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No joke, I was actually told, “no thank you” by a Agent who I offered a lead to.

So, here is what happened.

As many of you know, I have been looking for some agents to work some leads we got in from our investor.

These leads are as hot as they come. Basically a buyer / seller searching online comes across the investor website and ask to be referred to a local agent who will provide them a FREE CMA on a home they want to buy or sell. REOPro then turns around, and distributes the lead, manages the lead and helps it get to closing. We don’t get paid otherwise.

Well, we had no one in RealtyPilot (the REOPro platform) that worked this zip code so I searched the REOPro.NING sit. I found an agent, called him up, offered him the lead and he actually said that he was tired of paying for things he would never use and declined to take the lead.

Just so you know, the lead wrote in the comments section of her application for assistance, “I want to list and sell my home”

Now, here is what chaps my cheeks. To get the lead, all he will be out is the $30.00 a month from RealtyPilot…that’s it. In fact, once he is done working the lead, he can cancel his subscription, it’s not like RealtyPilot has long term contract but, he was so oblivious to who I was, to who REOPro was, to who RealtyPilot was, to the nature of the REOPro / RealtyPilot alliance, he complete lost a great opportunity.

Now, here I am, with a lead….a seller, which is as hot as they come and no one from my network to work the lead. Now I have to go to REORedbook, search through the database and hopefully get myself a agent for a handout!

Honestly, I should have known better to call this guy. He had zero blogs, zero forums, zero comments and his profile didn’t even have his website, phone number or contact information.

Why is it, I have to go and find agents when I have leads to give out? Don’t tell me it’s because you have to pay for the technology platform. If its that much of a cost for you, cancel when you don’t want to use it. This way, you’re only out the $30.00 a month when you actually have a lead to work however, understand…….I am not going to go out looking for you each time I have a lead, I provide those people in RealtyPilot the first opportunity.

As amazing as the headline sounds, as crazy as it would seem, it has happened. Let me explain…..

Affiliate Broker Jane Doe has been a REO agent in her local market for 17 years. She is an extraordinary REO agent and her longevity is a testament to that fact. She trusted her broker, she believed in their partnership and knew that their commitment to each other was steadfast…………..until, the economy took a nose dive and, the broker’s business dried up!

You see, Jane Doe had always worked under her broker as the REO Team Leader for her broker’s firm, managing a small team of 5 people. She was completely and utterly responsible for all the REO business that ever came in to this firm. She traveled to all the conferences, went to all the parties, wrote some amazing blogs and even was on television a couple times being interviewed by Fox News, CNN Money and Fox Business. She was and is the face of REO for this brokerage. In fact, her broker often jokes that without her, his business would have failed because all they do now is REO.

Jane Doe called me today in horror. Her Broker took over her role as Team Lead, confiscated all her files and called all her Asset Management companies and told them she had been fired due to unlawful business practices while convincing these Asset Management companies that they had nothing to worry about with their listings because he was in charge and working the files.

Yes, you heard me correctly. This Broker, destroyed Jane’s career, took over her listings and thwarted her ability to start over from crash in less than 4 hours.

Her attorney is telling her, she has no real recourse because she is an “Affiliate Broker” and these listings, contacts, relationship don’t belong to her, they belong to her Broker.

So, why would a Broker do this, why would a Broker turn on their money maker?

Well, they are in a highly competitive market and just this last year, sales are down 72%. The Broker was going to have to close his doors and shut up shop so, he got rid of her and took it over himself to reduce cost.

Make no mistake my friends, you best make sure you got your relationships squared away in writing and you better make sure you now that as an Affiliate Broker, your business isn’t your own.

Just to add insult to injury. This Broker contacted Equator and RES.NET and was able to reset her passwords and accounts and locked her out.

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.

Read all about it at http://portal.hud.gov/portal/page/portal/HUD/press/press_releases_media_advisories/2009/HUDNo.09-231

This "Safe" act appears to be yet another way that the federal governmentwill inhibit the free market. The concern is that this will inhibit an owner from selling their property themselves, and carrying a contract on it. I believe we must remember when inflation sets in, and dont be fooled it must set in in order to get all of this printed money back off the streets, or our dollar will continue to devalue itself, our industry, and our sellers will turn to the "Real Estate Contract" to level us out. We mus all remember the savings an loan fiasco, and what happened then, interest rates soared in to the high teens, and low 20 percentile. How many of us have buyers that could afford that right now, so it will be imperative to keep the housing market alive for sellers to be able to carry contracts, and be able to keep the flow.

