David Axelrod, former senior adviser to President Obama, said repairing housing and a creating fairer mortgage finance system would help ease the anger and frustration the country has with Wall Street as the economy remains stagnant.

“America and the American people need a strong financial system — a need you provide,” he said, making his comments Tuesday at the Mortgage Bankers Association annual conference in Chicago.

The mortgage finance system must be completely transparent, he said. Further, the frenzied packaging of toxic subprime mortgages into securities, as he put it, contributed greatly to the economic downturn and should have been prevented.

And while he doubts such mortgages will return, he called for fair lending standards.

“Loans need to be given on terms borrowers can understand and afford,” he said, adding some borrowers share the blame for agreeing to these problematic mortgages.

One way to help this along, he said, is with the immediate appointment of Richard Cordray as head of the Consumer Financial Protection Bureau.

“There is little energy in real estate reform,” said Jeb Bush, former governor of Florida. “Businesses have got too timid in pushing themselves. People are marching on CEOs in New York. Stand up for yourself,” he advised the crowd, in a reference to Occupy Wall Street, a three-week protest in Manhattan in which protesters promised Tuesday to march outside the homes of wealthy CEOs in New York.

Bush said the mortgage business needs to be more aggressive with promoting solutions to the housing crisis. He also criticized the sheer bulk of the Dodd-Frank financial reform to loud applause.

Axelrod said calls to reduce regulation in order to drum up business should be clearly thought out.

“Simply fighting reforms under the guise of protecting the economy is not going to fly,” he said. “The American people demand solutions that, at the core, demand the security they have lost.”

He also said government-sponsored enterprises remain part of the housing finance problem.

“We have to end Fannie and Freddie as we know them,” Axelrod said, while citing several steps the administration could take to help wind down these institutions’ involvement in the mortgage market. “There is no reason Fannie and Freddie should own 300,000 homes.”

Axelrod added that a bulk REO sales might work, if lenders let investors buy the home for rentals. “We need to take advantage of these low interest rates,” he said.

Click To Play Video 1 on This Series On Bulk REO.

The ‘foreclosure phenomenon’ has plagued the housing market; bank repossessions, REO real estate, has become an uncomfortable norm in a housing market ridden with foreclosures.  Many real estate investors have taken this opportunity to try to buy foreclosed  properties through the “Short Sale” process,  but have faced many unexpected obstacles while questionable marketing practices have begun to overpower the infomercial industry targeting new investors just wanting to capitalize on obvious potential.

Mark Bradley, successful commercial and residential real estate investor, describes his process of disrobing the short sale real estate myth.  Instead applies real estate principles that can land investors huge profits in today’s real estate market.

If you like this video please leave a comment below.

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When I found this out my shoulders shrunk down. By this time I was in big trouble financially with the kid’s college tuition coming up. My whole business life was flashing in front on my eyes.

But I had been very successful before the real estate crash and even though things were bad I thought there must be a way out of this.That is when I remembered how I got started in real estate. My best success was when I started buying apartment building from banks after the savings and loan crash in the 1980s. The banks had taken back tons of properties as Real Estate Owned by Banks, REO properties.

Like a flash it hit me. Why don’t I Deal directly with the banks and buy bank owned properties!

Even though that Idea sounded good and logical, for some reason I could not stop thinking about all this time and money I had invested in buying short sales.

So I decided to really make a one more go of the short sale thing. I doubled my effort, put in extra time but nothing.

“After about a month I had nothing to show for it. Something inside me said. Go back to what worked for you before. Start buying distressed properties from banks.”

So I did.

I revamped my company to start dealing with banks about their REO properties. Many of my partners said I was crazy. They said things like

“The banks won’t even talk to you unless you have a million dollars to work with.” or “You can’t find any financing out there in today’s market” And “It will take forever to find the right banks and lenders who have good deals on properties”

All the na -sayers didn’t stop me. I was determined to make my new Bulk REO Business work. And work in a big way. Because I knew the banks would be dying to get rid of these properties at deep, deep discounts. Plus, they would want to sell as many as possible in one deal.

And guess what? They were! Besides, I was past the point of no return! I needed to pay college tuition or my kids were moving back in and going to community college.

I used my knowledge of social media and real estate web 2.0 to quickly use the power of the internet to find Banks with REO properties that fit my buying criteria, The funny thing was I found Banks and lenders willing to deal with me and sell me one or 100 REO properties and 5cents to 47 cents on the dollar.

And you know what? Since I was getting such a great deal on these bank owned assets. I found lenders willing the loan on these assets because the loan to value ratio was so low.I started doing really well. And finally redeemed myself. When one of my teenagers said Dad, you should teach other investors how to buy these bank owned REO properties.

