BrokerageIndustry News

Foreclosures, REOs carry risks, rewards

Future-Proof: Navigate Threats, Seize Opportunities at ICNY 2018 | Jan 22-26 at the Marriott Marquis, Times Square, New York

NEW YORK -- Agents and brokers who want in on the action for short sales and real-estate-owned properties take heed: while that segment of the market should continue to grow this year, it's not for the faint-hearted.To break into the business, you need connections with lenders, and succeeding requires a high level of organization, commitment, and the ability to multitask, said L.J. Jennings, broker-owner of Oakland, Calif.-based Pyramid Real Estate and Investments."The REO (bank-owned real estate) practice is very different from a traditional company where you are selling mom and auntie's house," said Jennings, who teaches a certification course for Realtors who want formal training in the field. "I spend a lot of time in my course dissuading people from getting into it."Jennings said many people come to him with unrealistic expectations that they are going to "make a ton of money in REOs." There's money to be made, but if you don't know what you're doing...