You just picked up a bulk REO package of 25 houses in Florida but you live in New Jersey. You bought them at a great price and you want to resell them. Now what?
There are two ways I sell bulk packages. First is through my service, HomeTraders. We list bulk REO opportunities via our mailing sent out to 10,000 investors three times a week. There’s a very strong chance you will get it sold through our network in a few days if it is a good package.
The second way is with a realtor. The day after you close, you need to go shopping for realtors in the local market where your properties are located. Since they know their markets well, have them provide you with a CMA (Comparative Market Analysis). Realtors will gladly spend the time providing you with one in hopes of obtaining the listing. Now, you have a true value of what the realtor thinks your property is worth in their local market. Hopefully it is a lot more than what you paid for it.
You have two ways to MLS this property.
1. Have the broker list it for 80% of FMV targeting retail buyers. The upside is that if you sell it, you earn a larger spread. The downside is that you may be holding this property longer then you like.
2. Ask the broker what you think the price should be for a quick cash offer. Hopefully, it will be 10% – 15% or more above what you bought it for (don’t forget to include your closing/holding costs/commissions). If the broker is knows what they are doing, they will most likely have their own list of cash buyers they will call on. Upside is that you may sell quickly but the downside is you will most likely leave money on the table.
I personally list them for cash and the first solid offer that comes along I take it. Sometimes I will net $5K or $10K per property or even a few thousand. The key is to make your profit and move on, especially when you have 24 other properties to move. Remember, you will make your profit on the whole package, not just one.
There’s an old saying. Pigs get fed and hogs get slaughtered. Don’t be a hog.
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I am very familiar with bulk REO Properties. I have been working with 3 companies who before purchasing any properties in Houston Texas and its surrounding cities ask me to do Due Diligence for them , based on the value I provide, they go and acquire the properties. Once successful with their acquisition they turn the properties to me. I handle the rehab, marketing and the sale of the property for them.
I have 10 yrs of REO experience and almost 5 yrs of bulk REO experience. I would like to offer my services to your buyers who have picked properties in Texas. The cities I service are Houston, Sugar Land, Richmond, Rosenberg, Galveston, Clear Lake, Pearland,Katy,Missouri City, Fresno,Spring and Cypress.