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I have worked for a ton of these companies over the years, and sometimes get companies that are hard to pay or won't pay.

I have one right now, Service (blank), that didn't pay for BPOs since the first of the year. They stated that I wasn't a provider and that I wasn't assigned these properties. I scanned every order page, submitted my BPO pay log and now....Since getting Richard with myreotogo.com involved, they are finally paying!

I got Richard involved yesterday and I received a phone call from the company in question this morning! Suddenly I have gone from not being a service provider to "the information is going to accounting and a check will be in the mail this eveing with a tracking number."

It may sound like an ad, but it is true! Call or message me, and I will get you Richard's contact information!

Finally an REO/BPO success story!

THANK YOU, RICHARD!!!

Sometimes the differences between your employees and independent contractors seems negligible. Their work may be the same and theirsalaries almost indistinguishable, but regardless of whether you seesignificant differences among the people you pay, there is someone whodoes: the IRS.

With employees, companies are required to withhold and pay certain work-related taxes like income, Social Security, Medicare andunemployment. With independent contractors, they aren’t. In fact,companies are only responsible for filing one form (1099-MISC) forcontractors, and that's only if their salaries exceed $600. If a companymistakenly classifies an employee as an independent contractor, itfaces a load of paperwork and penalties and is generally held liable foremployment taxes and then some. So it's important to carefully
distinguish between your workers and your independent contractors.

Remember these qualifications of contractors so you can stay out of trouble with the IRS, an agency not generally known for its forgiveness:

1. They provide their own training.
   Independent contractors already have experience in their fields and require no specific training from employers.
2. They have control over the means of accomplishing their work.
   They can decide when, where and how the work is done. They don't have tofollow any instructions, and the only control the employer has over thework is the end result. Keep in mind that sometimes employees may seemto fit this description, but in this case the company still maintainsultimate control of the situation; with employees, an employer canchoose whether to exercise that control.
3. They have control over their salaries.
   Independent contractors decide how much their work is worth. If you are paying oncommission or by the job — or any other way other than on a fixed,periodic basis — you are probably dealing with independent contractors.
4. They can only be fired for a breach of contract.
   You cannot fire contractors because of general cutbacks or poor work ethicthe way you can fire employees. Generally, you can only fire them forbreaking contract stipulations.
5. They cannot terminate their relationships with employers at will.
   Conversely, independent contractors are usually contractually obliged to finish ajob, and they can be held liable for failure to do so.
6. They have their own tools.
   Independent contractors will always rent or use their own tools. However, so do manyemployees in certain trades, like painters and plumbers, so it's bestto consider the personal costs of the equipment. If these these toolsrequire a significant investment and expensive maintenance, you'reprobably working with an independent contractor.
7. They have to pay for all business and traveling costs.
   Like their tools, independent contractors are responsible for their businessand traveling costs, so if you don't foot this bill, you can reasonablyassume that you are not working with employees.
8. They run the chance of making a profit or incurring a loss.
   If the worker carries the risk rather than the employer, the worker is anindependent contractor. He or she has the responsibility of balancingequipment costs, delays, operating costs and the like with the salary
   being paid, hoping to come out on top.
9. Their services are available to the public, and they usually have multiple clients.
   If workers are offering their skills to anyone and everyone, they areprobably independent contractors. They are not bound to companies theway employees are. They strive to get as much business as possible, andthey do so by taking on as many clients as they can. Because of this, acontinued relationship with a single organization, though possible,usually does not exist.
10. Your company has no control over the contractor's assistants.
    If your company hires, pays or supervises any assistants helping a worker,that worker is an employee. Contractors take care of their ownassistants if they use or need them.
11. Oral and/or written reports are not required.
    Companies only exercise this control over employees. Independent contractors areunder no obligation to provide the company with any updates of theirprogress or anything except the end result the two parties agreed upon.
12. Their services are not completely integrated into your company.
    Chances are the work performed by an independent contractor will not becritical to your business as a whole. The more crucial their servicesare, the more likely workers are employees.

Knowing how to distinguish your employees from the independent contractors you hire allows you to maintain the upper hand in workerrelationships by knowing where your organization does and does not havecontrol. Plus, this knowledge can help you be completely prepared foryour employment-based taxes, so that not even those formidable IRSagents will be able to bring you down.

