Franklin, MA
Marketing Agent for The Todaro Team

Summer....good thoughts for builders.....the problem is that there are only so many banks out there compared to the vast number of unemployed builders and subcontractors.....

Dec 12, 2009 08:23 PM #1
Rainmaker
4,432,217
Gita Bantwal
RE/MAX Centre Realtors - Warwick, PA
REALTOR,ABR,CRS,SRES,GRI - Bucks County & Philadel

I agree with the above comments. There are too many contractors that need the jobs.

Dec 12, 2009 09:01 PM #2
Rainer
336,160
Chip Jefferson
Gibbs Realty and Auction Company - Columbia, SC

My husband has been fortunate and enjoyed his scattered site built success. He tried a few bank repairs only to get shafted out of his money.

Dec 12, 2009 10:25 PM #3
Rainer
45,790
Al Wright
Affordable Canadian Home Inspections - Hamilton, ON
Have your inspections performed the Wright Way

Sometimes the best way to keep in business is to diversify

Dec 13, 2009 12:08 AM #4
Rainer
6,064
Elijah Addo
MortgageFieldRep.com - Duluth, GA

There is actually a lot of work for most of them. They can consider working with an established mortgage field service company that has the workload to enlist their services. But, just like everything else you wouldn't want to  put all your eggs in one basket.   As Al mentioned they will need to diversify. Groups such as mortgagefieldrep.com gives contractors a plate form to find out about the good and bad companies prior to working with them.

There is always a couple bad apples that spoil it for a bunch. Since we're on the subject about diversifying. They can also consider working with insurance companies and or partnering with public adjusters that can refer some business to them.

 

MortgageFieldRep Team

Dec 13, 2009 02:55 AM #5
Anonymous
Constance

It's like finding a needle in a haystack.  I almost agree that there are too many contractors and not enough banks.  I have registered with so many organizations that my fingers hurt from entering the same information on each of their websites.

There has to be a easier way to find work with organization that pay on time for the long haul.  I suppose patients is a virtue and so I keep registering, typing vendor forms and hoping.  Good Luck All.

Jun 01, 2010 11:39 AM #6
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Rainer
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Elijah Addo

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