I believe that we must remember that wherever there is a buyer and a seller willing to negotiate, that is what keeps the market flowing, not our federal government stepping in with yet another regulation.

Thought I'd put this question out there because in the past 6 months, I have shown at least 3 houses that I believe were Meth Labs. None of these homes were my listings and in bringing the topic up to the listing agents, I got a reaction like "okay thanks for telling me" and I had the feeling that these agents did not have a clue as to: 1. The fact that a "meth lab" can be located in any neighborhood, within any class and income level; 2. What the signs and symptoms were 3. The possible serious effects of being exposed to a past or present Meth Lab;

5 Signs Your Listing May Have Once Been a Meth Lab

http://styledstagedsold.blogs.realtor.org/2009/07/16/5-signs-your-listing-may-have-once-been-a-meth-lab/

Are you living in a former meth lab?

http://methnews.blogspot.com/2009/07/are-you-living-in-former-meth-lab.html

This is a gray area as far as disclosure, because an agent may have no clue they are even showing a current or former Meth Lab and as you have heard recently, there are horror stories of buyers purchasing homes which have been used as Meth Labs that have caused them to become sick; Some have even had to "walk away" from their house because of the sometimes very expensive remedies for correcting a house with traces of meth throughout. Before you say, "how could an agent not know they are showing a Meth Lab", read the following fact:

Meth Labs can be setup in a small space such as a closet, a box, garage and any small area of a house; How many of us have showed our buyers a house that has that one locked room where the Sellers say they have valuables or "weapons" and will not allow access; As an agent, I have gotten into the habit of scanning a room before I enter it and also reading the body language of Sellers. That is why on a recent showing, when me and the buyers were about to enter a home where Sellers were present, the first thing I noticed was a "pantry" near the entrance to the kitchen that had 3 hinges on each side of the door with a pad lock on each hinge; VERY STRANGE; My antennae went up that they this was possibly a Meth Lab based on the fact that the husband made sure we did not get anywhere near this "pantry"; The husband had physical symptoms: rotted teeth, an emaciated appearance, and a sunken face, however, these could be symptoms of some other illnesses or problems, so I don't solely rely on a person's looks; The convincing point came when me and the buyer walked a few steps into the kitchen and the smell of rotten eggs and ammonia overwhelmed both of us; In addition, our eyes starting burning; I quickly asked my buyer to come outside with me and on the way out noticed the blue discoloration around the fire extinguishers; I explained to her that I believed the home had dangerous fumes that I did not want her or myself to be exposed to and kindly informed the Sellers we were leaving; As I am not a "Meth Expert" and only rely on information and previous experiences to determine whether a house was or currently is a Meth Lab, I did not pass this opinion onto the Buyer or Seller.

A question I pose to other agents on this forum is: Have you been in this situation and would you disclose to a potential buyer or seller that you believe a property is a "Meth Lab"? I'd love your feedback.

It doesn't matter if REOs are here to stay or short sales are the new REOs. It's the sense of helplessness that it brings to the homeowners and agents alike.We are talking about the new revolution in real estate.

Will you be a fighter?

And yet, a new model of real estate snuck up on most of us. It started with a small band of rebels, the ones who threw away the old, tired rules and instituted fresh new ones. The rest of us stood by and watched, some of us in horror, some of us in awe, most of us hoping the rebellion would be short-lived, that soon we could return to the old model and the old way of doing things. But the rebels’ voices became louder and more strident.

They called it ‘The Short Sale Revolution’

Ultimately, we couldn’t do anything but notice.To notice, though, is not to accept.

First, we had to go through the 5 Stages of Grief.

Denial
Anger
Bargaining
Depression
Acceptance
At first, we entered a state of denial. This can’t be happening, we said to ourselves. And even if it is, it won’t last long.

Then we got angry ... good and angry. At the banks, at Wall Street, at Washington, at buyers, at sellers ... at the unfairness of it all. Why me? we whined. Why real estate? Why my profession? Why now?

Then we bargained for the old ways, stuck to our business models, and dug in our heels. Wishing and hoping all the while for everything to return to the way things used to be.

Towards the end, we became depressed, wondering if anything would ever be the same again. We experienced feelings of hopelessness and frustration. We mourned the loss of business and the putting off of dreams. We felt a lack of control and were confused about what to do next. Sometimes we cried. Other times we yelled and shook our fists at the sky.

