Where/How to market REOs?

40 Replies

I am just wondering if anyone in Virginia (Hampton Roads), or North Carolina have any experience in marketing REOs for sale? What is a good tool/forum to use? I got a bunch of interest (on BP) and Craigslist  but I am just wondering if there are any other tools out here that I do not know about that would be beneficial to selling these properties. I searched for Facebook pages but didn't come across any pages that served my purpose. Does anyone have any suggestions?

Updated over 1 year ago

*Clear*... I hate that you cannot edit post

Updated over 1 year ago

Just to be clean I DO realize that you cannot wholesale REOs. That is not my intention here.

REO Marketing? You must be attempting wholesaling a bank owned property in which case IMO you're barking up the wrong tree. No way will the bank participate with that approach.

Sure hope they don't take action against you.

No, I meant to put I am not wholesaling either...guess I should have specified. They are straight from the bank. I'm just the middle man. Many wholesalers have purchased them though. @Jeff B.

Originally posted by @Tiffany S. :

No, I meant to put I am not wholesaling either...guess I should have specified. They are straight from the bank. I'm just the middle man. Many wholesalers have purchased them though. @Jeff B.

An REO will be at some point assigned to a broker and all offers will be funneled to them as the EXCLUSIVE agent of record.

Your attempt to be "the middle man" is attempting to be a broker and w/o a license.

IMO, you are headed into deep trouble.

@Jeff B. Not my business model at all...but thanks for your input. My model has been working for me. 

@tiffany stokley  Can you please explain your model more? It reads like you are wholesaling without taking title.

Adam Schneider

speaking of wholesaling REO's...I've heard you can use a land trust..is this true?

Originally posted by @Adam Schneider :

@tiffany stokley  Can you please explain your model more? It reads like you are wholesaling without taking title.

Adam, did you get your answer? (I reckon your question was right ON topic!) Is there some secret method of getting hold of REO's to market off the MLS, that only Tiffany has ever come across?...

Originally posted by @Adam Schneider :

@Brent Coombs I don't know of ways to market REO's on MLS.

Of course not. The point was: did Tiffany explain what she was up to, by private message as she said she would? - (It seemed she didn't seem to like the way your question went)...

I don't see how the explanation of "networking" is an answer - if REO's aren't even under contract!

The REAL point is: if a Banks' own Listing Agent can only find Buyers up to a certain dollar amount, how can ANYONE (leave alone Tiffany) promise to find Buyers who will pay more, every time?...

Why so upset? Chill out dude @Brent Coombs I messaaged him because my topic of discussion was not what you guys are talking about and I wanted to leave the thread open for actual input. Instead of s bunch of people making assumptions about what I'm doing.

Hi Tiffany, I'm quite chilled. But, we are ALL still wondering WHY you think you can market REO's...

well @Brent Coombs  anyone who was that much concerned could've asked nicely like @Adam Schneider did...which got him an answer. Again Adam I appreciate your feed back. I'm always open to learning from those more seasoned than I and I will be marking that phone call.

@Tiffany S. , no offense intended. Sorry. But, Adam's question WAS on topic.

It would have been NICE of you to answer it here, rather than off site. Cheers...

Most REOs are sold as part of a larger portfolio in a sale to institutional investors and high net worth individuals or listed on the MLS. To go after REOs that are listed find a great agent that watches the MLS like a hawk, can answer all your questions, and is intelligent, diligent, and cares more about building the relationship by doing right by you then a quick sale. If your looking in Charlotte, I can point you in the right direction if you private message me. Good luck!

Gregory Walter, Real Estate Agent in NC (#276520)

@Adam Schneider

She has posted a property for sale in Florida without ownership, etc. I did post info about chapter 475 and then her response was to call myself and others "trolls" for pointing out violations of laws. Typical! Break the law and blame others LOL!  

John Thedford, Real Estate Agent in FL (#BK3098153)

Hi @Tiffany S. , while I'm not sure what you mean by marketing REO's, I'll clarify here how one is legally allowed to market an REO property:

1) You see the property is bank-owned, put it under contract, close on the deal, and then sell it to someone else. Technically you don't have an REO anymore (because by definition, REO = owned by the bank), but you basically have the equivalent.

2) You are the licensed real estate broker who has an exclusive relationship with the bank who owns the property. This requires a lot of experience, a gigantic mess of paperwork, lots of cash reserves, and usually other employees to manage the listings. Banks generally don't hand out listings to random agents, usually its monopolized by a few mega-agents in the area who control a large amount of REO inventory.

3)  You are the bank and are marketing a property where the mortgagor has gone delinquent in their payments.  

There really aren't any other legal ways to market an REO property to others. If you're trying to find a buyer for an REO property, then you need a real estate license and control of the listing.

Hope this provides some clarity!

Matt Lefebvre, Real Estate Agent in NH (#070207)

@Matt Lefebvre

Everyone wants to broker without a license. Fast! Easy! No education! No accountability! Why bother with a license LOL? BP has thousands of unlicensed brokers. Laws? Who cares!

John Thedford, Real Estate Agent in FL (#BK3098153)

@Matt Lefebvre thanks so much for your explaination. Number 2 applies to my situation. You know I wish more people were like you! I myself am not an agent or broker. I work for a company who has a relationship with the bank...I am going to message you to explain more and maybe you can give me your opinion without coming off as others have.  

@Brent Coombs

From your post: "Hi Tiffany, I'm quite chilled. But, we are ALL still wondering WHY you think you can market REO's..."

Some people don't care about laws only getting the first dime they can in any manner legal or not.

John Thedford, Real Estate Agent in FL (#BK3098153)

I see I'm really upsetting you @John Thedford inbox messages, commenting on all my post? Getting creepy lol

If anyone else would like to discuss like adults please message me and I will give you the CEOs info. Until then I will continue to post the properties. 

Hi @Tiffany S. ,

I will go under the assumption that you are legally allowed to market a property on behalf of another party.

There are many ways to market a property and which is best is going to be different based on your property and intended audience. REO's can completely run the range from junk to beautiful. That is going to determine who you want to target. For instance:

-House in rough shape can only be cash deal: local ad magazines (people get for free, low cost to place ad) possibly a few newspapers. Courthouse steps for flyers. MLS, (People you know who are investors and this one may fit their needs), friends who have discussed flipping a house.

-lowend retail house: above plus, sign in yard, local newspaper ads

-Mid range retail house: Above plus flyers on bulletin boards at local grocery/retail stores

-Highend retail house: Besides above also possibly a TV spot if you have a place that you can list it

Mike Cumbie, Real Estate Agent in NY (#10401285310)

For the record: she inboxed me asking how what she is doing is illegal. She didn't like the answer. Sorry, not going to say something to make someone feel good that is not true. My answer was no different than others. Three ways. Own it. Be licensed. Have equitable interest.

John Thedford, Real Estate Agent in FL (#BK3098153)

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