quickbooks - Blog - REO Pro Network

Setting up your REO Properties as Projects in QuickBooks

Posted by Carolyn Nelson on August 28, 2011 at 12:55am

I've been using QuickBooks since its inception back in the 80s. In fact, as I was reorganizing my library of software programs and toys, I sorta drifted back to the beginning of my program collection such as my old versions of SuperCalc 4 and 5, MS Office DOS Version (1988 and 89 Copy), QuickBooks 1988 - 2006, Quicken Invoice DOS and Windows (initial Copies), and more. Ok, back to the topic.

I prefer the method below because it allows me to accurately track each property expense, I can apply the property to the vendor job, and when the reimbursement arrives, I can easily retrieve a list of all reimbursements submitted when I begin to type in the property address. NO MORE SEARCHING THE INVOICE SECTION!!!!!

How to setup you REO properties as projects:

Create each REO Bank as a Customer in QuickBooks.
Right click on the Customer name (Bank) located in the left margin.
Select "Add Job".
Input the property information as follows: property address-asset number (999 Mockingbird Lane - ALS123456789.
Complete as much of the page info as possible.
Save the setup.

TIPS!

Us the Custom Field in the "Additional Info" tab to add your commission information.
As you create new jobs for each project, list it under the "Job Info" tab, this includes the utility deposit, connection fee, membership fee, account number information.
Always include the street address and asset number. Most if not all banks require the address and asset number on each invoice.
You can easily create multiple jobs under each Project (Property file) for easy tracing of work in progress, pending, completed, cancelled, etc.

Carolyn Nelson
Online Real Estate Assistant

REO Properties are not Burdens so Don't Skimp on the Marketing!

Posted by Carolyn Nelson on June 11, 2009 at 8:30pm

Are you a REO agent providing minimal information about each bank owned listing? The bank expects you to market each listing as much as possible so the best possible offer is received. You should never look at an REO property as a burden and/or think little effort is required. Remember, each successful sale contributes to the next listing you receive from the REO Company/Bank.Here are a few tips when listing the REO:• Take the time to take incredible picture of the property. If the property has been de-trashed after the listing, upload the new pictures to the MLS. Do not leave the garbage-ridden pictures on the MLS or your flyers.• Take the time to write about the property and its features. There is more to a property besides the standard, "Bank owned, sold as-is, great property." Write about the upgrades, good features, kitchen, amenities, etc. Give the property much needed attention.• Fill out the square footage and acres if your MLS does not import all of the information from the tax records.• Make sure your email address and fax is accurate.• Always list the docs required from the bank in the broker area regarding all offers.• Create a flyer and upload as an attachment in the MLS.• Upload the offer instructions and letter of intentions as attachments to the MLS.• List the property on various FREE websites. It is a good way to obtain buyers and investors for your database and sphere.• Keep copies (PDF) of all marketing efforts so the banks will know that you are giving your best.• Schedule showings and obtain feedbacks. You will need this information for the MMRs. If your area does not have a showing system, hire one or hire an assistant that can assist with your showings and feedback collection.• If you do not have your own website, consider getting a site through Point2 so you can display your REO listings or have a site created.• Create a network among local agents. Send updated listings to each on a weekly basis. Make sure you have permission. Even though marketing is an effort performed by all agents, I am still amazed at the number that balks when new listing emails are received.Some of these tips appear as common sense but it is not all common.Carolyn Dobbs, www.onlinerepa.com | www.reobookkeeper.com | www.point2close.com

Before you Sign-up for BPOs and REOs

Posted by Carolyn Nelson on June 10, 2009 at 9:00am

Deciding to work with a BPO and/or REO company should be a two-way interviewing process. Brokers and agents eagerly try to get into the business by randomly completing the online or hard copy application process then several weeks or months after completing a BPO, act like a disgruntle employee by complaining to others because he/she/they did not get paid. Well, how much research did you do?You should never leave your business and services to chance and hope. Neither will pay your expenses nor will it guarantee that you will be paid. So what do you do during the initial process while researching and signing up for BPOs and REOs?1. Review the company history (website, financial data, etc) and read what others are writing on various forums.2. Randomly send out inquiries to ten or fifteen brokers and agents (in and out of state). If a broker or agent "outside" of your area/state freely gives the thumbs down, the company may not be a benefit.3. Check with the Better Business Bureau where the company is located.4. Run a $19.99 D & B check. http://www.dnb.com/us/5. Inquire with some of the title companies or closing attorneys in your area. What do they have to say?6. If you have noticed that some of the big firms or a top agent no longer service a particular company, chances are the asset management company is a slow payer and/owes big bucks.7. Talk to some of the property preservation companies in the area, are they being paid in an appropriate amount of time, 14 - 60 days or 60 - 365+ days?8. Review the company's service agreement thoroughly. What are there terms, what is the process for accepting BPOs, how do you submit BPOs, are there any documented instructions, are the BPOs also guaranteed listings (if listings are what you are seeking), what is the rating system, etc?9. How are the BPO and REO process handled? Is it managed through a user-friendly system such as RESnet, IAS, REOTrans, Wells Fargo, or Citi Residential? Let's hope that they are not on the fax or email system whereas it is assumed that your fax or email is received before the deadline and not afterwards.10. Know the phone, fax, and email for Accounts Payable. Get a name if possible.11. Cost - review the cost. If you are going to pay big bucks to join, you should be getting a huge return on your investment. Yes, it does take money to make money but you don't go broke in the process. If you are paying by the zip code, be selective with the zip codes. Don't select areas where there is a high mixture of residential and commercial properties unless you service both.12. Customer service - if you call customer service, is the person on the other end receptive, confused, rude, or hanging out in the twilight zone and need to walk toward the light?13. Read the reviews of your peers. Are the compliments and/or complaints legitimate?Take your time when researching BPO and REO companies. Don't assume that working BPOs and REOs is a piece of cake. All of the agents I work with are hard at work at midnight and back online before the sun comes up most days. It's called dedication. Reaching that level of success did not come overnight. There were a lot of bumps, bruises, missed school events, late dinner, and delayed vacations that paid the price. I'm sure many of the veterans have other questions that should be ask. These are a few I have been faced with over the past five years when I research companies and make general inquiries before wasting my time with the application process on behalf of brokers and agent.ARE YOU REALLY READY TO WORK IN THIS INDUSTRY?Food for Thought!Carolyn Dobbs, www.reobookkeeper.comJoin the BPO and REO Solutions Group!

