We as REO agents, learn either through experience or someone else helping us out, that we need to work well with our asset managers/banks. We may not always agree with their decisions and sometimes the time frames of getting the task done or the contract signed may not seem reasonable. But hey, just like with any other employee in the business world, we are paid to do the job they need done. We also know that a good reputation in the REO business is priceless and a bad reputation would make you worthless. I don't know anyone who can afford to "kiss off" a bank they work with.
I have a deal going on with a bank that has tightened its belt on deadlines for how long they will give a contract to be signed. The buyer's attorney needs to get the contract signed and back to the bank within a week. Okay, seems like there should be enough time, but the contract pkg came into my tasks late Friday and Monday was President's Day (that knocks 3 days off the week). The attorney is at a class all day on Friday; that's another day lost. So now we are at 2.5 days. Attorney's for the other side always manage to get the job done quickly when it's them who wants to do the squeezing. It's now Tuesday afternoon and the buyer's attorney gets the contract. She has 2.5 days to get the job done or the bank is canceling the deal. Now the buyer can resubmit his offer if the deal gets canceled.
What really got me was twofold. One, the lawyer said that there is no way to get a contract read and signed so fast. We all know that REO contracts are usually standard and are quick read for attorneys familiar with them.
Second, I'm trying to explain the bank's position to the agent and the response I get is," I shouldn't have to put up with stuff like that. Doesn't the bank understand." And then he proceeds to advise me to let go of this bank as a client. It just blew me away. The light bulb went on in my head; these agents just don't get what the REO business is like at all. You don't just blow off a client because others don't like the rules. I tried to explain what ticking off a bank could do for my business. And his response was, "Well then you don't need them. There is so much other business out there." Yikes!! Somehow I don't think he would want to share his overflow of buyers with me.
I will do my job the way it needs to be done and if that doesn't work for this agent/buyer than so be it. Another will eventually show it's ugly head.
Comments
I am with you 150% . I have asked that 100x, that REO agents and banks use standardized forms! It protects the asset manager too! Full mutual disclosure is key.
Even in a standard sale I have noticed how fast the "selling side " wants it. When it comes to working with my buyer and THEY NEED IT DONE (or their lender) , the seller drags on.... I guess we have to support the party we represent. I think part of it too is the perception that REO agents have it easy and buyer's agents have to struggle...hence the willingness to complain about REO agents.
Something we REO Listing Agent forget is that there are many agents out there that have not been exposed to REO transactions, have not had ANY training on how they work and little real supervision from their own broker, much less able to ask detailed questions to. If we would just slow down a bit to explain how the process will take place (and remember every bank/lender has a different process too) BEFORE any offers are sent, the entire transaction will go a lot smoother......most of the time.
I took teh NAR SFR class and the instructor as most of the agents there didn't know how to submit or work a REO transaction, They just started complaining and it almost felt like a lynching mob ready to go and hang all the REO agents in the area.
REO and Short Sale transactions are different and the buyer agents have to understand that. it would make the transaction smoother for all. Also it helps to disclose to agents the differences between an REO transaction and a standard transaction, I know a broker in my area who has a great disclosure that buyer agents and brokers need to sign and he explains the process and the differences step by step in a few pages.
I remember when I started in real estate I made my living selling HUD homes to teacher, policemen and investors. The HUD guidelines help me understand the process and the differences between the a HUD transaction and a standard transaction, starting from contract all the way to the closing. The HUD guidelines were fool proof even for a rook realtor like me back then, that I was not able to messed up if I just follow the instructions.
Put a little bit of a smile on your face like you were scripting a phone call, stand up and be happy and see the results change... Act like and attorney and you get ATTORNEY RESULTS... Me, I am proud that I get people to smile and laugh at how hard the business is for all of us right now. I know (YES KNOW) that when I hang up the phone there is going to be a good result...
If your an asset manager and want a new team in San Diego... call me I will make you smile.. and get the Job Done... faster with happier clients.. every time...
The REO market is strong in my area and the properties usually go under contract quickly, multiple offers are very common, if it is the same in your area you might need to remind him he could easily lose the property to another buyer. I think we all have similar issues like this from time to time and sometimes attaching or printing in the “Realtor only remarks column” the timelines and expectations could help avoid some of these type issues.
Now to make him understand where he is off base, a simple comment like “I would rather lose 10 of YOUR buyers than one of MY banks” just might shut him up.
Good luck!
Good luck, thanks for your rant and hopefully things work out.