Hello All,
Like most Realtors, I have been trying to get into the REO sector for about 4 yrs completing bpos and working side by side with REO agents in our office gaining the experience. As of now, I'm still unable to break thru the barrier. I have decided to attend the 5 Star Conference in Dallas 2012 this year for the first time and really have no idea what to expect. I can't afford to go unprepared and not going just to see what it's all about...I need to go into it with some idea of what to expect and be prepared to aggressively make good contacts. I know there will be others with a lot more experience and have the advantage, so if there is any one out there that can give me a few pointers on what to look for or what I need to take with me to be prepared, any tidbits would be greatly appreciated. Thanks.
Replies
Absolutely Jesse's webinars are great! When you're not fearing for Jesse's life and tornadoes (HUD PEMCO webinar) they are great educational opportunities. When I am on my third hour for a BPO and am wondering if I really want to calculate months supply of inventory for the town, break down REO/Shorts for all of my used and unused comparables, or go back and add that additional comment even though it does not ask for ANY of it I remember "your BPO is your resume. (Keylink). Last week I told an asset manager to let me know if they need anything at all in the area, it does not have to be related to a direct asset assignment (property check, etc.) recalling the spirit of service (PMH webinar.). And by the way, Bankers Asset is now taking applications! (Bankers Asset webinar.)
Derrick...thanks again for this information. I was told that bpos are like giving out business cards to asset managers which was part of the reason I took them on. Then I actually found one that I had completed on one of the sites and it was the final copy that went out to their client. I carefully scanned that form for my name or license # ...or something that linked it to me...and there was nothing. In fact, the REO agent's name was on there and the whole thing appeared as if that agent had completed the bpo. That's when the tides turned for me and I made some changes. Also, according to my records, I did mail out a packet to Bankers Asset I believe per their instructions and will check to see if there is an online process that may be a bit quicker.
Hi Ray,
Glad to help, just keep at it and don't give up. Don't worry, I've heard it all before myself about getting into REO and how hard it is. You just need one break. From that point forward you have REO experience.
Speaking of which, you mentioned that you have worked for/with other REO brokers? If you have expereince doing occupancy checks, rekeys, CFK negotiations, sales negotiations, weekly inspections, MMRS, than I would say you definitely have REO experience that you should plaster on your resume.
As for sales numbers you're right, don't ever lie. These asset managers are trusting you to an asset worth tens to hundreds of thousands of dollars and they're located hunderds to thousands of miles away. Trust is critical, they need to be able to count on you and your integrity.
Also if it has been since August since you have updated your profiles in my humble opinion you are way overdue to make some phone calls, log ins, send some emails. Don't worry, I did the same thing knocking out BPOS who has time? But you will find it far more productive to initiate that contact over doing BPOs.
Here's what I try to do.
1. Review REOPRO daily and flag the conversations that interest you. If it pertains to REO, it should interest you.
2. Enter 1 new name into your database a day. Your're driving to or from your latest BPO write down the name of that obscure credit union. Call them and try to find out who handles "collections" "recovery" or whatever they call themselves. Find lists here on this website and on the internet.
3. After you build your database mine it. Chances are your first go rounds you won't gain anything and you will experience the true meaning of frustration. Then a funny thing will happen. You will actually start to get valuable information. You may get a name of the asset manager. Here is a real life email example. Start from the bottom. After weeks of trying to get to the right person, finally somebody from the loan orinination department got me to the right person. Notice the first line? "WOULD SOMEBODY PLEASE RESPOND TO HIM?" That's because that guy said he would get me a name and I would gently email and call every few days. Now I have the right name after weeks of dead ends, unresponded messages, and emails.
By calling your database you will gain names, possible sourcing opportunities, company information, and begin to develop a rapport with the hardworking people who work there.
4. Heres what I do:
Log in to your profiles monthly
If your info is on file call every 3 months and ask if it is current
If it has been more than 3 months since you have applied, apply again unless they tell you not to or you could lose your place.
Call your contacts (people you have met) monthly. Follow up with an email. Just "Thanks!" will do.
