RC_LA_DA_304.3 REO Pre-Marketing
Assessing the value of real estate owned (REO) is a critical task, as all future strategy decisions will be driven by the current value of the asset. For this purpose, REO managers rely on the two professionals best suited to evaluate a new property: the appraiser and the real estate agent. The fact that the appraisal costs $500–$700 does not necessarily mean that the appraiser's opinion of the property's value is any more accurate than the broker price opinion of value provided by the real estate agent. Both play a role in determining property value, and each should be used to validate the other's opinion. Once the market value is determined, lenders must establish a strategic price for the property. To establish a realistic price, the anticipated cost of repairs and maintenance must be incorporated into the minimum required return on sale when establishing the list price for the property.
REO Pre-Marketing reviews the steps taken prior to the marketing of REO assets, when the REO property’s value and condition are assessed. The course begins with a look at pre-marketing and marketing roles. Next, it looks at the roles played by third-party service providers and real estate agents. It then reviews property preservation guidelines and tasks. Toward the end of the course, valuation methods are described. Finally, the course reviews performance management and reporting.
This is a single-family/residential course.
Seat time approximately 1.5 hours.