BiggerPockets

Thats funny that you mention that you have been getting the run around from everyone and their mothers, but yes it would be very helpful to myself too if there was someone out there who is direct to the bank and not wasting everybody's time! Thanks Sandone for posting this for eveyone to see, I have been working with a lot of people lately, but as of yet i have no one that is close to being direct and it has been very fustrating these last couple of months...
hope you find what your looking for and i hope it turns out well for the both of us, laters Sandone

Joe,
We appreciate your contributions on the forum. I am however requesting that however frustrated you are, that you refrain from the name calling etc. Believe me, I get frustrated as well, a lot, but I believe that the majority of BP members are very helpful and reliable people. It's a small few that create most of the bull and frustration.

The rest of this post is directed towards all of us:

The " bulk REO" is a recent fad and it transformed our regular REO forum into a zoo. We recently created the REO deal forum to try and contain the conversation.

We are having problems in this thread and discussions have been heated etc. We may get rid of the whole REO thing if it continues to cause so much friction.

The intended purpose of BP is to be a learning ground as well as teaching ground for real estate investing, as well as a networking place.

This whole discussion of " monthly 100million deals" etc. is getting a bit old as well.

In general, folks that have direct contact with entities that sell 100s of millions in Bulk notes and REO bulk packages, don't hang out on public forums looking for customers.

For every bulk package that becomes available, the end sellers usualy have seasoned buyer sources that have well established track records.

Nobody uses bulk as an end all strategy. It is a last resort when inventory is a big problem as I have been told. Like finding a true " sfr deal" is far and few between, finding consitant bulk packages is even more far and few between.

I could go on forever on this but I will stop here! I think it would be wonderful for all of us to be able to purchace 100 million in property at 30-70%LTV on an ongoing basis, but it does not look like that is going to happen. If it did, there would be no listed REO properties and many folks would be overnight millionaires.

James,

My apologies for said comments,it was in-appropriate. In my opinion, if someone wants to post a specific subject, there should be verifiable evidence offered by the person posting to the administration board,prior to posting,this may curtail the non-sense.

In any event, I will continue to be a part of this forum,as I have met some real solid people.

Regards,

Joe

I think that this whole bulk portfolio is probably the biggest waste of time out there.

The bottom line is if you were selling a product for 200 millon dollars you would not be shopping that product to the open market because the amount of people or entites out there that have the ability to drop 200 million are quite limited. secondly if you were selling a 200 million dollar product you would reqire alot more than a " LOI" a letter of intent to get you going..i dont know whne people started thinking that a microsoft word document with there name in a special font and a paragragh stating they have 100,million dollars mean jack :badwords: ....

now when a " buyer " provides the " seller " with his " loi" and everybody starts pretending that they have something that should be your first clue..

the amount of money that would be made by putting a deal of this magnitude together is huge..

so when the " seller" is saying they have a 200 million dollar pool do the math real quick lets say 3% commission ,,,,thats a 6 million dollar commission....lets say the buyer gets a 1% commission for having the byer..hes making 2 million.....

now that said when you speak to some one who says they have been doing this " taking down" portfolios wich everyone you talk to says there doing that would mean that these people are multi millionares...

and these " multi millionares" usally have a yahoo email...and when they have a " portfolio" it comes in a excell spread sheet..that doesnt seem like some one who is makind millions and millions of dollars doing what they clame they do....

If it was me and i had a deal that i knew was going to pay me 2 to 6 million i think i would act a little more proffesional ,,screen people to a level that you know exactly who you are working with ..board a jet a fly anywhere i needed to go in the world to present my product and earn my 6 million...but thats just me....

maybe a microsoft word document and the occasional email is a much better way to sell a 200 million dollar product???

Hello,

If you are willing to sign an NDA, I can give you all the documentation needed to show my company is a direct link to the bank.

Minimum investments for purchasing REO is $30M.

Regards,

As of right now, we work with Countrywide, HSBC and Sovereign bank. The REOs are all 50 states. Right now the banks are allowing us to cherry pick due to market conditions. This is not a regular thing and we are not sure how long it will last.

Well I guess Phil just got tired of talking.

And as for you Scot, very well spoken. It's nice to see people with their head on their shoulders. I am in the REO game just like many others. One thing I can tell you is that at least 90% of the people out there are wasting their time.

I'm fortunate enough to have been partnered with a gentleman (for several years now) who was doing REO's back in the late 1980's when I was only 3-5 years old. We already had The " Direct Contacts" when this recent REO thing started, and from what I can see there are a lot of misconseptions out there....

First of all, If, and I repeat, if, you could get your hands on a $200,000,000.00 pool, the fees would most likely be 1% and not 3%, which is still plenty of money. However, as Scot pointed out, Some guy who was most likely doing SFR properties one at a time just 3-months ago, and has a yahoo.com email, isn't going to have that buyer or seller!

We bust our :badwords: to do these deals and we are very happy to close 1-3 deals a month for anywhere between $10 - $50MM total. That's the real situation; and that's a lot of money, even at 1-2%. Furthermore.... People that have $200MM+ to spend or have a $200MM+ pool to sell aren't going to be on any type of forum trying to do so.

Also, all of these $200MM, $500MM, and up into the $Billion dollar pools (maybe) aren't going to be handed out to people as if it were candy to a 5-year old on Halloween. Remember, $1-Billion = (1,000 x 1,000,000); not exactly chicken scratch! If people would just use their common sense it's very easy to see why most are getting jerked around in this " REO GAME" .

That being said, I wish all the best at success in their endeavors, but I will give one last piece of advice.... If you're working on aquiring and closing that $200,000,000.00 pool, you'd better get a second job.

Hey Phil,
can you show LOA of the compilers?
My own lessons what to check regarding " direct to the compiler sources:
1. Always ask for LOA
2. Allways check the company if it's licensed with SEC
3. In the agreement should be written that if you didn't get connected to the bank by the end of 3d day it should be terminated without notice and not action can be done with the order
4 POF should be sent only direct to the bank/compiler
5. if the person direct to the compiler the fee agreement would be final and you wouldn't ask to sign another one later on.
6 do not submit a lot of orders for one person to different sources they can end up in one place

Frankly, I know many will not wish to hear this...BUT if you don't know how to get to the inside bank compilers or above ( I start my first mailer at Snr VP Finance and work down) and if you are a small buyer... you are much better off finding a Master Acquisition Broker ( easy to find ) and deal with him. True MAB's have inventory in volume and will slice you off smaller and specific slices at a better price than the bank will give you because they have purchased in bulk

I am currently entrusted to flip as much of $26 Bill as I can within a few months but cannot go below $5 mill ......but many others will go much lower. I believe there are many on this site.

Neil Palmer

Good luck with your mailers...! All this haggling and all anyone had to do was send out some direct mail? Who'd have guessed!

Or better check if they are asset managers :violin: