Can anyone briefly describe the REO listing process for a noob?
I'm just getting started in commercial real estate. I did residential leasing and management for years but this is a whole new ballgame. I've been trying to establish a client base via the standards cold calling, networking, and scouting. It's going slow so I was looking for additional avenues to sign clients. Using Trepp, I see a numbers of properties and portfolios that are nearing foreclosure or already at REO stage. Is it worth my time to reach out the lenders in an attempt to list the properties?
[{"id": "e676qb9", "text": "Costar is the major communication platform for commercial brokers in my market.  How useful has Trepp been? ", "replies": [{"id": "e69exe4", "text": "CoStar is the major platform for pretty much everybody from what I understand. They have quite a monopoly going as far as commercial listing services go. However, I don't have any listings yet to post on CoStar nor buyers to seek listings for so I can't quite justify the cost yet. (Though I know it is inevitable.)\n\nI'm using Trepp as a free trial to explore it's usefulness for our office as whole. The pricing and user licenses are more of a brokerage level service and not cost effective for an individual user unless your serving high level investment clients.\n\nIt doen't really provide much use for me personally, but I can definitely see the usefulness of the platform for analyzing large investment portfolios and multi-family transactions. Its important to remember that Trepp is not a listing or marketing service like CoStar it is a financial database for real estate finance info. The properties they have data for are almost always multi-million dollar portfolios or larger multifamily properties because the data is from SEC mandated reports from lenders, REITs, and other investment platforms. ", "replies": [], "depth": 2}], "depth": 1}, {"id": "e68iv41", "text": "I sold REO properties for about 2 years across the midwest for the three big special servicers of those foreclosure/REO assets. If youre not in tight with the special servicers then theyre not gonna give you a chance or likely even respond to your email. We would fly out to NYC and Dallas to wine and dine them 1-2 times a year to stay in their good graces. Its like something out of mad men. They just hand out the listings to the brokers who suck them off or who they have personal relationships across the country (not to say they are bad brokers) but its an exceptionally tough club to break into if youre not on a tier 1 investment sales firm team (ie CBRE, JLL, etc). Its just all a big cest pool up there in the REO/SS world. But in all seriousness good luck with everything. ", "replies": [{"id": "e69dn27", "text": "Wow, that sounds well above my head in pretty much every aspect. Thanks for the well wishes though.", "replies": [], "depth": 2}], "depth": 1}, {"id": "e6df6mj", "text": "you can try the smaller community banks.  they tend to go to the folks who bring them business.  \n\nthe big guys are so random, even if you arent fishing for a listing and have a buyer.  they dont even know what they have until it hits proper channels a lot.  ", "replies": [], "depth": 1}]