Hope This Helps

The Texas Attorney General's office has halted all foreclosures, all sales of properties previously foreclosed upon, and all evictions of persons residing in previously foreclosed upon properties, until mortgage companies have completed a review of their processes, including whether employees or agents "robosigned” affidavits and other documents recorded in Texas.

The AG suspension notices were sent to 30 mortgage-loan servicers doing business in Texas.

Here is the link to the 30 mortgage/banks involved

Read all about it here:

http://www.dsnews.com/articles/old-republic-will-no-longer-insure-jpmorgan-and-chase-2010-10-05

I figured something like this would start to happen with the title companies as their going to be on the hook.

I can't imagine what will happen to the market if more title companies quit insuring foreclosures.

It seems i am now at a point where a web based system is needed to track tasks, expenses, due date and more. Please share with me the systems you are using and why. I want to make a decision in the next week and get up and running this fall. Thank you for your time. Beth

I guess I have finally figured it out why GMAC had been so "forgiving" about my shortsale, that the negotiator saw fit to keep stalling the auction date. Oh well maybe they are just nice people but the headlines this week say something severe.I really believe some benefits are coming out of this. We all know that the banks were hammered with defaulting property and it got beyond them to start pencil whipping things. I had a couple of friends my self that had loan mods in process and then the bank foreclosed on them. One of them is currently suing Chase.

What I think will happen is this...the fall REO storm may never come, except for Fannie and Freddie because well...they are sinking and have tons of stuff they they need to pay taxpayers with. Finally we can calm down and be realtors, offering our help to people.

The shortsale will be a mainstay for sometime and banks must be more efficient at it. We agents have much to learn about shortsales... pricing property CORRECTLY so the BPO is close to MLS price (two of my shortsales as representing the buyer recently exploded this way. Buyer walked because of too high an asking price). We need to cooperate to get the job done and not be greedy as to how much comission we make. I shop property based on what my client wants...not how much do I make on it. Had an office collegue ask me about my shortsale today and when I told her that we may need to cut into the comission split to pay the jr lien holder that the first afforded only so much to.She quickly told me that she will not work for less than 2.5 % because she has done alot of work with that buyer. Guess customer service does not come into play here because she was not willing to make it necessarily happen for her customer if they turned out they wanted to see it.

As always what we need to do is to offer SERVICE. Make sure the seller cannot qualify for a mod first and then if they appear to qualify, help them get one; list the property in case of failure. Some because of job status, will never qualify but we must outreach to homeowners and comfort them as much as possible and work on the BEST SOLUTION FOR THE HOMEOWNER not our pockets.

REO's will exist and I am convinced that they will always goto the well connected realtors. I have noticed some asset companies give assets entirely to one person : Ocwen/Altisource and Goodman and Dean are good examples of this. Unfortunately, this does not mean they are good at customer service. I saw on a particular website the names of REO brokers that were rated by normal homeowners needing their services and they were not rated favorably at all. Also had another REO agent tell me last week that I "needed to educate my buyer" about how the bank works. Seems like the bank has him by the _______...and I will not say it. I wanted to make slight changes to the addendums as they were very favorable to the sellers and I have a duty to protect my buyers. I told him everything in real estate is negotiable. He would not even explore the points I raised.

Asset companies and banks will continue to need us realtors to guide them. We are the experts in our field and need to be open to ever learning more about our profession. The mistakes made are not going away overnight.

I believe the major banks facing this crisis will be forced to more diligent in the future. Even in my state,California which is non -judicial...the state attorney general called on GMAC to explain their procedures for foreclosure.

Someday I do want to sell REO as well and do a five star job at it that will make an asset manager smile and confident, but lets see here...people still will leave estates (probate) and I do not think divorce is going away (divorce sales)..well I know , I guess I should go help Mr and Mrs Frank Mc Court and maybe Tiger get rid of some of that property.

Talk to you later my friends,

John

Well it seems that now some of the big banks are freezing foreclosure procedures due to their inavility to comply with local laws and regulations that protect the home owners or delay the foreclosure procedures, it seems that some lenders have rush the foreclosure procedures and broke the laws. First started wtih GMAC, then Chase, now Bank of America.

