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Why Banks use Agents who do not Service thier listings?

By
Real Estate Broker/Owner with Crown Key Realty, Inc; Tracy & Mountain House Sales and Property Management 01490605

REO agents, I'm certain that this does not apply to any of you.  After all you are on Active Rain and you are reading this...... however..... here goes nothing.

REO's my latest pet peeve.  Perhaps there is a bit of jealousy, because I KNOW beyond a shadow of doubt that I would do a better job servicing the CLIENT than I'm seeing from a lot of REO agents. Not all, but a lot.  

Perhaps I'm naive.  I can tell you I would not want my sign advertising a home that is in the FILTHY condition somemessy house homes I see are in.  I AM NOT talking about huge repairs, carpet or paint, I'm talking about BASIC cleanliness!  There is not a lot of money involved just some elbow grease.  For example, how hard is it to throw away old beer bottles that are molding inside?  Or how about half eaten donuts left on the counter and floor?  What about cob webs in door ways?  The list goes on and on.......   It's so simple, so quick, to make a dirty home clean.  Yet,  there they are day after day, the same people, with the same dirty houses,  listing the REO's.

These REO Mills provide very little SERVICE to thier clients.  They use cheap combo locks (and don't post the combination); no flyers, no advertising on even free internet sits, no photos of the inside of the home, etc.  There is no way that a "REGULAR home seller" would accept being represented in this fashion so why does a bank?

Don't get me wrong, I know we all have different levels of service we provide our clients, but shouldn't a seller, that is selling an REO property deserve and expect the same level of service?  After all they are paying us our commissions.

 

Kay Perry
Kay Perry, Broker - College Station, TX
We have a person in our office who works on the REOs.  He gets them cleaned up and ready to sell. We don't have many foreclosures yet but in the past the banks always paid to have them cleaned up.  Maybe things are different in Texas.
Nov 13, 2007 05:45 PM
Alix Pinzon
Open Mortgage, LLC NMLS # 2975 - Downey, CA
(562)743-6086
Tracy,  You've really hit the nail on the head.  Maybe we should be calling the health department on them, and in many situations the local "building and safety."  During the last down turn of the 90's, I was sent out to appraise a property that had no windows.  The owner took his new windows with him!  I think, at a minimum, REO listing agents should be required to bomb their properties prior to listing.  Nothing ticks me off worst than having flees climbing on me.
Nov 13, 2007 05:50 PM
South Austin Real Estate Blog
Sky Realty South Austin - Austin, TX
I called an agent to get the lockbox combo  and she asked me to sweep the place out before I took a client inside,    "It has been empty awhile and I know its got alot of bugs dead inside, could you please just sweep it up first?"  Oh, no I didn't sweep it.. I dont normally carry a broom in my car.    Oh gosh I hope I wasn't too mean?  :0
Nov 14, 2007 12:29 AM
Rhonda Burgess
Southern Living Realty Partners - Smyrna, TN
Moving to Nashville TN Real Estate Specialist

Susan, I'm with you on this one and I list REO properties myself.  My fiance says I "over clean" the house like I'm going to live there.  I give very detailed instructions to my contractors who clean out and clean up my listings.  I'm one of the few REO agents in my market who treats the repos like a "regular" house.  I have multiple photos on every listing, color flyers, virtual tours, websites, etc.  No matter what property it is, my job is to market it to the fullest.  And I hate to go into nasty houses so I make sure that nobody hates to go in my listings.

And I hate the combo lock boxes too but that's what we are required to use by the lender.  On those hot properties that I know will sell overnight, I list the combo code in the realtor's remarks so that everybody can have quick and easy access. 

Nov 14, 2007 01:31 AM
Arizona Real Estate Associate Broker
MR Realty - Mesa, AZ
Susan - Not naive at all! There is a real need for Banks to take notice of quality agents that will provide the best service. We are seeing more and more REO's here and the bigger issue is the swimming pools sitting and creating mosquito issues and health issues for surrounding neighbors! H-E-L-L-0  Mr. Bank!!  Great awareness on this post! Thank you.
Nov 14, 2007 03:28 AM
Melanie Ross
Coldwell Banker Solano Pacific - Benicia, CA
Benicia CA & Vallejo CA Real Estate, 707-319-2828

We see the same quality of listed homes in our area.  Some so bad, you do not want to take a client in.  Love the decomposed mouse on the sticky mouse trap (NOT). How about the agent that puts in confidential remarks (This really gets my goat!) and I quote "Buyer responsible for turning on utilities for inspections"  Ughhhhhhh. You hit the word correctly - REO Mills, no unlike Puppy Mills! Good title for a blog!

Kudos to those agents who do care and do try to do the best they can!!

Nov 14, 2007 01:40 PM
Susan Goulding
Crown Key Realty, Inc; Tracy & Mountain House Sales and Property Management - Tracy, CA
Northern CA - Tracy & Mountain House Real Estate

Kay - considering our county has the highest foreclosure rate in the COUNTRY - ouch we are seeing a lot of them.

Gregg -  ewwww fleas  climbing on you.  How about the home crawling with cock roaches through out!  Even during the day light.  I wonder if the Health Department would care.

Gail  - a BROOM _ you have to be kidding..  ok this is where I get really irritated since that agent probably has more than one REO property.  SO did you even show the property?

Rhonda I know the combo boxes are required, at least put the code in the MLS listing, and if not that ANSWER YOUR PHONE, even on the weekends.  So if I can so bold, how did you get into the REO loop?

Gilbert - our city has actively taken on the swimming pools, because yes we have the same issues.  So what do we do to get the Banks/Clients to realize that they are not being represented WELL, without sounding like we are whining.  I'll be honest, I'd like a couple REO's I want them in my town, I don't want to run all over the county, but I can promise you I wold service that account.

Melanie -  I agree -- KUDOS to those agents that do care.  And to the banks "you deserve what you accept"  Perhaps it is time they stop accepting mediocre.

  -

 

 

Nov 14, 2007 04:25 PM
Christina ONeal
At Home Real Estate Group - Ripon, CA
Realtor - Ripon California
Thank you for stating what we were feeling.  I just don't understand why REO properties (in general) don't get broom cleaned (minimally).  Not sure how to tell the banks how their properties are being represented, but they really should be checking on them.
Nov 18, 2007 01:16 AM
Susan Goulding
Crown Key Realty, Inc; Tracy & Mountain House Sales and Property Management - Tracy, CA
Northern CA - Tracy & Mountain House Real Estate
Christina - broom clean would be nice.  I went in a home yesterday that was filled - and I mean FILLED with Rat Poop!  Evidently the home,bank owned had been vacant for over a year - and RATS reigned supreme.  It smelled so bad my client (Lt. M) gasped as the door was open.  For Pete's sake shouldn't someone monitor this?  Then again, we can't exactly tip off the BANKS without there being a RESPA violation - interfering with another agent's client.
Nov 18, 2007 04:35 PM
Melanie Ross
Coldwell Banker Solano Pacific - Benicia, CA
Benicia CA & Vallejo CA Real Estate, 707-319-2828
Ok the pressure is on....my associate and I got our first REO.  In process of the first task.  I will remember this blog as I had commented earlier!
Nov 28, 2007 10:44 AM
Jen Romiti
Altera Signature Properties - Pleasant Hill, CA
QSC, ABR - Pleasant Hill, CA, Contra Costa County Realtor
I definitely agree with you!  I do not have any REO properties (interested in finding out how to get them) but, if I do list some, they will definitely be cleaned up to the best of my ability!  Decomposing Mice...Eww...that is just nasty!
Dec 04, 2007 03:01 PM