What a happy day! My Broker made our first deal with REOs and we came up with an even dozen listings in the first shot. We can advertise these listings as individuals and of course we can sell them.
This is an important step....I can see now that very few individuals are going to win a lot of REOs in the Cape Coral Real Estate Market as we go forward. Having noticed the same names showing up on (most of) the listings for the last year, I have done a little informal survey to find out how they are doing it. Come to find out, the bigger brokerages with name recognition are swinging their weight around and capturing more and more of the concentrations with bigger banks. I don't object.....that's what a broker SHOULD be doing. I'm just surprised that so few brokers are doing it. Granted, many individuals are doing quite nicely with REOs, but I think the tide is turning.
The interesting thing about this to me, is that now I see a reason to be affiliated with a large brokerage. Most of the action in Cape Coral right now is with bank-owned properties. It is like throwing a bone into a pack of howling dogs. Within hours, multiple bids have hit the fax and the fight is on. Commission issues take a back seat to the excitement of getting some real action for a change.
Bank-owned property purchases are an adventure under the best of circumstances. It seems like everything we learned about real estate contracts, addendums, inspections, and procedure is "out the window". That is true for Realtors and it is true for Buyers. One of my buyers is about to strangle everyone involved, including me, but he did get approval on one real nice home that should show great returns for his fixup skills. Still working on the second one that he wants, but now there is the encouragement that one deal worked out. In making offers, I notice that the bigger brokerages have got their information flow much better organized, complete with "Application Checklists" to keep everybody on track for the initial paperwork. I have learned through several failed deals that the disorganized approach of some listers is really a dis-service to everyone concerned and is almost a guarantee of confused frustration ending in failure. This is also true in short sales. In previous years, all a lister really had to do is get the property on the MLS. If he actually marketed the home, it was a real plus, but many did not. We all know listers who wouldn't return phone calls. Right now with bank-owned homes, you had better have a handle on what's happing now!