| Many people think that closing a one billion dollar bulk | | | | supervision of REO disposition. This is the person on |
| REO transaction is an everyday occurrence. People | | | | the top rung of the ladder in charge of REO sales. |
| fail to think about the real implications of this. Do you | | | | You want to get know them on a first name basis! |
| honestly think that your regional bank has that many | | | | Once you are introduced, create good rapport as |
| distressed assets? Have you stopped to consider the | | | | much as you can. By this time, you will need to have a |
| amount of property this entails? | | | | large financial backer with liquid funds for you to use |
| Many new people to real estate investing are also are | | | | for the specific purpose of closing an REO deal. You |
| under the wrong impression that using words like | | | | will not build trust if you do not have adequate proof of |
| 'billions' will get you more clients. Packages of Bulk | | | | finances. Once you hear of an package of assets for |
| REO deals over 100 Million are not common. The | | | | sale, you need to quickly to make sure you are ready |
| majority of bulk reo packages range from as little as | | | | to close a deal. Timing is key, and if you delay for |
| one hundred thousand dollars (100K) to ten(10M)million | | | | even an day, you may not get the deal. These types |
| dollars. These packages contain from 5 to 200 pieces | | | | of deals are hot and news does travel fast. |
| of property. This means that many more people can | | | | If you know how the bank reports their financial |
| take advantage of buying and selling bulk reo assets. | | | | reports, will also help you in putting together your offer. |
| Lets take a look at how. | | | | Banks want to report good financial earning and |
| The first technique is to create and maintain a good | | | | remove bad assets from the books before reporting. |
| relationship with one or more banks. Getting to know | | | | Once you know the bank schedule for the end of their |
| the correct people in the banking organization is the | | | | particular financial quarter, visit them a month before |
| first step. Regional banks and credit unions are a great | | | | and get the word out regarding your interest in |
| place to begin. A great relationship with your banker | | | | purchasing REO property they may have. Once you |
| may take somewhere in the range of a few weeks | | | | get a total perusal of what they have available, make |
| to a few months. The perseverance you invest in | | | | an offer. Make sure you give your next highest offer |
| creating and nurturing a great business relationship, will | | | | and not your best offer in the beginning. You need to |
| truly pay off like no other relationship has. | | | | leave room for negotiations. However, once the bank |
| Your goal is to get to know how the bank disposes of | | | | has acquiesced, close the deal immediately. |
| bad assets. There usually is a person in charge of the | | | | |