I remember all the distressed people I met trying to do short sale deals. So I started copying down all the step that I used to set up my business.

In my next video and video I will show you the A to Z blue print that I used to set up your very own multi-million dollar Bulk REO Real Estate business.

A business that focuses on long term equity goals… monthly cash flow… and build equity anywhere in the nation with any type of property.

If you like this video please leave a comment.

Hard facts back up the promise.

With the 2010 unemployment rate hitting 10.5%, the number of homeowners defaulting on their mortgages is surging. Foreclosures are reaching as many as 7 million mortgages, with additional 5 million being at risk of default where borrowers owe more than the property is worth. The 2010 US Foreclosure Market reports 15% percent increase from 2009, with total increase of 38 percent from 2008, meaning that roughly one in every 409 US households has filed for foreclosure. This is the highest foreclosure rate since the real estate buckling began in 2005.

The Bank Owned REO activity is up 31 percent from January 2009 with default notices up 4 percent from 2009 and scheduled foreclosure auctions up 15 percent. California, Florida, Arizona, Illinois, Michigan and Texas are focal points accounting for 60 percent of national foreclosed properties with Nevada, Georgia, Ohio and New Jersey following close behind.

Faced with deteriorating situation, lenders are moving in on delinquent loans and pushing foreclosures. As banks and loan servicers work their way through loan-modification applicants, Bank Owned REO Properties are increasing and starting to choke strictly scrutinized bank system. According to current trends, bank owned REO properties are expected to peak at 538,000 by fall of 2011. Desperate to clear the books of accumulated REO bank are selling them in bulk at the lowest observed rates. Financing is not an issue. With rapid and convenient Bank Owned REO Property sales process, lenders typically respond to written purchase offers within 48 business hours.

Market is flooded with Bank Owned REO Properties.. Banks do not want them. Real estate investors need them. Prices are at the record low and the time to strike is now. With so many players in the game, the trick to get ahead of the curve is to get access to Bank Owned REO Property lists. Without lists in hand the pickings are slim and the profits partly. While the lists are kept in good confidence, savvy real estate investors know – where there is will there are means. Getting to bank owned REO lists is as easy as singing up with trusted REO expert.

Bank Owned REO Properties are a nice a convenient way to get your money maker going again. While some consulting is advised to get to best Bank Owned REO Property lists, the effort and the time spent is well rewarded. Bank owned REO properties – the best way to make money today.

Wholesale bulk REO is available trough proprietary inventory access from the top 50 banks, hedge funds, insurance inventories, and mortgage companies. With minimum order set to $10,000,000 to unlimited, the possibilities are endless. With something as great as wholesale bulk REO there are few requirements, representations, warranties and special instructions that must be followed.

To get a fast train to wholesale bulk REO, there are few requirements:

• 1 Signed Mutual Non-Circumvention/Non-Disclosure Agreement
• 2 Signed Buyer Profile Form
• 3 Signed Custom Purchase Order Form
• 4 Letter of Intent
• 5 Letter of Credibility/Credit

Representations and Warranties for wholesale bulk REO include:

• Portfolio and Order Profile:
• Assets are sold as is
• Acquisitions division will try to match the asset pool with the Buyer’s Profile and Custom Order
• Exceptions are minimal
• Picking/ choosing not available
• Property pools are formed from a single or more asset providers.
• Purchase Contracts
• Variable on case basis
• Asset Representations:
• Fully foreclosed
• No outstanding liens or encumbrances
• Clear title commitment issuance at closing
• Buyer foots other closing costs

Special instructions for wholesale bulk REO include:

• For a Pre-Program, depending on a case:
• Complete Mutual Non-Circumvention/Non-Disclosure Agreement (One time only)
• Complete Buyer Profile Form (One time only)
• Complete Custom Purchase Order Form (For each order)
• Submit Letter of Intent (See sample below: Must be on buyer’s personal or Company Letter Head. It should include info from the profile, purchase order, exit strategy and future order intentions. Must be written in paragraph form)
• Submit Letter of Credibility/Credit – This is NOT Proof of Funds. Letter must be from a bank, mortgage broker, hard money lender, or attorney, stating the buyer can perform on the size of the portfolio the buyer is requesting.
• Have Proof of Funds available to provide directly to the source

For Source:

• Source Contact
• Source will contact the buyer.
• Source works directly with the buyer, after Proof of Fund and verification completed
• Custom order placing
• Property list is given to the buyer
• Due diligence period is three to five days, depending on source
• Properties are to be verified with source
• Closing involves working with Title Company

While wholesale bulk REO does require some effort and qualification, the discounts and profits generated well justify the little work needed. Anyone who’s in real estate investing dreaming of making it big is well advised to take time and effort to explore wholesale bulk REO.