There are several issues with this new moratorium, first there will be more banks adding to this list, and this mess might not be sorted out until March or May of next year, that might be done on purpose because the GSE are pushing for the lender to take action on the late loans, see the news on Wells Fargo last week. http://www.dsnews.com/articles/wells-fargo-puts-stop-to-short-sale-extensions-2010-10-01. Also the OCC ordered the Largest Servicers to review their foreclosure process. This might not affect us because they are liquidating their inventory little by little to avoid a really hard crash and decline of propery values, lets face it, with low prices, low interest and no one is buying, it is hard to say if it is because they are not lending or because there is very little confidence from buyers, but also at the end of the day we all need shelter, so it makes sense to purchase now, and I have seen several potential buyer not been able to qualify for a home mortgage loan.

The other problem I see is the rumble from lawyers and previouse owners, who will try to sue the lenders for not been in compliance with the federal and local laws and regulations of the foreclosure procedures, etc. I did a cash for key on Saturday, and the borrower just kept asking me if my client was following the right procedures, if they were going to join Bank of America and Chase with this issue, etc.

It is going to be interesting to follow this new moratorium, because of the political impact and the possible impact it might have in the business. I think if the foreclosure process was not done correctly, then what would they do, if the house is already sold, can the courts reverse the sales, etc, then we will have the issue of the current owner. Most likely this would be ratified with money, how much? morally the prevoius borrower was in default, but I am sure there could be damages, etc. Would the courts and the credit bureus wipe out the "Foreclosure" from their records so maybe if their finances have change they can get a loan, would the lender try to work something where they can put the previous owner with a new loan or similar loan to the previuos one in one of their houses.

As REO agents I think is important for us to do as many Cash for Keys as possible, this way the previous owner has agreed to relinquish his/her home to the bank, but I am sure there are some loopholes there too. Well maybe the new assignments from the bank would be more like deed in lieu with a lot of legal terms to protect the bank, and I hope we can have the right documents to protect ourselves just in case,

Every year, before the first freeze, the ritual of irrigation "blow out" becomes the priority for all irrigation systemsthat are in parts the country where the frost level extends below thedepth of the installed piping.

Even if you have drained some water out of the system, the remaining water can freeze, expand and crack the PVC piping (rigid,white pipe), usually from fitting to fitting. Polyethylene pipe(flexible, black pipe) is used in many freezing climates. Althoughpolyethylene pipe is more flexible and can expand under pressure, waterleft inside could freeze and rupture the pipe walls. Freezing water inthe backflow assembly will damage the internal components and couldpossibly crack the brass body.

To minimize the risk of freeze damage to your irrigation system, you’ll need to "winterize" your irrigation system

Irrigation systems in areas where "winterization" is mandatory are installed using one of three types of water removal inmind: manual drain, auto drain, or blowout. If you don’t know yoursystem type, it would be best to use the blowout method.

Manual Drain Method

Use when manual valves are located at the end and low points of the irrigation piping. To drain these systems, simply shut offthe irrigation water supply (shut off will be located in the basementand will be either a gate/globe valve, ball valve or stop and wastevalve - see drawings below) and open all the manual drain valves. Oncethe water has drained out of the mainline, open the boiler drain valveor the drain cap on the stop and waste valve (whichever is used in yourarea) and drain all the remaining water that is between the irrigationwater shut off valve and the backflow device. Open the test cocks on thebackflow device. If your sprinklers have check valves you’ll need topull up on the sprinklers to allow the water to drain out the bottom ofthe sprinkler body. Depending on the location of the drain valves, therecould be some water left in the backflow, the piping and thesprinklers. When all the water has drained out, close all the manualdrain valves.

Automatic Drain Method

Use when automatic drain valves are located at the end and low points of the irrigation piping. These will automatically open anddrain water if the pressure in the piping is less than 10 PSI. Toactivate these, you shut off the irrigation water supply (shut off willbe located in the basement and will be either a gate/globe valve, ballvalve or stop and waste valve - see drawings below) and activate astation to relieve the system pressure. Once the water has drained outof the mainline, open the boiler drain valve or the drain cap on thestop and waste valve (whichever is used in your area) and drain theremaining water that is between the irrigation water shut off valve andthe backflow device. Open the test cocks on the backflow device. If yoursprinklers have check valves you’ll need to pull up on the sprinklersto allow the water to drain out the bottom of the sprinkler body.Depending on the location of the drain valves, there could be some waterleft in the backflow, the piping and in the sprinklers.

