Comments on: Making Offers on REO - Real Estate Owned - Foreclosure Properties

By: Asset Manager

Asset Manager — Sun, 21 Sep 2008 13:58:26 +0000

The diversity of comments equals the diversity of asset management companies and real estate brokers. As a current asset manager handling a portfolio of nearly 500 properties and a former agent, the AM Company and their investor clients set the business practices which we follow. There is never on offer that I do not consider because each one is the beginning of a negotiation and that cold lead to a sale.
My brokers are instructed to honestly evaluate each property not just for perceived mkt value but condition as well. When a sufficient ROI is present the property is repaired and sold at mkt because it meets mkt standards. If not, it is wholesaled. If the AM co or AM are lazy, they serve neither their clients nor the public at large. Over 60% of my sales are above “mkt” because they are move in ready and sold to an owner occupant.
Evaluate the seller as well as the property and you might find better properties or better deals.

By: Juan Morales

Juan Morales — Wed, 10 Sep 2008 02:00:11 +0000

I am not very aware of the issue but trying to learn. I was advised that the bank do have some time limit in which they have to sell these properties because they are not in the bussiness of renting or real estate but that of banking is this real? and could this affect the purchase of an REO

By: Bob Brown

Bob Brown — Wed, 28 May 2008 15:57:50 +0000

I repair serious foundation problems….. problems so serious that they cannot be overlooked(with repair bills in the $100k to $300K range) I have been trying to locate REO properties with these types of problems to buy, but I havent been able to find a broker who knows this world and will roll up their sleeves to find them. Any Suggestions?

By: Hi_There

Hi_There — Thu, 14 Feb 2008 19:07:11 +0000

Let the banks hold them for awhile. They hate Non performing assets. I will rent one from them for cheap.

Thank you

Have a nice day

By: Jeff

Jeff — Tue, 13 Nov 2007 05:21:08 +0000

Personally, I find “Will” to be correct in that ” the banks don’t care if the property has an $ 83,000 balance on it “…. yet, in their own greed and arrogance, ( as Will so elloquently demonstrated for us ) they brought this all upon themselves by illegally ( yes, I said illegally ! ) making loans that they knew could not possibly be repaid by John Q. Public !

If you question my stating that they made loans illegally, look up the laws in lending for yourself.

Now they whine about it and stick it to the consumer for their own negligent behavior ! and yet they still expect everyone to pay full price for foreclosed / fixer-uppers etc., when houses in many areas throughout the country are dropping in value at 2% monthly. They must be smoking crack !

In those areas, you MUST ( not should ) be able to buy the houses at 50 - 60 % maybe 70 % at the very most of retail value to make them worth the effort financially for any investor.

In my opinion, let the banks bleed for a while…. they could use the lesson in abuse anyway. The lending “institutions” need to be held accountable for their own abuses of the lending laws which they blatantly disregarded just to make a quick buck in the first place.

If the Banks are not willing to look at legitimate offers from real investors, let ‘em suffer for a while til they come to their senses, ( provided they are actually intelligent enough to figure it out ) After all, they really would rather sell the houses than let them go to auction anyway.

Jeff

By: Dimitrius Owens

Dimitrius Owens — Tue, 23 Oct 2007 22:46:35 +0000

Dominick,

I noticed your response and it caught my interest. Could you tell me more about the process of bulk portfolio acquisition and how to penetrate the market segment associated with such large transactions ?
I am a realtor interested in the REO/Foreclosure segment of the industry but I want to think bigger than BPO/Listing REO . Whatever I had to do to get involved I am doing, but the landscape is scattered with scavengers fighting among themselves for the scraps of the kill .

My original desire is to bring first time homeowners into this market as part of the American Dream. Investors because of their resources are able to scoop up vast portions of the REO segment which only adds another layer for me to have to negotiate. In the meantime, I must succeed as a realtor before embarking on this alturistic endeavor of helping others individually. TRANSLATION: I must help me before I can help others and your involvement in bulk transactions intrigues me as a way to facilitate that desire. Any information,suggestions, or direction from you would be appreciated. I’m willing to assist you in any way to deserve your time and input. Funny, all of a sudden I feel like I’m talking to Gordon Gekko from the movie Wall Street about how to move above the crowd in this dog eat dog economy.

By: Dominick

Dominick — Fri, 05 Oct 2007 16:53:15 +0000

I specialize in custom orders up to $1 Billion portfolio value, with a minimum purchase of $10 Million.

I seek long-term business relationships with serious investors of bulk REO, performing and non-performing note portfolios. I connect my buyers directly to the sellers of huge inventories, and these custom orders are typically filled within one week. For interested parties, please contact me.