All REO agents strive to close their sales in the most seamless manner possible, but sometimes even the best efforts can’t save a REO deal, where everything that can go wrong does. This month, we reached out to some REO veterans for their REO agents horror stories and listened in awe as they described how they handled some of the trickiest jobs around.
Rebecca Casey, Casey Castles, LLC
“One of my toughest REO sales was a rural property consisting of two acres and a land-locked house. Tax records show it was built in 2004, but it was actually built in the 80’s! The house was structurally unsound and needed to be torn down so it was priced at lot value. When it hit the market all buyers saw was two acres of land, a house built in 2004 (wrong!), and a $20,000 price tag and they came out of the woodwork! Since the property was land locked I put in Agent Remarks and Public Remarks that the property was not viewable, put yellow tape on the cattle bridge going to the property, and neighbors even put up temporary fencing. With all of this, buyers—and even agents—still trespassed. One of the neighbors was also a County Deputy Sherriff and made them leave. Some buyers got so angry they contacted the bank (the seller) and said that I was not doing my job correctly. Incredible! However, all’s well that ends well as one of the neighbors I contacted early on submitted a cash offer and the property was sold!”
Harriet Robertson, Brooklynnybpo LLC
“When listing a two family in Brooklyn my first challenge was keeping the property locked with investors running around with bolt cutters. I finally got an offer that was being considered from another broker. When I went to do my inspection, I drove up to see people taking pictures and then I noticed that the building was no longer boarded. I got out of my car and saw the guys from the block removing the boards—by this time I am completely out of my mind! Then I see the broker that made the offer and she says she authorized what was taking place and she was paying them and not to worry because she was selling the property that was causing me a headache. I cannot tell you what I said but it involved the police, my broker at the time, my asset manager, words that cannot be printed, and wrinkles in my face. I could not believe that she hired the very people that we were trying to keep out to open the building. I got the building closed but the broker did not make that sale.”
Tell your REO Horror Story in the comment section below.
One of most scary foreclosure listings was one where one of my agents was standing in the house when she heard gun fire. A large caliber bullet went through the exterior wall and two interior walls one foot from where she stood. Seems the neighbor did not want anyone buying the house because it would disturb his privacy. The police paid him a visit and the gun play stopped.
I went to an REO to do an occupancy check, neighbors said no one had entered the home in months, as evidenced by the untouched snowbanks in the driveway. I trudged through the snow to find the door unlocked, no personals in the home. I went in the basement and I was glad I had my knee high winter boots on because the water pipes had froze and I was up to my knees in water that was still pouring out the pipes! Thankfully, my bank worked with me to clean out the water, dry it up, replace drywall and repaint. I was lucky enough to sell this property to one of my buyers when the issue was repaired. What a mess!