In some areas you might have a combination of the manual drain system on the mainline (the pipe between the irrigation water shutoff valve and the valves) and auto drain system on the lateral lines(the pipe between the valves and the sprinklers).

"Blow Out" Method

It is recommended that a qualified licensed contractor perform this type of "Winterization" method, The blow out methodutilizes an air compressor with a Cubic Foot per Minute (CFM) rating of 125-185 for any mainline of 2" or less and a PSI of 50-80.These types of compressors can be rented at your local equipment rentalyard. The compressor is attached to the mainline via a quick coupler,hose bib or other type connection, which is located before the backflowdevice. To start the "blow out", open the Test Cocks on the vacuumbreaker, shut off the irrigation water supply and open the drain on thesupply line. Once the line is drained, close the drain and proceed toconnect the air line. With the compressor valve in the closed position,attach the air compressor hose to the fitting. Activate the station onthe controller that is the zone or sprinklers highest in elevation andthe furthest from the compressor. Do not Close the backflow isolation orTest Cock valves. Slowly open the valve on the compressor; this shouldgradually introduce air into the irrigation system. The air pressureshould be constant at 50 PSI. If the sprinkler heads do not pop up andseal, increase the air until the heads do pop up and seal. The air pressure should NEVER exceed 80 PSI.

Each station/zone should be activated starting from the furthest station/zone from the compressor slowly working your way to theclosest station/zone to the compressor. Each station/zone should beactivated until no water can be seen exiting the heads, this should takeapproximately two to four minutes per station/zone. It is better to usetwo or three short cycles per station/zone than to have one long cycle.Once the station/zone is dry, you should not continue to blow airthrough the pipe. Compressed air moving through dry pipes can causefriction, which will create heat and the heat could cause damage.

Additional Steps

Once the water has been removed from the irrigation system, shut-down the air compressor and release any air pressure that may bepresent. Disconnect the airline. If your backflow device, the mostcommon backflow installed is called a Pressure Vacuum Breaker,has ball valves, open and close the isolation valves on the backflowdevice numerous times to ensure that any trapped water has escaped fromthe upper areas. Leave the isolation valves open at a 45° angle(approximately 1/2 open) and leave the test cocks open.

Types of Valves

Gate Valve	Ball Valve	Stop & Waste Valve	Boiler Valve

Preparing a hydraulic control system? Shut off the water supply to the signal control tube(s) and drain the field tubing.

Outdoor mounted controllers? Leave the power on and the dial / switch in the "Off" position. The heatfrom the transformer will keep the enclosure warm enough to keepcondensation from forming inside the controller enclosure. The dial inthe "OFF" will keep the controller from activating the solenoids in thefield.

Indoor mounted controllers? You may either leave the power on and the dial/switch in the "Off" position OR you may remove the battery backup and unplug the transformer.

Rain Sensors? There is not much to do to prepare the rain sensor for the winter months. If yoursensor is the type with a cup or bowl that catches water, you might wantto remove the water and place a plastic bag over the sensor. This willkeep any water from accumulating and freezing in the cup or bowl area.If your sensor is the type that uses wafers or discs, you might want toremove the wafers and store them in the garage for the winter months.This will keep damp wafers from freezing.

The Do NOTS of "BLOW~OUT" Winterization

1. Do not allow the air pressure to exceed 80 PSI for systems with PVC piping and 50 PSI for systems with polyethylene piping.
2. Do not stand over component parts while the system is pressurized with air.
3. Do not leave the air compressor unattended.
4. Do not blow the system out through a pump. First blow out the system, then drain the pump.
5. Do not leave the manual drain valves open after the blow out.
6. Do not leave the indoor drain open during the blow out!

It's fall here on earth and time to get the house ready for winter. For some of us the house needs to be ready for cold,and for others maybe only for cool-er or wetter ... Fortunately for us, it is spring on Bizarro World.You remember Bizarro World? From the Superman comics? On Bizarro World,the cubed planet Htrae (Earth backwards), everything is opposite or backwards of what it would be on earth. The people are grossly ugly, they try to break things, lose money in investments, wash with dry dirt - well you get it. And everything they do is considered the right thing to do.

