REO: Real-Estate Owned
Generally refers to a bank-owned property.
The REO / real estate world is evolving. More angry people, and MANY happy people. Let's not get on the angry bandwagon of bad listing reo agents so quickly. A stone could be cast in both directions. So many chefs in the kitchen with REOs that it is a team effort, where sometimes there are weakness in the armor, you hope to learn, resolve and grow stronger.
Life of the extreme emotions seems to be lurking everywhere among agents and their clients. Some people have two or three jobs. Writing emails to you at 10pm, 1am or 2am. So many great hard-working people keeping up their end. Then there are others that the lies are so transparent, you wonder how they sleep at night? Having you show their clients their houses to only have an offer come through right after the showing, or people making accusations without merit using language that you would be shocked to hear or read.
You have to do what you have to do. I keep on getting emails from agents submitting their offers to Steve with ... well you know MOST of the BIG REO agents don't even respond to our offers. Steve is small potatoes, so I cannot imagine how busy these people are on the upper end of 20+ listings in reos, but they usually have other agents helping out with two to three assistants. If I am looking through my emails, I always type, RECEIVED if I did indeed get it. Sometimes a flurry of emails comes through and if I don't respond RECEIVE you should probably call and follow up. And you should regardless or text. Email is not always a SURE thing. We don't have the 100 listings, but I have to say, there are some out there that are doing a fantastic job. Others, have their micromanaged system with go to section a or b to download the contract on their websites and qualify with x-loan officer which you may or may not ever get a hold of because they are overloaded most likely. No response on any level is FRUSTRATING. You take the time to write an offer, you want to know what's up. Especially if this is "the house."
BUT unfortunately technology with all it's perks and bells and whistles, sometimes not having that grasp of technology, really can be a crutch for some. Even myself at times. Multiple offers, 10 mb files, assembling and downsizing files to be sent. IT is time-consuming just on this one aspect.
Cheat sheet:- Follow agent notes requests (save yourself some time and read)
- Pre-qual letter in hand ( a real one-and heck even that means nothing at times even with warnings and scrutinty - don't get me started )
- copy of deposit
- proof of funds on all-cash offers (recent)
AGENTS super secret (but not really) cliff notes for REO offers:- Label your files with property name and buyer last name (8164PointLoma_Contract_BuyerName.pdf). DOn't know how to relabel from your company scanner? Usually you just have to click once on a PC and let it come up as a typeable field on the selected file. Where did you save that file from the scan folder, uh that's a whole 'nother issue. :-D
- Scans at 100-150dpi usually do fine to avoid the 15 mb files (300-600 dpi is really out of control on a 3+ page doc): what's a dpi?
- Grayscale or b/w whatever; please no RGB/CMYK color scans. They are HUGE files. Then one has to print, re-scan your file on multiple page documents. Resizing is easy for me on Photoshop for one-page documents and I have Adobe Acrobat Professional, but it can only do so much.
- Scan 11x14 (legal) contracts as separate files from letter sized (8.5x11) to avoid cut-offs (doing 8.5x11 first sometimes confuses some scanners to crop at that size). Multiple files are okay on one email. Labeling is a good thing and a good way of getting your file received and remembered. Unlabeled files are really frustrating when dealing in mass quantity. Yes I know I am a nerd, but it is a repeating issue and my husband is damn lucky for me to be one.
- Embrace your inner PDF. Need PDF software, if you are going to be working in this field, it may be a good investment for those late night or early morning files when you are not next to your office scanner in PDF. To rearrange pages and need just one quick scan at home. Click here. I use Adobe Professional Acrobat PDF maker. And I LOVE IT. But I also have it because I have a design bundle package with Adobe (CSII, Photoshop, InDesign, etc). Steve is slowly getting it for changing jpgs into pdfs and it is a powerful medium.
- Did you get all the initials and signatures even those sneaky ninja initials in the middle of section 6 (example only)? (heck it happens to everyone)
- Verify file sizes so it is not a bouncy-email ball. (you got a returned email; well if it is over 10 mbs, it may bounce).
- Call for follow-up on emails if no response to receipt was mentioned.
- Respond to agent emails or calls (heck even throw in a happy voice just to get a bit Ca-Razy); no email response, pick up the phone and dial the seven (or 10 digits).
