The scorecards are out for Bank of America’s REO agents, and I got whacked again, achieving a score of 80, out of a possible 95, for the three closings between November and January.
My sales price-to-last BPO was 107%, so they deducted 5 points, and my average market time was 8 days when the goal for list date-to-accepted offer is 39 days for the state. Ten points off for that sub-standard work.
But in spite of that performance, they keep me hanging around – perhaps they’ll need all hands on deck in the coming months? The REO tsunami/trickle spewed another listing my way today, a condo in Oceanside worth about a buck and a half. I expect more of the same – an overall increase REO listings coming to market, but none too special.
This whole scorecard concept based on criteria such as days on market is way to reminiscent of communist central planning.
So the incentives will be for REO agents to game the system for scores, not to work hard and maximize asset value.
B of A needs to be broken up into many smaller banks.
Uh oh…….and after you start taking the mandatory 10 point hit for driving a 70’s GM abortion your gonna be in deep sh!* Jim!
murf2222
I obviously am not clued in to the intricacies of Bank of America’s grading system!
In other news…from PBS:
http://www.pbs.org/newshour/bb/business/jan-june10/mortgage_04-20.html
JOSH BARTLETT: In December of 2007, I made my last payment, which every previous payment was on time. And I told them that, if they didn’t adjust any kind of rates, any kind of principal, that they would not see another dollar from me.
PAUL SOLMAN: And that was the last time you made a payment, December 2007?
JOSH BARTLETT: Yes, sir. 2008 was a free year. 2009 was a free year, and, so far, four months into 2010.
…I think we have a long way to go on the foreclosure train. At this rate, this won’t stop for another 10-12 years.
Where did they get their rating system — Sandicor?
How did the other agents fare? You don’t have to be faster than the bear, just faster than your friend …
How dare you sell properties for HIGHER than the BPO. How dare you do your fiduciary duty to the person rating you.
Seriously – that is eff’d up.
you beat the BPO and beat the average for DOM?
what do they want, for you to sell, slightly under BPO and take slightly longer then average?
You should make a video of your new listing!
LOL there grading system is TERRIBLE(and I know of and graded on about 10 grading systems)
We got 62%. days on market was 15 instead of the 38 average. Actually I dont even really look at it any more-as it is not set up well. And I dont think it affects receiving assignments in any way as most at BA know its not accurate.
Let’s see the condo
it sounds like their grading system is built upon getting the absolute top dollar.
if you listed it higher and got say 97% and it took a bit longer, you might have gotten a higher price at the expense of time?
I am an agent in your market. Recently had a client submit an offer on a BofA REO that was well above asking. Agents told us we were the highest offer which was kind of puzzling (due to the fact I have pretty much NEVER been told what other competing offers are). They came back telling us (and the other 12 or so)submit highest and best. Both of us (client and I his agent) were told what the highest offer was before my client submitted his highest and best. We were again puzzled at this behavior. In my 20 years in the business I have never had agent or agents (team) disclose competing offer prices. The client was told by the Mortgage person at BofA (that he gave all his financials to) that his was the highest offer. What is that sh*t? So the last day of the bidding we were again told what the highest number was without asking. My client chose to go well above that number because he obviously wanted the property. That evening I was told by one of the agents that we were indeed the highest offer. My client was putting 50% down and was very well qualified. 3 days later when we finally got the news we were told we had lost out to another bidder. That was 2 months ago. We would have closed in 20 days (40 days ago). This property has not closed escrow yet.
My client now feels that realtors in general are scumbags. You think? I’ve been in the business for a long enough time (almost 20 yrs) to actually advise clients NOT to buy this our that house and it has served me well.
While I’m not a top agent I have done well enough to get along over the years and my clients trust me enough to refer other clients/family/friends often.
I tell you what, these banks are just as much extortionists and fraudsters as the greedy unethical REO agents they hire. It’s very disconcerting.