• Step 1: Completing and transmitting of purchase bulk REO agreement. Buyer’s Mandate/Buyer sends a completed purchase bulk REO agreement to the Real Estate Company via email/fax/upload.
• Step 2: Transfer of purchase bulk REO agreement to Escrow.

The Real Estate Company transmits this purchase bulk REO agreement to Escrow and the Broker of Record.

• Step 3: Based on the received purchase bulk REO agreement Escrow quotes and transmits Buyer’s mandate/Buyer the request for a Bank Letter.
• Step 4: Buyer’s bank transmits the Bank Letter to Escrow.
• Step 5: Escrow Officer verifies the funds by contacting Buyer’s bank and, conditional to positive results, notifies the Broker of Record.
• Step 6: Broker of Record forwards the offer with the bank proof of funds for purchase bulk REO agreement to the REO bank, who puts it into queue to be sold to the highest bidder.
• Step 7: if Buyer’s bid is accepted, the selling REO Bank takes the next step by:
• Sending the tape to the Seller’s Agent for delivery to the buyer
• Blocking the tape in the Buyer’s name for a 3 day period.
• Step 8: Depending on the seller, the buyer is given an exclusive 48 hour period to examine the tape and decide if he/she wants to proceed in performing his due diligence.

Buyer that wishes to precede wires a deposit to Escrow’s banking coordinates. Deposit, when received, continues to block the tape for the buyer’s benefit.

• Step 9: To complete the sale by wiring Purchase Price as stated to Escrow for the purchase bulk REO package he/she has chosen, buyer has:
• (3) Banking days from the time he/she has wired the deposit for any order of $25 Million or less.
• (5) Banking days from the time he/she has wired the deposit for any order over $25 Million.
• Step 10: As the last step of bulk REO sales, the Escrow Officer arranges for Title Insurance, transfer documents, and all other forms necessary to close escrow. All payees must e-mail the Broker of Record their banking coordinates so their commission checks can be sent to them. Escrow closes and pays all concerned.

During proceedings Confidentiality and Non-Circumvention Agreement is singed and stamped by all parties. General Fee Agreement is completed and validated. Depending on the agreement, Buyer irrevocably instructs Escrow to release a small percentage of the selling price, payable in equal amounts to the Buyer’s Mandate (where applicable), Seller’s Representative/Mandate (where applicable) and to Real Estate company involved. For selling price percentage of 3% this means 1% to each of the three parties involved.

Is it possible to back out of the deal? Yes, there is a procedure that lets you back out gracefully. In cases where a Buyer does not wish to proceed with property acquisition, he/she are obliged to notify Escrow. Escrow will refund 90% of the deposit, with the non-refundable 10% used to liquidate damages. Following completion, bank makes the REOs available to the next highest bidder. Escrow notifies the Seller’s Representative, who in-turn notifies all payees, should the transaction fail to close.

Following the unwritten market rules, for best price go direct, applies to bulk REO. Purchasing directly from the bank significantly cuts the costs and can lead to 40 to 90 % discounts. Who would pass up an opportunity like that? Anyone, who is not aware such an opportunity exists.

So why is buying REO directly from bank so great? How is 90% discount possible? Three word answer – no retail price. Whoever retails wants to make something on it. Same with Bulk REO. When you buy bulk REO from source other than a bank the price gets higher and your discount smaller. Banks are in it to get rid of properties and they do not really care to make money on it. They get their share from mortgages. They want you to take bulk REO off their hands and sell it to someone who will go in with a mortgage. So they waive many costs associated with Bulk REO purchase.

All you have to do is pay on time what is asked of you.

Knowing that there is a great bulk REO sale going on but not knowing where, how and who does not do you any good. To score the best bulk REO discount, you have to be at the right place at the right time. You must have money to buy. And you must have connection that will lead you to the tape where you can buy bulk REO at 90% off. In other words you need access to nationwide REO property list.

There are few ways you can go about it but the best is to cut search time by getting to people and organizations working directly with banks that have access. Let’s face it no one will advertise a great sale, because everyone and their mother wants in on it.

When dealing directly with banks make sure you are well prepared and all your bases covered. Do not go in blindly. Many people make a mistake treating directly to a bank as an information session. This is a mistake that could cost you a nice bulk REO at a great discount. Have your paperwork, information and money on the ready.  When you go in negotiating several million worth of bulk REO with a bank they expect you to have the funds to make the purchase.  There is no try. It is do or do not. And considering the money at stake I’d odds are you will go for a “do”.

While you can find a good deal on bulk REO, going directly to the bank brings you the best discounts. Buy Bulk REO directly and don’t let the chance pass you buy. After all where else can you get a dollar for a penny?