It is unbelievable to me how many people don't return calls or emails while in escrow. This goes for everyone (buyers, loan officers, other agent, etc). It is not the usual case, as it is usually great, but lately it has been an issue. If there are issues, be up front an honest so you can adhere to timelines stated in the contract or addendum that are binding to your deposit and agreement to purchase (or periods of inspections).
I have to say WE really have been so lucky to have so many great hard work, kick butt agents working with Steve on the other side of the transaction. That know what is up, are just as busy if not more, and still getterdun! So more calls from your girlfriends cell phone and making excuses that some how you get some emails and don't others, and didn't get that phone call from myself, our transaction coordinator and Steve, just getterdun or ask for help!
We have had more compliments from other agents and that is invigorating, but Steve has four active REOs right at the moment. It is a good time for learning. We ask many questions and are constantly learning more effective tools for time mgmt and contractors bringing properties up to market-ready.
People tired of looking, others want more to look at them. Steve has had success with REOs and
FHA, but it is a LOT OF LOOKING. IT isn't for the faint of heart always. You can get downright cynical, but many people are swimming in the same waters. You will be beat out by all-cash offers, offers sometimes tens of thousands over asking price. People are in shock and disbelief, but at one point some people just want a house and are frankly, done looking. A full-price offer doesn't guarantee you anything. It is good to research your agent on the buyer side. Do they know how to get your offer accepted? Do they write like the bank wants to see it or give you suggestions on how to give you a "leg up" on bank consideration (i.e., days till close of escrow, fees broken down, clean offers, etc).
But MORE importantly are you TRULY qualified to buy a home? This has been a repeated frustrating point of issue with clients. One of our favorite clients just found out her letter meant nothing. Nice. Years wasted and a heart deeply hurt. BUT in light of all darkness, you must learn something to remain sanity. She know possesses the knowledge, that you do have to research and get a 2nd opinion before it is too late. My heart still hurts for her as it is so deceiving, to provide notes to the loan person of points of concern, to have them waived off as "not a big deal, nor an issue." It stings.
Get a 2nd opinion from an unrelated party that has nothing to gain and has a reputation for integrity. Friends are only good business if they are going to do their job correctly and effectively for you. Qualify their language with concrete referrals and/or quiz them on certain factors to deem them qualified to handle your transaction and execute required time lines.
OH and there are other houses out there. DOn't be afraid to expand your search to non-reo / non-bank owned homes. Sometimes it is a good thing to throw out an offer, you never know who might bite.
Thanks to all the amazing people still in escrow and have closed homes with Steve. Sometimes we aren't a good fit for some personality types, but most have been amazing and thank you for your continued work or communication with us. Your personal company was and is still enjoyed when you call or email. Your referrals are priceless and your positive words are invigorating. And even your thoughts of suggestions are healthy ways to improve our service. A different set of eyes and perspective only lends to our improved service for others down the road.
And to end on a positive note, we have met so many fantastic agents in the latter half of the year. I talk to them because of email and updates even though I am not an agent.
Nothing is more fantastic to non-reo properties then to see a letter for the buyer(s). I think it is amazing how hard some agents work their tails off and are marketing geniuses in even their presentation of their BUYERs (yes buyers) in even their offers. Great work. Sincerely. It is good to give KUDOs to each other when you see good hard work. This puzzle of a real estate world needs more like you!!! And a great attitude, honesty and good spirit makes a transaction so much smoother. It makes you a little more excited to pick up the phone or respond to an email. Sounds corny, but it is true. But I think that is for all aspects of life.
www.SacBankRepo.com (advertises bank-owned ONLY)
www.RosevilleAndRocklin.com (our primary website)
So we ventured out today to the new mall (Galleria Mall) to the new stores and new food court area. The Fountains, ACROSS the street, already gets a huge thumbs up from our family. We love the grassy area for the kids to play and also the "fountain" area. It isn't just a catchy name folks where your water can be sprinkled with chlorinated water on a windy day driving down Roseville Pkwy. They have a beautiful fountain central to the shopping area that is synchronized to music in the evenings. Not sure about during the day time. A sure hit with the little ones and tired parents enjoying a bit of peace of spacing out watching water change colors to good music.
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