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Not to toot my own horn……………….ok…………….maybe a little but, it’s worth writing about.

I got an email from one of my Asset Manager’s a couple days ago, an Asset Manager I don’t hear much from. Don’t get me wrong, he keeps me busy, I have 6 of his listings but, as far as communication……we just don’t talk much. It really never bothered me, I always figured that if I am really doing my job well, he shouldn’t have to communicate with me much anyways but, after about 2 months of complete silence I started to wonder. Does he not like me, does he think ill of me, why isn’t he shooting me an email once in a while rather than res.net task.

I wake up one morning last week and boom….just out of nowhere, I get this email.

“I wish all my agents were as on top of things as you are!!! Not sure I have conveyed this before but the reason I am not calling or emailing you very often is because you are clearly very competent and doing a great job; I have a ton of agents who are not. If you ever really need me please call.”

Thanks!!!

Mark

What he doesn’t know, I was gleaming like a little school girl with a crush on my gym teacher. Better yet, I stopped and thought to myself, how many other agents out there…..even the good ones can say they get a compliment like this.

Mark actually feels he can put me on auto pilot and let go. Granted, I am sure that isn’t his normal practice, he is a very aware Asset Manage but, none the less, the point was made.

This is the type of business all of us REO agents who are currently working inventory should be running. Our Asset Managers should feel and be comfortable and CONFIDENT enough to say, in writing..,

“you are clearly very competent and doing a great job”

In fact, I have made it a goal of mine, I want to get at least one written compliment from my Asset Managers a month.

Just another thought real quick, before I end this blog. This kind of compliment shows you the passion I have for what I do. Passion that wakes me up in the morning, causes me to commit to not just doing my job but, making sure I am the best at my job. I didn’t enter the default real estate industry because it’s the hot market right now, I entered because I love it.

For all you Realtors who have decided that this default thing may be around longer than you expected and well…..you are going to have to try to make it happen or get out all together…..let me just say, “YOU BETTER WORK IT” because, I have set the bar high and if you don’t have passion, commitment, tenacity and a love for this industry, don’t expect to catch up.

This week’s Ask the AM really spurred me into action. I hear moans and groans all the time from agent s who just don’t like social networking. They gripe about how time consuming it is or they were never successful or, it’s too monotonous, or……….whatever else and all I got to say is, SO BAD, SO SAD, AINT YOU GLAD YOUR MOMA AINT YOUR DAD!

As Ned points out in the article, someone is using Social Networking and taking your business. This mysterious agent has become savvy enough to create a LinkedIn profile or Facebook page and is now using it with maximum force.

You see, while your setting back, accepting those listing assignments, this mysterious agent is sharing tweets or swapping emails or learning about your Asset Manager’s terrible weekend because they lost their dog Sparky (thanks Ned). Before you know it, this agent and your Asset Manager are developing a friendship vs. a business relationship. So, when the next assignment get sent out, who do you think is going to get it?

Granted, I know social networks take time to create…..I created REOPro for goodness sake however, I can’t stress to each of you, your lack of involvement is at your own detriment. Now, you may never have a social network of a thousand or more or ever have a goal to reach twenty five thousand but, a well oiled social network of a few hundred and make a huge difference.

Here is the stark cold truth. Asset Managers are loosing their jobs, getting re-assigned or simply dropping out and all this is happening because the business is changing so, what do you think these Asset Managers are doing when they are no longer Asset Managers? Well, let me tell you, they are getting real estate licenses and taking over territories for their friends back at the Bank or Asset Management Companies. My point is, if you aren’t on a first name basis, dirty joke telling, birthday card sending, meet up at the conference having drinks relationship………………..someone else is or is trying to be.

Now, as many of you know, I try to adhere to a high standard of morals and ethics so, don’t misconstrue what I am trying to say. No, you don’t go put in hardwood floors at your Asset Manager’s vacation home or send them a Visa Gift Card worth $5,000.00 to their P.O. Box , hopefully if you did they would refuse it but, you do call them regularly if nothing more to just shoot the breeze or say “Hi”.

Let me put this another way, hopefully it will ring true to you. REOPro currently has over 18,000 invites to join our network that are outstanding. In other words, these are members who downloaded their address books in to our system and REOPro system each person an invite to join. By now, we should have blown though our goal of 25,000 member however, I am still only getting maybe 15-20 new members a day. This is contributable to the fact that many of the people who received an invite never got a follow up saying, “check out this network”. Social networking is a lot like that follow up. If you don’t follow up and say “Hi” or learn about people, then why would anyone want to invest in you?

I will leave you with a quote, who it came from, I have no idea but, here it is…….

“A lead will make you some money, a follow up will make you rich”, I like to change that around a bit and say……

“A lead will make you some money, a active social network will ensure your kids don’t have to work”

I always wonder how I became lucky enough to get that first REO property over 10 years ago. Definitely a different market than what we have right now.

Now I watch agents send out stacks of resumes, do BPOs for less than $45 and they are getting the business. Sometimes I question whether or not the banks, asset managers and investors realize exactly what they've gotten?

I tend to think not, particularly when I have a new REO agent in my office stated the following: "I don't spend a lot of time on those BPOs, I just pull up comps in the neighborhood and use the 3 lowest recent sales -- I don't want to do the banks any favors." All I could do was look the agent in the face and say "Wow." All the while reminding myself about the code of ethics and how I would want to be treated if I were that agents client. Although our clients are large financial institutions that may not have a face, they deserve fair treatment, and not the "just give 'em the three lowest comps -- don't wanna do 'em any favors" treatment. I thought to myself, I've been in some of those lowest comps in the neighborhood you used for that last BPO, no wonder the last REO listing you had in my neighborhood was listed so low and an offer came in within hours of placing it in the MLS and guess who sold it too.

