Foreclosure in Stockton>Question Details

Kevin Yates, Other/Just Looking in Stockton, CA

what is the title of work, when a guy is called to an REO to secure,re key,trash out,Board-up etc?? Property Maintenance and/or Security? OR ???

Asked by Kevin Yates, Stockton, CA Sun Jan 1, 2012

Or is it already known as_______???
I want to get in on this type of work but I am stumped in a couple of ways.
First,how do I get the properties(REO) to come to me? Do I approach banks,(how do i know which banks do home loans?)or mortgage,or real estate companies? Then,who do I seek out once inside,about permitting me,(via a contract of some sort) the job of securing and maintaining the property(s) ie: trash out - re key - board up - front lawn,mow,edge etc...?? Second, can I do this work under a regular city or county business license,it is a maintenance/security service I would think,correct? Lastly,I am aware of $1million liability insurance "standard" ...but what about bonding,which type bond do i need?
~Not exactly sure,but I think that is it.~ I am a drywall craftsman with some experience in property maintenance,so I am well equipped with tools and realize the amount of work required.
Thank you for any advice...See ya out there!

Help the community by answering this question:

Answers

5
Mikel DeFrancesco’s answer
Hi Kevin,

A catch all term is Field Service Companies... they do all the activities you mention ( secure, preserve and maintain ) the property. Your best bet is to gain a customer with a local bank, as the larger entitiies will ask for references prior to considering you.
1 vote Thank Flag Link Sun Jan 1, 2012
BEST ANSWER
Hi Kevin,

The type of work you are describing is described as:

Re-Key
Winterization
Trashout
Landscape Maintenance
Rehab & Maintenance

You may want to market to Realtors in the area that work with lenders to sell REO/Short Sale homes. In the past, there were only a handful of agents with large quantities of REO homes. Today, there are several agents with only a handful of REO's.

Keep in mind, because of the lack of construction jobs, there are several handymen and small companies that perform this type of work, that already have relationships with Realtors. Also, REOs and the clean-up work associated with selling these type of properties is a mature market since about 2006. I also see about an e-mail / month or more with a company or individual attempting to sell these type of services.

I'm not trying to discourage you, but merely pointing out competition will be tough. You can do it if the value and dependability is better than the competition.

I wish you the best and hope this information helps you.

Happy New Year!

Rocky

Rocky G.H. Hawrysz
Prudential California Realty
(209) 444-6610 Direct
(209) 433-2000 Fax
rocky@prucalifornia.com
http://www.TeamHawrysz.com
License No. 01468373
1 vote Thank Flag Link Sun Jan 1, 2012
The type of work is most commonly called Property Preservation. How it is contracted depends on the Asset Management company. Some have companies that take care of it for them, Field Asset Services, SafeGuard, etc, there are quite a few. Others have the realtors take care of it by hiring their own contractors. Usually anything under $500 gets done right away, over $500 requires 2-3 bids. Typically trash out and landscape could be done by a handyman, board up and repairs would be done by a licensed contractor. As for as getting started, there are websites where you can sign up, or you could inquire with one of the preservation companies. Sorry to be so vague by it really does depend on the company and the assignment.
1 vote Thank Flag Link Sun Jan 1, 2012
Hi Kevin,

1st of all, congratulations on wanting to start your own business! 2nd, all the answers here have been great and you've been provided good advice.

You do need to start somewhere, and I think that would have to be setting up your business 1st. I believe it would be difficult at best if you're not set up with business license, bonded, insured, etc, etc, because as Rocky mentioned there is lots of competition in that service. And Mikel was right in suggesting that you start with one local bank to gain some references.

Get your business set-up right and then go find your contacts, clients, etc. I have a great referral for you that knows a lot about setting up businesses properly and making sure you cover yourself legally. Just send me a message and I'll get you his contact info.

Good luck no matter what you do, and I wish you a prosperous and Happy New Year!

Randy
0 votes Thank Flag Link Sun Jan 1, 2012
would it help you all to know that I am going to be buying at least one home in the next 1-1 1/2 years?
0 votes Thank Flag Link Sun Jan 1, 2012
Search Advice
Ask our community a question
Email me when…

Learn more

Copyright © 2016 Trulia, Inc. All rights reserved.   |  
Have a question? Visit our Help Center to find the answer