Early Installation of Real Estate signs on Foreclosures

    Real estate signs in santa claritaWhy do signs get put up early on some properties?  Usually these are Vacant REO, Foreclosures and Bank Owned real estate.  Most of the time the listing agent will have the sign go up as soon as they get the “Listing contract” from the bank.  However, there are still many steps that need to take place before a “sales price” is established.

    The reason for a Sign Up request on a Bank Owned Home is to “mark it” as being for Sale – This deters the “prospective squatter” from setting up residence, getting utilities turned on in their name and getting mail to the home – Thereby, in California, Needing to be evicted.

    This can take in excess of 6 months to evict a “squatter” in the California Judicial system – furthermore it can cost the “foreclosure owner” in excess of thousands of dollars.

    (personally, I have ran into a Squatter Twice – 6 months apart – at two different bank owned properties when I was approaching to verify occupancy with the intention of securing a cash for keys agreement.  you should have seen the look on the guys face the second time we met…)

    When the sign is placed at the property, it causes way too much attention for a potential squatter – usually keeping them away.

    A final word about Real Estate signs in general:
    What is it about real estate signs?  Are they necessary to sell a home, condo or town-home?  I would say not 100% necessary – but they do give a certain (positive) percentage to the “Things to do to Sell a Home” balance sheet.  The more a Seller can have on the (positive) side of their “things to do to sell my home” balance sheet – the better and more likely their agent will be in successfully selling their home, condo or town-home.

    Furthermore, we do not represent buyers on the Bank Owned Foreclosures we have been trusted to sell.  We tell all of the buyers, that call off of the sign, to obtain their own representation.  Look at it from the Foreclosure Owner’s point of view – The bank has instrusted a Real estate agent or real estate team to sell their asset at the best possible price and in the shortest amount of time.

    • The Listing agent knows the inner workings of the bank and how they reduce their prices.
    • The Listing agent is the one that obtains and submits offers directly to the Asset Manager.
    • The Listing agent’s commission is usually not increased, unlike in a Standard Sale, when they bring the buyer to the table to purchase the REO asset.
    • The Asset Managers know these facts too – that is why every offer that is submitted by the Same REO agent that holds the Listing Agreement needs Senior Management Approval.  (you notice not just Management – but Senior Management).

    You as a Buyer will be better off seeking your own representation when approaching Bank Owned and Foreclosure Real Estate.

    (BTW – there is no rule, about placing a real estate sign at a property, when it is not on the market for sale.)

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    Paris and Connor MacIvor

    Connor and Paris MacIvor are in the Top 1% of Realtors Nationwide, starting their real estate business in 1998 with RE/MAX Gateway - Santa Clarita Valley and Valencia CA. Their becoming licensed real estate consultants and representatives came from the horrible experience they had when they bought their first home. There were many things that the agent they had hired did not explain and disclose, which per law he should have. Getting that agent on the phone after they closed escrow and after he had gotten paid was impossible. Paris and Connor called the broker, the board of realtors, the office manager and all they received was the promise of a phone call back. The remedy did come, but not as fast and in the way they wanted. That act - that bad agent was the reason why Paris and Connor became Realtors. That was all they needed to vow to never let the same fate befall anyone else, that befell them. Today Connor and Paris are focused on client service. Protection and top-shelf service with regard to their real estate clientele. They primarily work within the Santa Clarita Valley and Valencia CA. However, for a referral, where 80+ of their business is referrals they have License and Will Travel to other parts of Ventura County, Los Angeles County, and Orange County to handle real estate transactions for those who trust their real estate operation. Writing on their Real Estate Blog is a passion. SCVnest.com/blog is where you will find over 10,000 real estate articles. Go to SCVnest.com/radio to listen to their latest real estate radio broadcast.

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