I actually responded to a Linkedin post from a National Real Estate Investment Company.
They say they buy notes from the lenders on properties that are in default and then offer the homeowners a deficiency release and relist the property for sale with you as the listing agent for giving them the lead on the defaulted property - provided it is not already listed with another agent. If it is, then you would negotiate a referral fee for putting seller and investor together and the listing agent would get their regular full commission.
Has anyone had experience with this? I have seen talk around the net about investor bulk purchases and about lenders ridding themselves of defaulted property through bulk sales to investors, but I have not had first hand experience with this.
Anyone who has, their comments would be appreciated. Thanks.
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The scenario you discussed and what I am familiar with are a little different. I have not heard of nor experienced from what I can tell from your post what seems to be a pre-foreclosure bulk purchase.
I have had experience w/ REO bulk purchases. While I am no expert on what occurs on the Wall St. level but basically rather than outsourcing the lender clears their books by selling a "tape" of propertiesof dozens to several hundred at a discount. The only real difference to you as the agent is that your opinion will be sought prior to the transfer so they can aggregate a total value.
Other than that everything is handled pretty much exactly the same way as any other REO. They are outsourced to the AMPs we are all familiar with and the procedures are the same. Some AMPs from what I can tell handle these exclusively like TREO and Kondaur and some work with both the banks and hedge funds/investor pools.
The nice thing about this type of REO is the occupants are gone, they are already trashed out, and they will be listed for less than the previous listing price. They want a 30-60 day sale.