Archive for December 2011
REO: The Market’s Next Big Thing
If you are one of the many real estate agents who worry about your future, then you should start rethinking other markets to pursue. Selling alone, is not ideal in today’s market because of the many sellers in the market with very few buyers. And even if you make a sale, the earning would not be as satisfactory as it was in the past. This is why you should start looking into other opportunities.
What is an REO?
This is an abbreviation for Real Estate Owned, which is another term for bank owned properties. These are the properties repossessed by the sellers because the borrowers failed to settle their obligations, which ultimately lead to home foreclosure.
You may have read about this in a real estate blog as the next big thing. Why, you might ask. Well, the answer is simple, the number of REO properties have risen in the last couple of years. Collecting foreclosed properties is not good for lending companies and banks because they do not earn anything from them. This would even lead to additional expenses on their part. In order to convert these properties to profit-generating assets, they need the help of real estate agents. The chosen agents will not only be hired to sell the properties. They are also expected to render other services that the lenders will deem necessary. Such additional services are paid, which means more opportunities for earnings.
How to earn from REO properties?
Lenders will need a lot of help to deal with their REO properties. A subscription to an REO blog may be helpful but it will not replace what an excellent REO agent can do. One of the things that the lender will need is a BPO or the Broker’s Price Opinion. This is different from an appraisal as the delivery of the report is faster. The real estate agent will look into the area where the property is located. Other factors like the property’s features and overall appeal will be considered as well. After the analysis, the agent shall determine the market value of the property.
Maintaining the properties are also great ways to earn from REOs. However, it is essential that the agents have the skills to properly maintain the property or has a strong network of people who will be responsible for the up keep of the properties. More things will be needed from the agents. There is no need to worry though. Everything you need to know to be the best REO agent and earn promising amount from this market is available in the book, REO Boom.
The REO Boom:
This is a book written by Aram and Tim Shah. Both have benefited from the opportunities presented by REO properties for the last decade. The book allows them to share their secrets to success, consequently, helping other agents earn more even in this type of market.
This book can help an agent learn about how to become an REO listing agent. Becoming a certified listing agent gives him access REO property and lender information, which is a key for success in REO market.
There are a lot of opportunities in REO that are just waiting to be exploited. Invest in a copy of the REO Boom and start earning the amount you didn’t think possible in this type of market.
REO Boom: A Great Opportunity For Real Estate Agents
The last couple of years have been difficult for many real estate agents. The competition in the market is tough. There are a lot of sellers in the market while there are very few buyers. Making a sale and profiting from it became extremely challenging. But what many agents have missed is a great opportunity opening for them courtesy of the boom in real estate owned or REO properties.
But first, what is real estate owned or bank owned properties? REO properties are acquired by the lenders after their borrowers have defaulted and foreclosed. However, these properties will not be profitable unless sold. In fact, keeping REOs would entail additional expenses for the banks or lenders. And in order to sell these properties, they need to hire competent real estate agents.
Why become an REO agent?
As mentioned above, it is difficult to sell properties today. This makes it a difficult time for many real estate agents. However, the REO Boom has presented an opportunity for agents to earn. Banks and other lending institutions are continually looking for talented agents who can sell their properties and earn in the process.
Many are aware of the opportunities available in the said market. The many REO blogs are just some of its manifestation. Although this is the case, very few agents are aware of how to earn significant amounts from bank owned properties. If you want to take advantage of this niche, then be the best agent in the market. You can become one by educating yourself. Take advantage of the useful REO blog online. You can also benefit from inexpensive resources like the book, REO Boom. This is a worthy investment that will give you trade secrets, tips and guides that guarantees success.
Become an REO listing agent:
Bank owned properties offers a lot of opportunity for success. But before that, you need to become a certified REO listing agent. The book, REO Boom will give you details as to the process of becoming one. This enables you to access such listings from different banks and other lenders. The roles and responsibilities of a listing agent are not similar with that of a typical real estate agent who help in selling the properties or representing the buyers. They also do tasks for the lenders such as maintaining and securing the properties.
The BPO;
Lenders also use BPO or Broker’s Price Opinion. A BPO is a report used to analyze the different property prices in a certain area to determine the market value of a property. Banks will hire agents to put together a report, analyze them and determine the actual value of a property. This is not as easy as it seems. The agent has to collect relevant data, analyze and test them. They are paid per BPO. This alone, allows an agent to earn significant amount, which is why agents should know how to make accurate analyses. The agents also benefit from this because this gives them access to various REO listings.