1. Timing.

Now, more than ever, is the right time to purchase Bulk REO! With current economic dip, there is so much Bulk REO to go around that banks are throwing it on the market at 50% of real value. You can realistically expect to make a great investment and flip it for a good profit. Financing is not a problem, the risk is minimal and the money is great.

2. Deals.

There are a lot of great offers out there – and a lot of was to make a great deal! Bulk REO profit depends on what kind of deal you get. In equal parts luck, access and good networking, making a great deal is as easy as being at the right place at the right time. Get access to bulk REO lists.  Build good relationships by covering your investments. Mingle. Get your name out there. Network. Ask for professional help. Like in any other business if you want to make a great purchase and sell at a good price you need the right connections. That means going with bank or becoming a Tier 1 buyer. Either way you get to purchase bulk REO:

• Wholesale
• At great discounts
• With maximum sale potential to secondary buyer

Right connections also mean more financing. Leave the stories of million dollar investors to fairytales. Realistic aim is to get few investors in on the deal and make the offer.

3. Commission.

No one works for free and neither should you. Set a good commission! There are three ways to go about it:

• Mandate or Broker
• Cash Buy Approach
• Rent or Sell Approach

Mandate or Broker

The profit on purchased Bulk REO depends on how well you can spread the price. You need to have a clear goal of how much money you expect to get and set your commission accordingly.

What is you commission?  One percent? Three percent? More?

What is you commission goal? $10, 000? $50, 000? $100, 000? Yes?

If you purchase Bulk REO for $1 million and sell it at 1 % commission all you get is $10 000, a paltry pickings for the new mover and shaker. At 3% you get a round $30 000 and some regrets. With commission at 10% and $1.1 million sale, voila a nice round $100 000 goes straight to your pocket. Get the picture?

Cash Buy Approach

No banks? No connections? No problem! Work as Tier 1 buyer! Tier 1 is private equity hedge funds, real estate investment trusts, or high net worth investors who can finance bulk REO packages of 100 plus properties

Rent or Sell Approach

After you purchase Bulk REO you have a choice- you can sell it or rent it. Traditional mortgage is a nice way to make money off of purchased Bulk REO.

REO sales offer great opportunities. You can make as much as $100 000 profit when you purchase bulk REO. It all comes down to making the right connections picking a good deal and making a smart sale.

If you like this article please leave a comment and make sure you you get your pdf download copy of  the  Limited Edition Copy of Bulk REO Insiders Special Report 39 pages.  And Find Out What The Short Sale Gurus Haven’t Been Telling You! .…..>>>Just Click Here<<<

Be social create wealth!

Love for money is a given if you take time to read this article. So are the guts if your bank account is on a ready. We will supply the strategy and nerves of steel come with practice so don’t worry about that for now.

After all, bulk REO investing all it is not much different than paying poker. With cards open. Oh yes!  In Bulk REO all cards are on the table and your bank account better be on a ready.  Rules are simple enough. Keep your cool, don’t expect miracles, don’t bet too high, be good for your money and for god sakes do not try to cheat- you will be caught. Play the right card at the right time and you will clean the table.

What it comes down to is that as far as strategy goes, Bulk REO investing is your game as it has easy to follow rules:

• Going is good while demand is high and supply good.

With so many properties going in foreclosure, supply of bulk REO is reaching epic proportions. Banks are itching to clear out their over-flooded books. Demand for money making flips is high perfectly matching the supply. It is clear skies for a gutsy REO investor.

• Bulk REO sets realistic goals.

Think millions, not billions and you will better be able to gauge the angle, the investment needed and the weighed risk.  There is nothing worse that trying to jump a mile and falling short by a meter. Start smaller, work your way up  and you will succeed.

• Good reputation reels the money in.

We all have to start somewhere. Same with Bulk REO. Do not hesitate to contact the bank with a nice rooster of Bulk REO ready for taking. To pony over Bulk REO, banks want to be sure you are good for it. You need to build trust. Start off with a few smaller investments to build credibility. Once you have it, you are on your way to the big leagues.

• Open cards.

Bulk REO is a simple transaction with simple rules. You pay and banks give you Bulk REO. Going in with the major bank guns blazing just to kiss the wall when they ask for few million you know you don’t have – is bad.  To avoid having the door slam shut in your face, be honest. Communicate your budget, start with smaller banks and move up. Banks love a reliable investor.

• Adaptability.

With bulk REO, you can work on your own schedule and at you unique abilities. The wonderful thing about Bulk REO is that it works with any budget. If few million is out of your reach start smaller.  Low risk means anyone can make it in Bulk REO investing as long as they apply solid business practices.

Bulk REO is the investing of the future. As strategy and income builder it is superior to many investment strategies that deal with red tape and small print. By borrowing from established practices of simple supply and demand, Bulk REO is simple the best thing around.