Finally, realizing change was here to stay, we accepted the truth, and more importantly, understood it wasn’t our fault. We began to look for solutions. We started revising our business plans, throwing out what didn’t work, and trying new ways. During the process, we adapted to the way things are and not the way we wished them to be. We also learned that this is an ongoing process. If ‘this’ doesn’t work, maybe ‘that’ will. The learning curve is steep. The rules change constantly. We have to adapt every minute, every hour, every day. And we have to remember that we’re not only reinventing our business but reinventing ourselves.

What happens when foreclosures and short sales work their way out of the system ... one year, two years, three years from now? What then? Will all our hard work be wasted? Not in the least. Because we will have survived and become stronger for it. And we’ll be better at what we do.

It’s the dawn of a new era. Welcome it. Embrace it. Spit in its eye when you feel the urge. But keep on ‘keeping on’. The real estate market is here to stay, and so are we.

Need help in Southern California short sales, reos, loan modifications

call me

Carmen Cooley Graham 619 218 7390

Keller Williams

DRE # 012961519
Don't be a victim I am here to help.
www.Carmensellssandiego.com

carmencooleygraham@yahoo.com

The key to mainstreaming green homes is to make sure that consumers understand the value of green upgrades — how cost-effective energy efficiency can be in the long run. Consumers want homes that are environmentally friendly and home values should reflect the increased savings.

Better Homes and Gardens

• 2% of consumers are planning to have high-efficiency heating and cooling in their next home
• 3% are planning to have high-efficiency appliances
• 3% will have geo-thermal heat
• 5% said energy-efficient heating and cooling will be more important to them
• 6% said Energy Star appliances will be more important
  

Appraising Green

Most state energy and public utilities offer incentives, rebates and tax breaks for energy efficient upgrades. Realtors should suggest that sellers take advantage of these incentives. Consumers clearly want greener homes and agencies offering rebates can document the projected savings. This can be a powerful sales incentive in a market where value
is king.

REsourced from www.yourpropertypath.com
You may republish this article, as long as you do not edit and you agree to preserve all links to the author and www.yourpropertypath.com

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Green Kitchens: How to Do It; Why It Matters

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BPO MILLS, ARE VALUABLE TO THE REO AGENT/BOKER?

More often then not, I hear agents and brokers say that BPO mills are a waste of time because they don’t lead to listings. I, at one time felt the very same way. However as my business has flourished and Reo Listings are more abundant for me than they were a few years ago when I was breaking into this business, my views have changed.

BPO mills are extremely valuable to my operation and will continue to be a intricate part of the success of my business. They are valuable because they provide a training ground for agents within in my team, and those looking to be added to my team. The agents also get paid for the training.(For Example 50 drive by, my agents get 40 if the bpo is turned in on time and not rejected, for each rejection 5 bucks is taken off.) As the experienced REO Broker will tell you, as well as any Asset manager, REO begins and ends with a Good BPO. As REO agents, and Brokers, we are as strong as our weakest link. Your link starts with the BPO, therefore the more agents on your team that can do quality BPO’s, the better off you are for taking your business to the next level.

BPO mills are great because the have their own built in quality control and QA. What better training could one provide for agents looking to join their REO team? Further more this also allows you to determine when your team member or agent is ready to complete BPO’s related to listings.

My concept is simple, get your BPO’s done ahead of time, and on time at the very least, without rejections and your on your way to being added to my team of REO agents. Well, it not as easy as that. I require my agents to complete a min number of BPO’s per month from BPO mills. This allows me to continuously monitor and evaluate agents on my team. It also gives the ability to assign co-listing agents to those that have proven themselves worthy, just as all of us have as REO agents.

The more agents on your team you have trained, the better off you will be to effectively handle the massive volume that many of us will see. So, the next time you get that email from a bpo mill, consider accepting it to train another. After all, like I said earlier, your as strong as your weakest link. How many REO’s can one persons effectively handle, vs. a team of trained agents? I’m ready for the volume and to take on more. Are you ready?

Very Truly Yours

Jonathan Burgess

Code 3 Real Estate CEO

I have been lurking out on Active Rain and there is currently a heated discussion of GMAC's ability to retain a buyer's deposit in order to keep them from walking out. Most of the drift is that if they made the short sale process more efficient, then buyers would not walk. This is not right usually at least in a short sale because the bank just " approves" the sale. Make sure you specify things correctly in the contract.