Check the big directs websites every 15 days for new info (FYI HomeSteps puts out a PDF of where they are sourcing)
Check the other websites every 30 days
I'm no REO wizard, but I think its just doing the daily soldiering that will lead to results in the long run. Just take what you can use and what makes sense to you from it.
Good luck!
Email Example for Ray.pdf
Hi Ray,
First off, let me start by saying you have gotten some excellent advice....absolutely excellent advice however, one thing was missing that actually surprised me. No one mentioned the Blog Talk Radio shows I have conducted with.....
1. Matt Martin Real Estate
2. Keylink Asset Mgmt.
3. Bankers Asset Mgmt.
4. PMH Financial
5. Short Sale Specialist Network
6. HUD - Pemco
That surprised me because, when I spoke with these companies they told us (The REOPro Community) exactly what to do, how to do it and when to do it to be sucessful when joining them or other AMP's in the industry.
Just so you know, the advice Derrick Emmert gave you almost sounded like he listened to a couple of those interviews himself....he may have, I don't know but, my point is, if you want to hear, for yourself, from the Vendor Managers, VP's or Presidents, listen to the archived interviews.
Here is the link http://www.blogtalkradio.com/jesse-g, Don't forget, you can also access the link from the main page of REOPro in the top left corner.
Jesse...I will definitely listen to these this week and see what other information I can get from these. Thanks for taking the time to respond...and know I will follow up with this site as I go thru this.
Hi Ray,
Just wanted to give you my 2 cents for whatever its worth. I can see your dedicated which I think is the first prerequisite. Myself, I love REO and intend to spend the rest of my professional life doing it. I can't wait until the market's good and the only REO left is 600SF junk houses because that means everybody else will be chasing other things.
Number 1. Make sure the BPOs you are doing count. Make sure that they have the ability to assign listings. Avoid mills other than to keep your skills sharp. When you do get an AMC BPO do an excellent job. My first asset was from U.S. Res 1 year after I started doing BPOs. I have also received REO from TREO, 3 Pointe Asset Management w/ Equity Pointe from the BPOs. I have done 2 BPOs for 24 Asset and I will get those assets if they take over the servicing. That's my first hand advice. From this site, it appears Goodman Dean is a good bet Keystone, SAM, just look around this site. I treat Ocwen and Old Republic like a mill but will update if I ever get a listing. I treat Clear Capital like an AMC because I kknow of one agent who did receive a listing from one of thier BPOs.
Number 2. Register. Register with as many sites as possible. ***IMPORTANT*** KEEP YOUR PROFILE UPDATED! If an AM is looking in your area it just may be your turn. This is how I landed Precision and Olympus. I called Precision some months after I registered with them to verify my profile was up to date. I needed to updated one thing, and two weeks later I received my first assignment from them.
Number 3. Prospect. This is great with local/regional banks. You can often get names of REO officers with your local banks. Call them every so often - not enough to be a pest, but often enough to where they know they have a dedicated ally in the area. I landed one asset after the first call doing this, just like they told you could happen when you first started real estate. Because of this technique, I also have (5) 5 acre lots coming up (may sell as one development piece) and 2-20 "slumlord houses." (Asset managers words, not mine :) with two other local/regional banks.
Number 4: When you get an asset in, everything else is secondary. Appointments cancelled. Mill BPOs on hold. Retail showings on hold. Like a madman, your only objective in life for that day is to get occupancy and secure the property, complete BPO and submit the requested paperwork. You need a preservation guy that can re-key at the drop of a hat. Mine knows how important my REO business is to me and he has been there for me from 9:00 PM to 7:00AM on a Saturday. I try to have all of that done in day 1. They give you to day 4. Get my point? From that point foward, all your tasks are completed way ahead of time and with a quality that makes you stand out.
Number 5: You have done a great job for your AM and they remember you and appreciate it. So every so often drop them a line. "Just to let you know I'm here if you need anything." Short and sweet. They are very busy so keep it short but remind them. You have done a great job for them so they will remember you.
I have spent 30 minutes writing this because I too have been in your shoes. I have ogled the soft blue hue of Equator at 3:00AM after completing 10 BPOs and zero assets. I know where you are at. If I can help somebody else acheive their goals from my own experiences, to me that is one of the greater pleasures in life. So in return please keep us posted of your progress.
