New RE/MAX C.E. Class Addresses Growing Need For Expertise In Foreclosures, Short Sales And Reos

Recent developments in some segments of the real estate market have produced a growing inventory of “distressed properties” for sale. These are homes that are facing foreclosure, in the process of foreclosure or already foreclosed and now owned by lending institutions.

According to recent data from the Mortgage Bankers Association, 5.12 percent of the 44 million home loans in the United States, or about 2.25 million loans, are currently delinquent. Another 836,000 loans, or 1.9 percent of the total, are in foreclosure.

In response to this situation, RE/MAX Northern Illinois has launched a continuing education class that lets agents acquire the special skills needed to service buyers and sellers in this expanding market segment. The class, “Foreclosures, Short Sales and REOs,” focuses on teaching agents how to work closely with lenders to sell distressed properties.

It will give agents a detailed understanding of the short sale and foreclosure process, which is considerably more complex and carries greater risks than traditional real estate transactions. The class also will teach agents how to build relationships with financial institutions, including how to provide Broker Price Opinions (BPOs) and market REO (real estate owned) properties. (A BPO is an estimate of a property’s market value, while REO properties are usually properties acquired by the institution as a result of a foreclosure proceeding.)

"Current conditions are generating a substantial number of distressed properties for sale. A growing number of homeowners face the possibility of foreclosure or a short sale, and the increase in foreclosures is putting more property into the hands of financial institutions,” said Jim Merrion, regional director of RE/MAX Northern Illinois.

"A segment of RE/MAX agents already possess the in-depth technical knowledge to handle transactions in this area, but demand for this kind of expertise is rapidly rising and is likely to continue doing so for the next two years. The new training will ensure that the maximum number of our agents have the specialized skill set needed to manage transactions involving distressed properties successfully with their clients,” he said.

The six-hour, one-day training will be given at locations across northern Illinois. It is approved as a continuing education (CE) course for real estate professionals. All training classes begin at 8:30 a.m. and end at 4 p.m. The next scheduled classes are:

* Dec. 3, Lindner Conference Center, Lombard, Ill.
* Dec. 11, Hotel Baker, St. Charles, Ill.

Leading the training is Nancy Freeman, a RE/MAX coach, CE instructor and founder of the 24/7/365 Coaching Program that has helped hundreds of RE/MAX agents build successful careers. She is also an expert in marketing and acquiring distressed properties.

"Until now, the number of agents with in-depth experience in handling short sales, foreclosures, REO property sales and BPOs has been quite limited,” said Freeman, who has extensive experience in all those areas. “The demand for this kind of expertise is rising rapidly, and it is an ideal time for more agents to learn how to work this area successfully for the ultimate benefit of the consumer.”

The training costs only $250 and is divided into two main segments. One segment focuses on working with those homeowners who are selling their home under the threat of foreclosure or those who are selling a home with a market value that is less than the amount owed on the existing mortgage (a situation commonly known as a short sale).

The second segment of the training will address issues related to working with financial institutions in the sale of REO properties and in providing BPOs. In addition, those completing the training will have unlimited consultation with Freeman for a year at no additional charge.

For a schedule of upcoming classes, contact Freeman at (815) 741-3100.