I repeatedly get requests by many agents, trying to break into the REO business, or for existing agents, who are trying to get more REO business. All of them want to know the same thing. “How do the get more business?”
This is how I do it.
1): Research and identify which banks/servicers/capital firms/credit unions have the most foreclosures in your area. Rank them based on total number of assets in default.
2) Research each bank/servicer/capital firms/credit union and ask them in person if necessary ” Who handles your REO properties”? If they outsource, then get a list of all the companies they utilize.
3) Develop a database of REO contacts, and actively maintain it. Get a Dymo label maker and 5,000 mailing labels and go to town.
4) Create a logo for your team, and then compile a marketing package including your resume, zip code coverage map, contact info, brochure, desk calendar, wall calendar, several business cards, past 90 sales stats by county, and any other items deemed necessary.
5) Send a complete copy of the marketing package with a nifty cover letter to the VP of REO for each bank/servicer/credit union & outsourcer (they use Vendor Managers). BTW, this costs money, postage, envelopes and TIME.
6) Then send them postcards and updated county sales stats on a frequent basis (remember farming your old neighborhood). Continue this as long as you want to get business.
7) Sign up for the main portals, EQUATOR and RES.NET, as well as, the banks/servicers/capital firms/credit unions & outsourcers.
8) Stop whining about not getting any business handed to you. What did you do before foreclosures became prevalent? Did you whine when homeowners decided to list their homes with other agents?
9) Don’t pester the REO contacts with whining, crying, bribes, or general harassment. Send them useful things like information, zip code coverage areas, updates on new laws affecting REO properties, ordinance changes, pre-sale inspections, mandatory city registrations for vacant homes, upcoming tax sales, demolition issues, etc.
10) Do something to market yourself every single day for at least an hour, or better yet, four hours a day, or more. And then keep it up.
PS. They usually don’t like getting emails and phone calls because they are busy dealing with REO properties. Don’t antagonize them.
Oh, one last thing. If you can’t do this, then hire a person to do it for you. pay them a performance bonus based on how successful they are at marketing your team. You will know how successful they are based on your activity.
Great blog, you have some wonderful ideas. I like the way you think and communicate, well done!
Thanks for the tips.