I ‘ll bet you Jim that these guys scored higher than you. Jim, as a peer in the business I totally enjoy your blog and respect and commend your style. While I may not agree with you 100% of the time I can sincerely say we are very much on the same page. I recently boycotted paying the realtor assn. because I do not agree with their bs. Unfortunately they locked me out of my winform database and I had to pay them (off).
I’ve told my wife that if I get pissed off enough I’m going to max out our equity line and do a strategic **** you to our mortgage holder out of anger and spite (tongue & cheek). I know of more than one individual that has not paid their mtg. in 10 months or more and BofA has not even filed an NOD yet!
I feel like I am crazy for putting this out there (too much information 🙂 ) but man oh man I am sooo fed up with this garbage!
From the frying pan into the fire bro… love your style AND your blog. To anyone reading this please know that Jim Klinge is a top notch business person and Realtor you should not hesitate to use him as your agent. He has my vote for NAR president 🙂
Best wishes and good luck Jim…
ps: Jim, if this is too much info feel free to edit or delete. For the record it is your blog and you can do anything you choose!
Where did they get their rating system — Sandicor?
LOL
if you listed it higher and got say 97% and it took a bit longer, you might have gotten a higher price at the expense of time?
This is the ivory tower theory on how to achieve top dollar, but not applicable now that the days-on-market stats are out in the open.
Sellers get their top-dollar offers in the first four days. After that, the buyers will pay less and less, relative to how long the listing has been sitting around stagnating.
Two weeks = stale.
PJT, everything was great until the pitch for NAR president – thanks for the smiley face!
But I can make a valid and poweful argument for why listing agents should disclose the offer amounts to all bidders. It is in the seller’s best interest to make it easier for bidders – and giving them a number to shoot at makes it easier. Open bidding/open auctions are a good thing for sellers too.
But yes, it is an idea that would stun 99% of the agents – it’s unheard of, and realtors are so fixed on doing it the way it’s always been done that we can’t get out of our own way.
Telling you that yours the highest offer, and then not taking it is dirty pool, and/or seeing them close much later for less, is wrong.
It’s why we should have a feedback forum like Ebay, so the public can learn about an agent’s history from others’ experience.
from our friend and broker, John Woodall:
I just had BofA foreclose on a transaction that was in Equator. BofA had counter offered via Equator, and the buyer had accepted the terms. I had accepted BofA’s counter in Equator within the 10 days they had given me. Everything was in order.
I had not yet received the written approval. Be advised that Trustee Sales are not automatically postponed on Equator files. You have to manually request they be postponed a week prior or so. The morning of was too late. Neither the negotiator nor any other person at BofA will notice that the property is about to be foreclosed. Be Ye Warned!
I guess it hasn’t occurred to them that if you sell a house every 8 days, and the other guy is selling one every 39 days, then after 2 years you will have sold 91 vs. 19 houses. But I suppose that would only matter if there were, you know, A BACKLOG OF HOUSES TO SELL.
Maybe send them a calculator as a present?
JtR wrote:
But I can make a valid and poweful argument for why listing agents should disclose the offer amounts to all bidders. It is in the seller’s best interest to make it easier for bidders – and giving them a number to shoot at makes it easier. Open bidding/open auctions are a good thing for sellers too.
——————
Amen!
The only reason to hide bids is because everyone wants the buyer to bid against himself.
Let’s get everything out in the open and make every single transaction as transparent as possible.
————–
Sorry you have to deal with such a nutty ratings system, Jim. Hopefully, it won’t affect the number of transactions they send your way.
Jim – I could care less what others are offering on homes. I basically know what I think a home is worth to me, make an offer a bit below that, then raise my offer 1x if needed, then walk away if its not accepted.
I know I miss out of 1 or 2 deals, but I can focus on 10x the deals by adhearning to my discipline and formulas and keep the emotion out of it.
If you pay what you feel its worth, you a) won’t overpay, and b) feel good when its accepted.
Pretty simple.
Commercial is a bit different…over offer, tie it up, then beat the property up after 60 days and get a big haircut…different type of seller in the commercial world who is MORE irrational than the residential guy.