Managing REO Reimbursements

Posted by Carolyn Nelson on June 10, 2009 at 2:00am

Reimbursement management is very important when working with REOs. It builds a relationship with the REO bank and a committed relationship with your vendors. Too often, brokers and agents will put the invoices in a pile or box and pray for the reimbursement fairy to come along and make it disappear through automatic submission.HELLO! That is not how it works!Working with REOs is a very serious job and should not be taken lightly. Each REO bank has its own policy. You cannot deviate from the guidelines and assume that you or your vendor will be reimbursed. You cannot build a team of providers when you ignore invoices and expect the vendors to idly sit in the background and wait months for payments for jobs completed on properties that are under contract or have been closed.Managing Reimbursement Tips1. Set aside one hour daily to assemble your vendor invoices or hire an assistant to work part time.2. Use an online program for invoice submissions (Drop box or MS Workspace Live).3. Do not use your general email address to receive invoices. Setup a separate email address and make sure it is the only email address used by the vendors. Setup a rule within your web mail program so all emails will be sent to a specific folder and not mixed with other general emails.4. Require each vendor to submit all invoices within two calendar days.5. Require all vendors to include the invoice number and full property address on each invoice as well as the service date next to EACH line item. All invoices should be itemized.6. Require before and after photos for all jobs including initial lawn cuts, de-trash (interior & exterior), securing, repairs, replacement of appliances, etc.7. Processed all invoices upon receipts. Input all accounts payable into the bookkeeping system daily.8. Setup a master account with each utility company.9. Save time with paperwork by paying your invoices once a week and using checks with vouchers. The voucher will list all invoices for the vendor with the property, amounts, invoice number, and description.10. Use QuickBooks Pro to manage your reimbursements and setup each property as a project/job under the client account (reo bank).11. Update your vendor and client contact information upon notification.12. Keep digital copies of all W-9 for easy submissions.13. If the bank uses a word, pdf, or excel reimbursement form, pre-type the vendor information or create a macro that will fill out each form or the form main headers.14. Convert forms to fillable PDF documents.15. Record receivables immediately so you’re A/R aging is up-to-date and accurate.16. Follow-up on all A/Rs weekly and submit monthly statements to the REO bank.17. If the invoices must be mailed, use priority mail, Fedex, or UPS with signature confirmation. Know which invoices were mailed in the batch.18. Retain copies of all invoices submitted with the submission dates.19. Get involved if your reimbursement specialist is having problems getting a response from the reo bank.Build a process to ensure that everyone is paid and happy!The REO Bookkeeper

Tips for hiring a bookkeeper to get your expenses back

Posted by Tammy Yau & Steven Wang on November 12, 2008 at 10:25pm

Being an REO agent you learn that there are a lot of out of pocket expenses that you must front for the bank- utilities, repairs, inspections, cfk, HOAs and even some liens. At any given time you could be out of pocket thousands of dollars. If you are a high volume REO agent, it is best to hire someone to focus on organizing the bills, inputting them correctly into each companies system and getting the reimbursements back from the bank. This could save you thousands of dollars and time that you could spend selling the property!When hiring a bookkeeper, you can post a job via craigslist, an accounting temp agency or even a referral from your CPA. The latter two choices are preferred ways of choosing a candidate. Look at other ads from employers to get ideas for a good WANT ad and be as detailed as you can to eliminate unrelated resumes. You can check going rates for bookkeepers with craigslist, the temp agency and your bookkeeper. Remember, bookkeepers don't have to work full time. Many are more than willing to work 2-3 days or even a couple hours a week.What do you look for in the resume? Look for experience for at least 2 years in the field. Also, make sure the candidate is familiar with your accounting system. If you don't have one in place, an experienced candidate can recommend an accounting system- excel and quickbooks are more popular programs. The candidate you choose will be able to set them up for you. Definitely check their references by calling their previous employers through your own resources. The phone numbers they provide for their references are more than likely friends who will them give great references. Because the hired will have access to your bank accounts, it is also recommended that you do a background check on the person.Once you have them in place, make sure you have some checks and balances to ensure there is no leakage of funds. Sign all the checks yourself, don't give them access to direct funds or passwords for access, have another person or yourself do deposits, deposit all checks separately so that you can itemize each one's deposit receipt with each bill it is related to, and lastly review your accounting reports frequently. I cannot emphasize that you must have some knowledge of your accounting system. You never know when you need to change bookkeepers, handle the books yourself, change passwords in an instant or just know the passwords when they are absent.Here's to truly making a commission on the REOs and not a net of all your expenses you paid!!

quickbooks (5)

Setting up your REO Properties as Projects in QuickBooks

REO Properties are not Burdens so Don't Skimp on the Marketing!

Before you Sign-up for BPOs and REOs

Managing REO Reimbursements

Tips for hiring a bookkeeper to get your expenses back

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