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Interview With A Top REO Agent

Home » Blog » Learn » Finding Deals » Interview With A Top REO Agent

I’m very thankful to have been able to interview one of the top REO agents in San Antonio. Cathy Goodwin, of the Goodwin REO Group, was kind enough to allow to me sit down with her for an hour and ask her questions that a lot of investors, both new and seasoned, wanted to know the answers to.

If you’ve been considering paying for a foreclosure service that sends you lists of bank owned properties, you’ll want to listen to this first. Thinking about asking that agent you’ve never spoken to before out to lunch? You should listen first.

The questions that were asked were gathered from Flipping Junkie subscribers and some from myself.

Listen To and Download the REO Agent Interview

I am asking that you subscribe to FlippingJunkie.com in order to listen to the interview and download the 40 minute interview as an mp3 file. You will also get the ‘7 Crazy Real Estate Investing Stories’ Ebook as well.

It’s all free and I respect your email privacy. I will never, ever share, trade or sell your email address to anyone. The questions that were asked are below.




Here are some of the questions that were asked:

    • Can you describe the offer process (process of someone making an offer to it be presented to the asset manager, etc.)?
    • What are some of the things that you look for when an investor calls you (what do you use to determine whether they are worth talking to)?
    • What does an REO listing agent need to hear or see to make them call me first when they get a listing contract that looks like it’s going to be a deal right out of the gate?
    • What are some of the things that you hate to hear? Any funny stories?
    • What advice do you have for new investors? What should they do before they call you?
      Do you really have enough time to go to lunch with all of the people that invite you to lunch, or are there not that many that actually do that?
    • Does the agent have any influence on what percentage of price decrease off the current listed price the asset manager can get approved? Or is protocol just days on market at all times?
    • Is there a point where a listing hits a certain DOM (days on market) that the asset manager has more flexibility on price?
    • How much of a factor does proof of funds and earnest money make?
    • Does a cash offer really hold a lot more weight than a financed offer? How about if it is hard money, but the offer is not contingent on financing? In this case, if they don’t close they will lose their earnest money. Will the bank require more earnest money in this situation?
    • Does working directly with an REO listing agent allow them to “double pop” really get your offer to the top?
  • From listening to others I get the impression that most high volume REO agents prefer to feed their sweet deals to licensed RE agent / investors because these investors can let themselves into the property, handle some of the paperwork themselves, and save the REO agent time and hassle. What can a non-licensed investor do to offset this apparent advantage?
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Comments (25)

  • Mike Scott

    Danny,
    What a great interview. Very informative, I learned a lot. Thanks for doing this!
    Mike

  • Litia

    Thank you very much Danny for doing this very informative interview. Yes I learned a lot and it was free! May God continue to bless you and your family.

  • Mark

    One of the best real life interviews I have heard. Common sense still rules.
    You should sell it as a special report for $295.00 on the web. Imagine making offers when you have no money—wonder why people in the biz hate time wasting people? Priceless–great job

    • Danny Johnson

      Thanks, Mark. This is definitely a ‘real life’ interview. None of that bull about taking an REO agent to lunch and then immediately being inundated with a ton of super sweetheart, pocket deals. I think that I’ve captured the realistic way to work with REO agents.

  • Ryan O.

    Danny,

    Enjoy your website/blog and really thought you did an excellent job with this interview. It sounds like you did your homework with the questions you asked. Thanks for sharing and best of luck to you and your family.

    • Danny Johnson

      Thanks, Ryan. I’m glad I prepared the list of questions to keep me on task. Cathy is a fun person and we probably would have just told funny stories and joked around for 2 hours if not.

  • Jean Norton

    Excellent interview – If you don’t mind, can I post this on my blog? It will help a lot of people that buy REO’s.

    • Danny Johnson

      Jean,

      You can post a link to this page, but I’d prefer you didn’t post the mp3. I’m asking people on this site to subscribe to listen to it and it would not be fair to have it there without subscribing. I will eventually just offer it up without subscription, but right now that is what I am doing. Great blog by the way.

  • Jean Norton

    Thanks – no problem! I figured that may be the case right after I posted the question.

  • Chris

    I have to say I’m confused after listening to this- I’ve read that I need to buy at 30% to 50% of ARV to have a workable deal but from her I seem to be getting an attitude of “Dont you DARE even THINK of offering 50% of ARV”….Do I have to offer 100% plus of the bank’s asking price for her to take the time out of her busy day to submit an offer to the bank?

    • Danny Johnson

      Hey, Chris.

      There must have been a misunderstanding. She was talking about not offering super low-ball offers on a newly listed property. Low ball being something like 50% of the listing price (not ARV). Realtors are supposed to submit your offer regardless of how ridiculous they think it is. The problem comes from them having to spend time over and over submitting offers that are super low (50% of list price for example) right out of the gate.

      I try to buy property at 65% or ARV minus cost of repairs, not just 30% or 50% of ARV. Hope this helps.

  • Chris

    Thank you for your response, Danny: It’s helpful!

    • Danny Johnson

      No problem!

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  • Franco

    Thanks from Italy
    Franco

  • Bob

    Hey Danny,

    I’m trying to access the piece called “Interview With A Top REO Agent” and I’m getting an error “There was an error submitting your subscription. Please try again.” Is it no longer available, or perhaps you know another way to access it.

    Thanks,

    – Bob

    • Danny Johnson

      Hey Bob. If you subscribe on the homepage, you will get a link that gives you tons of gifts, including the agent interview. Sorry about the inconvenience.

  • Heather

    Bummer! I really want to listen to this, but I keep getting an error message every time I enter my information. Any tips?

    • Danny Johnson

      Hello, Heather. Please subscribe on the homepage and you will get access to this audio as well as all of the other gifts and bonuses I offer on this site. Sorry about the inconvenience. Subscribe on the home page at http://flippingjunkie.com and you will be directed to a single web page with all of the goodies!

      • Heather

        Got it, thank you! Really appreciate the follow-up. You rock! Love your blog.

  • Ranniqua Roundtree

    Hello, is this interview still up or is it under a different title, because I looked through your entire list of interviews and I could not find them?

    • Danny Johnson

      There is a form on the page. Enter your name and email and you’ll have access to the interview. It’s an mp3 file.

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