Bank REO Departments

[kelvincrav]

I am new to real estate investing and am in need of some help.  I am in the Los Angeles Area.

What ways do I have to get in contact with Bank REO departments?
I have called several companies and have gotten nowhere.

Should I find an wholesaler in the area thta I am focusing in? Or should I find the properties myself?

Lastly should I do hard money or conventional loans to do my rehabs?  

[yrush2000]

most REO's are done thru realtors so start calling them and find one that deals in REO..

[LAdreams]

In Georgia we have companies such as www.southernreo.com .
This is a company that specializes in the maintenance of REO properties for the banks. They list their properties on the net.

With that said, try an internet search for "California REO Maintenance" or replace the word "California" with the counties/cities where you are looking for prospects.

Good luck!
-Larry

[rayr]

I specialize in working directly with the banks / lenders, I haven't had luck in the past with REO real estate agents.

Where do you want homes and what type of homes?  I will send you what I know of now or when I receive property lists in the future for your area.

Go Get'em!
Ray Rochefort, mgr. mem.
Purpose Investments LLC

[ewood]

A good broker will help you find what you need.  After all that's what they're supposed to do.  For example for serious investors always looking i put them under an exclusive buyers agreement (which benefits them anyway) and  I will hire someone that just searches properties for them.  Once something is found we'll email over a report and a decision can be made from there. 

For investors buying an investment property here-and-there I keep those people in mind when I run across something I know they may like and is a good deal and give them a call.   I also make sure they receive notification of properties that just hit the MLS whether bank owned, private sale, short sale etc because you never know where that next good deal will be found. 

One thing I hate as a professional are investors that bounce around from agent to agent or constantly searching for that secret hidden list of properties.  For one if someone shows me loyalty I'll bend over backwards for them.  After all if I run across a really good deal would I give it to a loyal client or someone that just calls me every once in a while.  As far as the secret list, bottom line banks these days need maximum exposure for their properties and where they're going to find that is the MLS.  They would be cutting themselves way short if they didni't list their REO properties. 

And for those people who call off the listing signs beware because that agent has the sellers (their clients) best interest in mind.  If representation is free for buyers make sure to have an agent on your side that has your best interest in mind.  After all if you were in court would you use the opposing sides attorney?

[jmd_forest]

What happens when you have 3 loyal investor clients....Which one gets the deal? If I only deal with 1 agent how do I even get considered for the deals from other agents in other agencies?

When dealing with agents be aware that unless you (AS A BUYER) are paying them as a buyers agent they are getting paid by the seller. Even if you've signed a buyers agency agreement, where do you think their allegiances lie?

Agents are not lawyers and cannot give you legal advise. Very few agents are investors  or have any real idea of what constitutes a good RE investment and why. Most have NO idea what constitutes cashflow or expenses in a RE investment property. Their job is to sell RE to the first buyer acceptable to the seller, not analyze your potential investments for you.


jmd_forest

[ewood]

I can see your point in what your saying. 

It's pretty rare I have three clients that like the exact same properties.  There are a number of factors for that such as taste, financial means, if they're in the market at the time and the area.  If all three match up then yeah it could come down to who meets the sellers demands such as quick closing, no contingencies, etc.   Then after that and there's still 2 or more investors well then it's pretty rare.   Even so sometimes I have to run the property by 7 or 8 investors before someone wants the property.  Like my uncle once said, "you could go around knocking on doors handing out $20 bills and some people wouldn't take it"

As far as agents and brokers go, they're just like everyone else at work.  There are good one and there are bad ones, some you click with and some you don't.  It's important that you find someone that you click with and  will work for you and has your best interest.   Because we rely on so many people in a real estate transaction (title, escrow, appraisal, loan officers, home inspectors, home warranties, etc) I try and surround myself with people that know what they're dong can get the job done and those people are hard to find.  So when I do find someone like that I'm loyal to them as my bonus back to them for doing a good job.  It's my professional "blackbook".

If you ever find an agent/broker you like and trust I think it's in your best interest to sign the exclusive buyers agreement - after all isn't a contract both parties performing otherwise it's not a contract...? 

Agents and Brokers are not lawyers generally, however I do have two lawyers that contacted me a few days ago to hang their agent sales license under my brokers license.   They're interested in real estate, want to be mentored learning the business and will probably use their knowledge and RE license to save themselves and family money when buying/selling property.

Your right many agents are not investors or want to be investors.  I know some of the best agents and they could care less about owning property, and I know agent that invest heavily.  Some of the best agents don't own investment property but they know everything about a particular city like the schools even down to the principals, the city plans of whats going to be built, the vibe of each neighborhood, and everything else about the community and those agent are great for finding homes for your family.   

Bottom line I think just like in every other professional your looking for just like that good CPA, Doctor or Attorney there are good ones, bad ones and different specialties in each field.  Once you find a good one you count on them and they count on your support.