Since it is spring, Bizarro Worlders are trying disrepair their houses in time for the cold weather. I publish their list, perhaps forthe first time in history:

• CO Monitor - break the test button so it can never be pushed.
• Pests - why bother? Let them run free.
• Moss on the roof - perfect! Leave it alone.
• Gutters and downspouts - keep them clogged!
• Boilers - an unsafe safety-relief valve not tested is the best relief valve.
• Furnace - never, ever oil anything.
• What's an HVAC filter? Don't even check for one.
• Caulk nothing, leave gaps, don't eliminate mold or muck.
• Smoke detector - why have them anyway? But break that button too.
• TPR valves - testing is always a bad thing.
• Hose bib - leave on full power at the indoor valve so it freezes.
• Water heater - it is illegal to hook up a hose and drain a little out.
• Toilet - hopefully it rocks on the floor so badly it can't be tightened.
• Septic system - it should be years and years of never pumping it out.
• Private water system - never add pressure to the blue tank.
• Smoke detector battery - remove now! Don't replace!
• Foundation - slope toward the house and don't extend downspouts.
• Wood-burning chimneys - let the creosote build. And build.
• Kitchen inspection - grease should get thick on everything.
• Refrigerator - sweep dirt under it and never vacuum the coils.
• Garage door - should it work at all? Never oil anything.
• Disposal - bones clean it really well. Baking soda and vinegar don't.
• Fire extinguisher - don't bother checking the pressure dial!
• GFI's - those buttons should be stuck and don't do anything anyway.

Well, what do you think of the list? Enjoy! Hopefully it helps. Read it carefully! Keep it in your pocket and pull it out as you walk around the house. It should come in handy. And, as to lists, we all use them and we all need them. And remember, old Preservation Contractors and home inspectors never die. The just grow listless...

Up to 3.5 Percent Seller Assistance; Selling Agent Receives $1,500 Bonus

Fannie Mae (FNMA/OTC) today announced a seller assistance incentive on Fannie Mae-owned properties listed on the company's REO website, www.HomePath.com, and expands the initiative to offer an incentive to real estate agents and brokers. Qualified homebuyers who will be owner-occupants can receive up to 3.5 percent of the final sales price that can be used toward closing cost assistance, including a home warranty, if desired and available. In addition, selling agents representing owner-occupants will receive a $1,500 bonus. Eligible offers must be submitted on or after September 23, 2010, and must close by December 31, 2010. The sale must close within 60 days of the offer being accepted.

"More than eighty-seven thousand families have purchased HomePath^® properties in the first half of 2010 - nearly double the number of Fannie Mae foreclosed properties sold in the first half of 2009," said Terry Edwards, Executive Vice President of Fannie Mae's Credit Portfolio Management. "We continue to look for ways to stabilize neighborhoods and offer incentives to qualified buyers who will occupy these properties over the long-term and help support their communities."

HomePath properties are owned by Fannie Mae and include a wide selection of homes, including single-family homes, condominiums, and town houses. HomePath properties may also be eligible for special HomePath Mortgage and HomePath Renovation Mortgage financing.

Do some quick MLS research to find out what Altisource Homes is up to in your market as a listing brokerage. If you are an REO agent you might be surprised to find that Ocwen is listing properties with Altisource Homes offices that are not even in your state. Sure, sellers can list with anyone they want to but local agents should be aware of this growing trend. Why? you ask.

Well,

If you perform BPOs for Ocwen and Altisource you might just find your interior BPO pictures posted on someone else’s MLS listing. Think it can’t happen? I promise it can because it happened to me. When I called my local Altisource contact in New Delhi they assured me that I was mistaken and that it was impossible that Altisource Homes in Georgia (8 hours away) had received and used MY interior BPO photos in their MLS listing in my local market. They asked that I provide documentation and that the issue would be escalated.

I provided the documentation over 2 months ago and have not heard a peep from Altisource. I have stopped accepting work from Altisource and always refer to the fact that I am awaiting an explanation on this specific issue when I reject assignments.

Has anyone had similar experiences? I have had numerous conversations with REO listing agents about Ocwen at national conventions and decline to comment further about Ocwen.

anyone out there having trouble with the auto acceptor? I was notified of a upgrade and attempted

to do it myself. ( I am no computer guru ) I turned it on and it continues to shut off. I contacted the company

2-3 times and they have given me some things to try but to no avail. I wanted to check to see if anyone

else is having the same problems?