Growing Your REO Business

Here are five traits that successful REO brokers and agents have in common.

March 2014 | By Windy Keefe

 

Bank-owned inventory is slowing nationwide, but markets with higher levels still exist and are in need of REO agents and brokers to service them.

According to Clear Capital’s Home Data Index, over the last 3 months (December 2013–February 2014) 14.3 percent of all sales were REO. While this percentage has improved, it’s still higher than pre-crisis levels, which hovered around 3 percent. At the metro market level, many still see elevated REO saturation rates.

• Chicago: 25.6%
• Detroit: 25.1%
• Dayton, Ohio: 24.2%
• Miami: 18.7%
• Atlanta: 17.9%
• St. Louis: 17.4%
• Cleveland: 16.5%
• Columbus, Ohio: 16.5%

Listing REO properties continues to be a relevant, highly sought-after skillset. Brokers and agents with this expertise should make it known to those in need – that might mean changing the way you market your business.

Asset managers seek out brokers and agents through their own database, referrals from their current agents, local mortgage contacts, Google, or networks. Because time is of the essence, many reach out across all channels to find the best fit.

REO brokers and agents want to be found so they can start building this relationship, earn business and trust, and become part of an asset manager’s database.

After watching REO brokers for more than a decade through my work with REONetwork.com, I notice the most successful have these five traits in common:

1. They market themselves across all channels. They are marketing themselves online and at conferences, expanding their networks — whether on social media, like LinkedIn, or at one of the major REO conferences. They continue to nurture these relationships, engaging online throughout the year, by phone, or in person on the exhibit hall floor at conferences. Because the Internet is a key channel, marketing-savvy REO brokers and agents ensure their online profiles are updated, as well as licenses and insurance. Their bios always promote their REO experience, services, and education, and include a professional, friendly photo.

2. They have a positive attitude. REO brokers and agents are a pleasure to be around. They view their jobs as helping people (and helping banks). They are problem solvers. They also have good relationships with their competitors, but always try to be better than their competition.

 

Read the entire article at: http://realtormag.realtor.org/sales-and-marketing/feature/article/2014/03/growing-your-reo-business