This upsets me not only as an agent, but as a customer of these financial institutions and a tax payer that has contributed, and will continue to contribute to the bailouts.

How Not Having the Proper REO Team can Jeopardize your REO Business.

If you have your REO Systems in place and you are experiencing growth, have you considered an REO Team?

If so, what would you consider looking for as you build your team? I have just chosen three tips for this post. There are many more, but I find that these three are important to building a successful REO business.

1. Experience

2. Education

3. Integrity

Experience

How much experience does the potential member have in doing BPO’s? What asset companies have they dealt with and for how long? What about tasks such as Utility set up and ordering services from your vendors? When it comes to the closing transaction tasks, how much experience do they have in dealing with escrow/title companies, lenders and co-agents? These are just a few of the question you should consider when building your REO team.

This is important because the REO market is different for every REO agent. And it is crucial to have a good amount of experience in dealing with asset companies, asset managers, banks, title companies, lenders and other REO agents. I have found that there is a basic flow to an REO transaction, but sometimes there are exceptions. And I have found that learning from that exception, adds to my REO experience. And I can add this to my REO process to reach a successful transaction.

Education

Training is so vitally important. Would you consider adding a team member to your business who already has been trained on various REO portals or someone who you have to train? Time is critical, especially when it comes to tasks such as BPOs or determining occupation status. Do they know the criteria for searching for comps for the BPO?

And when it comes to the contract to close tasks, how much training does the team member have in using various online transaction management systems? Such as EbrokerHouse, SettlementRoom, RELAY, TransactionDesk, TAZAREO, and others? Again, your time is important and having a member who is proficient in using these systems will save you time and money.

Integrity

Enough can’t be said about this topic. Simply put, everyone needs to be honest in their business dealings with one another. I feel that this is a foundation in a truly successful business. If a member is cutting corners to try to get the job done, it will come out in the end. Just a quick example. If a bid (quote) is submitted by a vendor for a repair on the REO property, don’t change the amount when submitting it to the asset company. I have known of this to happen and the person did think they were getting away with it. And since it was just a small amount in the beginning, it was not discovered. So the person felt safe and increased their bid amounts. But when the asset company discovered this, all monies had to be refunded for all of the bids. And of course that agent lost their business with that asset company. A hard but powerful lesson.

I hope these few tips: Experience, Education and Integrity can help you in your search for a successful REO Team.

To your business success!

Roxanne

As an REO broker how can I be more Realtor Friendly?

The REO broker does indeed experience a lot of pressure from the asset managers & companies. It seems that new REO assignments come at times in 'herds' with short-tough deadlines. Yup...been there, done that. So why would I consider taking the time to be 'Realtor Friendly'?

From my self-interest & perspective, being Realtor Friendly saves me time. The most important time I have is the DOM time. My REO listings seem to get shown & promoted first by selling brokers. They have experienced a cooperative list agent, full compensation regardless of list agent referral fees, and most importantly (to me anyway) a 'no war' transaction, which can be exhausting. I believe that being Realtor Friendly negotiates my seller client right-in-to a fast closing! Happy days are here again!

Yes, some selling brokers are hard to work with and need more time than others. Yes, this is a true experience of mine as I'm sure it has been with everyone out there. What I know to be true is that we are dealing with people. Realizing after 10 dedicated years of trying to teach my cat to bark, I no longer argue with the reality that cats don't bark, don't want to bark and cats are happy with a meow. I gave up arguing with the reality that all selling agents (people) should be equally competent, follow directions and have no need of my communication. It is simply NOT the way of it....and never will be.

Being Realtor Friendly is actually quite easy to do. It starts with the understanding that selling agents are a vital part of the transaction equation. They are the finishing 1/2 of the deal. They influence YOUR reputation with your asset manager. If a buyer's agent learns of issues regarding the transaction, they are more likely to keep you informed so you can pass the info on. In my experience, asset managers like and tend to favor a 'no surprise' REO broker. Realtor Friendly means having all of the needed docs and information uploaded on the MLS along with good pictures. Perhaps in the public remarks put "Check this one out with your favorite Realtor!" and in agent remarks might add, " Realtor" friendly listing agent. Questions? Call! Closings are more fun than listings! Do you agree? Let's close this one soon". The open receptiveness coupled with down-home people respect is ultimately your asset managers BEST FRIEND.

Selling agents don't seem to mind or be upset that my genuine motivation is powered by my own self-interest. Short & fast DOMs without struggle seems to earn me more money, which I tend to like.

What Asset Companies look for when considering an agent’s track record?

I have found that when working with asset managers, I have implemented some of these tips. And they help me to have a better working relationship with the asset manager. Can anyone think of more?

1. What is the DOM Average of the agent?

2. What percentage of sales are co-op sales with other firms? a. It should be in the very high 90’s – i.e. 97 – 98%

3. Does the agent have a good track record of finishing tasks before schedule and/or on time?

4. Does the agent communicate in a timely manner?

As a REO agent there are multiple tasks to manage. Through the evolution of methods and systems the written daily "To Do" list is a classic never fail task manager that works. Gather your tasks and intergrate them into a written "To Do" list to be monitored and completed every day.

How it works:

1. Invest in paper and ink. You can use a note pad and pencil or a printout from synced up calendar database.

2. Make a list of current tasks and view the prior day's incomplete task.

3. Assign a catagory of importance and a timeframe to complete.

4. Schedule out your day referring to your calendar and tasks.

Through out your day you can monitor, complete a task by checking it off your To Do list and keep yourself accountable for every minute.

A well organized REO agent that masters their daily tasks by using a To Do list will be prepared for growth and opportunity. A basic concept some what lost in modern technology..you can recycle your paper list or store it for future reference.