expense (3)

Normally there are two ways most REO agents handle their utility bills but wait, there is a third:

1. Pay each bill with a check and set the check aside for several weeks until it is due to minimize the leverage of funds

2. Pay by bill-pay through your banking website which only takes daunting hours of your time due to hundreds of accounts that are no longer used or require deletion

3. Use Realty Pilot's Concourse 360 to create the record of the check file and print one check for each utility company at the end of the month

Let's face it banks don't pay a management fee for properties as an REO and the longer the hold time of a property the more free labor the banks are squeezing out of you. One of the most important things to know is where your break even number with days to hold a property is. Is it based on the number of tasks that are involved, is it due to the price of the home or is it the amount of time the home stays in your inventory? All of these are concerns but the one most important is hold time. The longer the hold time the more chance the REO asset will cost you money rather than make you money. So what do you do? First, pin point what costs you money then find a way to minimize those costs. Since this blog is about utilities I am going to let you in on a little secret.

Utilities will cost you money by the amount of time spent paying the bill-pay through your bank and takes money out of your pocket immediately. They will also cost you money printing numerous amounts of checks every month only to release them strategically hoping not to miss one and you still have to scan a copy of that check for the invoice record. Additionally there could be deposits and bonds involved to support the volume of bills under your own name. So what do you do?

Realty Pilot's Concourse 360 has come up with a very unique check writing system that allows you create the check file within their system right from the expense record that looks just like your check without printing and scanning. This check file stays with the expense that is tracked for each property. This allows the agent to pay all bills for a utility company on one check at the end of the month. So now you only have to print one check for each utility company and your money is not immediately dispersed allowing you to reduce the amount of time your funds are leveraged for the bank or asset company.

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REO Transaction Management Software - Part I

REO Transaction Management Software – Feature Tips – Part IIf you are looking for REO Online Transaction Management software for your business, there are many features that you would want to consider before purchasing. Because you want the software to make your job easier not harder! You want it to be able to streamline processes rather than bog them down.I will touch on five features:Task Lists – is there a feature where you can use the same task lists for each property? Can you assign a task list to a property with one click? And can you edit the lists easily if need be?Email Tracking – does it automatically store the emails under the particular listing? And also are you able to use your default email provider when sending emails. And if you are able, will the system still track the emails?Expense tracking – If this is an important feature to you, it is important that you find a system that does it accurately and preferably in real time. With so many vendors involved with your assets, it is crucial to have accurate records. Also does this system have an easy way to import and export files, such as an Excel spreadsheet.Support –This is very important because for most agents, it is needed 24/7 because of the many tasks that may be due on a particular property. And some agents may not be able to get to their computer until late in the evening because they are out in the field all day.Document Storage – How much can the transaction management system store? If it is not unlimited, how much will they be able to store before they charge a fee? Also how easy is it to access documents and photos for each file? How user friendly is the filing system? Is it customizable to your business or do you have to use the software’s filing system?These are just five features that should be considered when considering a REO Online Transaction System. The most important point to remember is will it streamline the system you are already using? You want to be able to have a tool that makes your job easier and more organized.In part two I will touch on five other features that you should consider when purchasing REO Online Transaction Management software.
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Get It In Writing!

Get it in Writing!How many "Denied Payment" does it take to get it right!When working with REO properties, you need to be very cautious when it involves being paid. Do not take for granted that the Asset Manager or representative will remember your conversation or have made a note in their little black book. The sad fact is that most, if not all, handle hundreds of properties and answer questions and emails regarding those properties on a daily basis. At this point, you are a number in their system and not at the top of the "thing to remember" list.If an Asset Manager or Representative calls and are requesting information or requesting that you perform a duty, GET IT IN WRITING! Too often, Brokers and Agents are so ecstatic to get the chance that they fail to create a paper trail that will guarantee payment. If the email or fax never arrives, send a email to the individual with a summary of the conversation. Ask him or her to confirm the request. If you do not receive a response, do not do the work.Never email the Asset Manager or representative outside of their portal if a portal is being used. Once you email them outside the portal, the conversation is most likely not considered acceptable because there will be a disclaimer listed in your service agreement and on the website regarding emails. PAY ATTENTION TO THE POLICIES! Also, just because the note is in the portal today, does not mean it will be in the portal tomorrow. Consider capturing the screen information for your file for backup purposes.If an Asset Manager or Representative requests repair, especially costly repairs, get the request and approval in writing (NOT YOUR WRITING). Do not try to store the information in your memory bank, GET IT IN WRITING! Too often repairs requests are asked to be completed by the brokers and agents without full approval from the seller/clients. If the client does not approve the invoice and the Asset Manager or Representative approves the request prematurely, you will not get paid. Having the request and approval in writing will provide a solid legal foundation in case you have to file a mechanical lien on the property or a claim against the asset company. Know the law for your area.When submitting your invoices, make sure you include a copy of the email with the pre-approval attached. If you have to submit the original invoice to the bank of reimbursement, include a copy of the pre-approval email along with the conversation to alleviate any doubts.Never assume that the conversation will be remembered and/or your invoice will be paid. After all, if the invoice is rejected, you will have to pay the vendor and/or suffer the loss.Carolyn Nelson www.onlinerepa.com
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