CAR however decided to issue a legal opinion about this sort of thing and I have reprinted it here from an e newsletter that I received today:

NONREFUNDABLE DEPOSIT DEEMED INVALID

An agreement for a "nonrefundable" escrow deposit is invalid and unenforceable, according to the recent California case of Kuish v. Smith (2010 WL 373225). This case serves as a good reminder for REALTORS® that inserting a "nonrefundable deposit" provision into a real property purchase contract may be legally ineffective.

The Kuish case involved a $620,000 escrow deposit for the purchase of a $14 million oceanfront home in Laguna Beach. Instead of using a liquidated damages provision, the buyer and sellers merely agreed in the purchase contract that the deposit would be "nonrefundable." According to the trial court, both parties were "big boys," meaning that they were "sophisticated business people [who] understood all the ramifications of their actions in freely negotiating to make the [deposit] non-refundable."

The buyer eventually cancelled the agreement. The sellers refused to return the deposit to the buyer, even though they sold the property to someone else for $1 million more.

The buyer sued to recover the $620,000 deposit, and won on appeal. The court stated that "any provision by which money or property would be forfeited without regard to actual damage suffered would be an unenforceable penalty. To construe the term 'nonrefundable' to establish [the sellers'] entitlement to the full deposit without regard to actual damages would essentially create a liquidated damages provision." Yet, the parties in this case did not separately sign or initial a liquidated damages provision.

Under C.A.R.'s Residential Purchase Agreement, the sellers would have been entitled to the escrow deposit (not to exceed three percent of the purchase price), if the parties initialed the liquidated damages provision, and the buyer had no contingencies or had removed all his contingencies. For more information about liquidated damages, C.A.R. has a legal article entitled Liquidated Damages and Deposit Forfeitures, which is available in English, Chinese, Korean, Spanish, and Vietnamese.

More times than not it seems as if Fannie Mae REO’s are priced extremely high in CA, compared to list prices of other REO properties. Sometimes understanding why something is done is half the battle, and it helps ease the frustration of completing a excellent BPO only to have the client list the property 20K higher than suggested list price.

A few months ago, I had the opportunity to sit in on a conference call with Fannie Mae representatives and it all became clear as to why their properties in CA are listed so high.

The current mission of Fannie Mae is to bring about neighborhood stabilization, and preserve neighborhoods. In conjunction they want to lessen losses; however one cannot be accomplished without the other. So what does this have to do with overpricing homes in California?

Fellow agents now that you understand, don't get frustrated, keep doing your BPO's and just remember, the comps don't lie, and true market value is what a ready, willing buyer, is willing to pay for a home. I have been quite surprised by my last two list prices, as they have been rather aggressive. I’ll keep you posted.

Let me leave you with these word of wisdom. What’s good for Fannie, may not be good for Saxon, or Aurora, and ultimately not good for you. Stay tuned for my next blog and I'll explain.

Remember this, “ If your going to thrive in any market, knowing where it is going, and how to position yourself will be key for your success”

Very Truly Yours,

Jonathan Burgess

Coed 3 Real Estate

Broker/CEO

This same information, but given in a two hour presentation by a totally different source, is a real eye opener of the level of deception being fed to us.

The attached video talks about just one of the 'Sweetheart' deals the FDIC has made. It has similar deals with over 52 banks.

So all the talk about Loan Mods......Window Dressing.

According to DSNews, which by the way has no article about the back door deals being made, but does have several articles on different institutions buying up defaulted loans......gee I wonder why.

http://www.thinkbigworksmall.com/mypage/player/tbws/23088/1006278

Lennar Corporation, a Miami based homebuilder, is getting into the loan restructuring business by purchasing two loan portfolios from the FDIC with a combined unpaid balance of $3.05 billion for $243 million. That's 13.03 cents on the dollar.

It proves the old addage that "It takes money to make money."

Read more

http://www.mercurynews.com/business/ci_14360027?nclick_check=1

Article courtesy of "CAR's Market Matters"

I have seen and heard of homeowners who are renting rooms for extra income. However, if the banks accept that for income- in the case of a loan modification- it will probably be a temporary fix. Let's say the tenant or tenants leave for some reason, what will the homeowner do if they cannot pay their mortgage again? I visited a homeowner who had 5 tenants living with him (one slept in the living room).

Also, if the home does end up foreclosing then the banks will have a tough time selling these properties because many cities have ordinances for tenants living in foreclosures.