Obviously you are dedicated, or frankly I would not have spent the time that I have on this one post. I think you just need to expand your arsenal a little. I have far to go to be where I want to be, but this is how I broke in. I have yet to land one of the big direct clients but you build a business one client at a time. One asset at a time. I cannot tell you how to manage 50 assets, YET. But I can tell you what has worked for me.
Hope this helps & good luck!
Derrick, WOW!!!! You have single handedly restored my belief in the concept of helping others go thru what you yourself have been thru. I am a firm believer in what you have done for me and helping the next person in the same situation. This is why I am considered a trainer in the office. About 2 yrs ago...that belief, just in this area of REO began to fade. Every person was tight lipped and basically I was on my own.
In regards to your advice, the encouragement alone was worth a heck of a lot more than 2 cents...and I thank you. Some of the REO agents are looking at me like I'm an idiot for trying to get in ...but I've gone down with path way too long to switch over now and know that once I break thru, I will be okay.
Currently, I am registered with 118 different companies...all were updated in Aug and Sept of last year. I have had to start a speadsheet with User ID and passwords just to keep track of them all. To date, I have completed over 250+ BPOs without a single listing. All the companies you listed above, I have applications at...but many asked for either current asset manager referrals or printout of the last 10 REO listings you had. That's the brick wall I keep running into. I have a really hard time lying but other than that, people with experience trump me. I am currently working with someone out of our office to get the experience. We have all the contractors we need for every kind of service ..and at the drop of a dime.
With regards to BPOs, I did a lot of them last year, again trying to get my name out there, but didn't work the marketing end of my main real estate business, thus causing my income to go down drastically. I felt like the proverbial carrot was being dangled in front of me and that was the focal point all year long. I have started to cut down on the bpo mills completely as I have the experince that I set out for. I was a bit disappointed when you mentioned Old Republic. I read where they do give back and have been racing for they bpo blasts. I am at about 50 completed BPOS with them alone. :-( I've heard a lot of Realtors say that they tried getting into doing bpos but gave up. Well I broke that barrier and now I turn them away because they are not going to get me to my goal. If I can do the same with REO side, I'd love to get a team started and give some of the hard working Realtors in my office more work.
In addition to this, I passed my broker's exam, CDPE, RDCPro, SFR, and just finished with ResNet Professional Certification last week....just trying to gain the knowledge and get any kind of edge. The Conference is one of the last ditched attempts to break thru...so anyone reading this...if you have some small tidbit, please let me know. I am timid by nature but confident when I have the knowledge...so trying to lie to AMs is not going to work.
Anyway, Derrick...thanks so much for this and I will keep this site posted on my progress. Someone in a webinar mentioned that I should put together a nice laminated flyer for the Conference. Beside all the general information that is always asked for, does anyone have any suggestions on what else should go on this?
Also, take everything you think you should say or do and throw it out the window because that is what everyone else is doing. Be different (in a good way) and you will stand out :).
Thanks Kyle for the advice. I am usually a "think outside the box" type of person and I have something already in mind for the conference that I am working on. My frustration levels are up and down as I have been at this for quite a while and not ready to give up yet. I know people think I'm an idiot trying to swim upstream while everyone else is going with the flow (short sales) but I've gone too far down this path to reconsider another. Anyway, thanks for taking the time to respond. I appreciate it!
Go hungry and committed. Five Star is one of the most attended events of the year by AM's and companies. I first went in 2008 and still to this day that was my most succesful conference. I made solid contacts that resulted in FUTURE business. I got into Power-REO and Citi both from that conference although it took about 9 months to get business and Citi took about 3 years. Make sure to attend the lender open houses as they usually give REO sign-up and special links only valid for a short time and only given at Five Star. As time goes on mailers will come and on those will be names of attendees, look them up on Linkedin and Facebook and remember their faces and companies. Look for your top competing agents and look who their talking to...usually there talking to important people and try to make contacts later. Last but not least possibly join The Force, they'll have special events that will have AM's in attendence. Good luck and see you their!
-
1
-
2
of 2 Next