Re: Impossible process due to overwhelming volume and...
Posted by steele in minnesota on November 03, 2008 at 09:41:21:
In Reply to: Re: Impossible process due to overwhelming volume and...
Posted by Elisa on November 03, 2008 at 08:44:01:
Just as a clarification, understand that just as loss mitigation and collections are different parts of the lender, REO and loss mitigation are very different divisions in most cases. And just like the first two many times not knowing what the other is doing, the same applies here.
In fact, for a number of years now while loss mitigation tends to be an actual part of the lender, REOs and the foreclosure process is often handled by an outside company (generically referred to as "asset management companies" or "third party companies".)
Many times the bank/lender can have two, even three processes going on at the same time. And much of the time, one doesn't know what the other is doing.
And the sheer bulk of these is not helping an already stressed resource.
The lenders do have to have an avenue for disposal of physical assets if they, indeed, get properties back. With all the people just walking away one can not simply say it's the lenders fault. Or that every situation could result in people staying in their properties. There is always a combination of factors on these. The REO process is one answer. But hopefully not the only one an individual lender would employ.
Oh, if anyone thinks REOs are easy business for a real estate agent they are invited to be an assistant for a week or two :>)
Follow Ups:
