Expert: Brian Bocchieri - 8/27/2008

Question
QUESTION: When banks foreclose on apartment buildings, do they sell those assets as part of REO bundles? How do I find the asset managers at a bank and talk about buying a bundle? There's plenty of REO opportunities on the internet, but they are all middlemen and I would like to avoid those people.

ANSWER: Hello Kevin

Yes at times they do sell them as part of an REO bundle other times they are sold alone usually depending upon the size of the property.

Most large banks now have REO departments which you should be able to find.(years ago the bank never admitted to have such a department but with the credit meltdown that has all changed).

Banks will also use realtors to dispose of properties so you may want to search what realtor /commercial realtor is handling such deals for what banks.  This you will have to ask a lot of questions to find out.  If you hear of a property that has been or being foreclosed on ask around to see who is listing the property or is the bank selling it themselves?  By doing this it should give you good insight as to how to get in touch with the right person or company.  I hope this helps.  

When you do find a property let me know and I will quote you on financing.  Wishing you all the best. I look forward to hearing from you.

Brian Bocchieri
brian-bocchieri@hotmail.com

---------- FOLLOW-UP ----------

QUESTION: I am having trouble getting to the REO departments. I am finding some banks have links to third party sellers or even to their own retail stuff, but what I want is the heavily discounted $10M bundle and I don't know how to get to those people. Any thoughts?

Thanks for your time,
Kevin

Answer
Go down to the main bank and ask around.  Take the manger out to lunch create a relationship with them.  Remember from the start they don't know you and or anything about you.  You need to learn to crawl before you can walk.  

What can you bring to the table to be able to take down a $10M deal?  What experience do you have?  Remember the REO departments are getting hit with ever Guru's students saying they can make a deal work yet they have nothing behind them.  You need to build the relationship and show you can perform. Once you do doors will open for you.  Real Estate investing is not a sprint it's a marathon...

Show you can perform first! Things will happen

Hope this is helping you.

Wishing you all the best

Brian Bocchieri
brian-bocchieri@hotmail.com

PS. let me know how I can help you