REO – Property Preservation
Experienced Property Preservation Contractors can go straight to the online job application.
Those who are interested in getting into the Property Preservation business, keep reading.
Requirements to be hired by National Mortgage Field Services
Property Preservation in the Mortgage Field Services industry is of high demand. There is an even higher demand for Property Preservation Specialists who know what they are doing, and who can do the job right the first time.
Very seldom will you see “on-the-job” training in this industry since most people in the business are independent contractors. As a Property Preservation Specialist working for National Mortgage Field Services, you are hired as an Independent Contractor. We do not provide training for this industry but we are willing to work with those who are starting out as long as they can follow NMFS procedures and policies. However, for those just starting out in the business must purchase and read the 2012 Property Preservation Specialist Reference Manual. This can be purchased by going to the MFS.com website, or Amazon directly from the author. NMFS does not sell this manual. The Pocket size manual is just $19.99, and the 101 page manual is $39.99. Your choice.
You have to know what you are doing, and how to do it, before we can hire you.
What is Property Preservation?
Property preservation involves the securing, protecting, and preparing of properties for sale that have undergone foreclosure, default, or are in bank-owned status. The financial hardships that cause these unfortunate situations leave prior homeowners unhappy about losing their homes. As a result, many of these homes are left in poor and sometimes unmarketable conditions.
The rise of REO (real estate owned) properties has created an influx of vacant and/or abandoned homes. As they arise, so do companies that provide property preservation services.
Many lenders are finding it easier and more cost-efficient to use established property preservation companies. Lenders and mortgage companies have even created separate departments that handle properties that require property preservation services.
The following are some of the services provided by property preservation companies:
- Securing of Property
Locks (door knobs and/or deadbolts) are changed according to lender requirements or by abiding by applicable regulations.
Padlocks, slide bolts and/or hasps may be installed to accompany lock change if required for complete property security.
Lock boxes are typically installed with an assigned code unless already provided by Realtor. Lock boxes secure keys to the property to allow third party access
Board-ups are completed to secure windows, doors, and entry ways that allow easy access into the property. Applicable guidelines for security are followed based on the size of entry way.
Swimming pool areas – swimming pool areas are secured according to appropriate guideline requirements.
- Debris Removal
Personal property – items that are considered personal properties (ex. televisions, computers, items in good condition, etc) are typically stored in a storage for a period of 30 – 90 days depending on lender requirements. Personal items that are not claimed within this period are either sold at a sheriff’s sale/auction, auctioned, or dispensed.
Debris – debris is removed based on lender/insurer/client instructions. Debris is removed and counted based on cubic yards. Lenders typically charge based on this count.
Hazardous material(s) – hazard materials are removed based on lender/insurer/client instructions. The dumping of hazard material MUST be followed according to city/county codes. Illegal dumping of hazardous waste is a crime and may be very costly to the individual performing this act.
Car removal – car(s) are removed based on lender/investor/insurer/client instructions.
*Many lenders/investors/insurers/clients require that a dump receipt be provide to verify that the debris was dumped legally.
What is winterization – Winterization involves the preparation for an upcoming winter. This process involves the draining and sealing of pipes so that water does not freeze inside the pipes. If not performed correctly, pipes may burst or break.
How is a property winterized -
1) Gas and/or electricity should be turned off for the boiler and the water heater.
2) All plumbing and heating systems must be drained.
3) Air pressure must be used to clear the system of water.
4) Anti-freeze must be added to all fixtures.
5) Water supply must be shut off by closing the main shut off valve.
6) Water meter must be disconnected from the cradle and left on the premises.
7) The feed pipe that leads to the main water valve must be disconnected, plugged, or capped.
8) All winterized items must be tagged or labeled with date of winterization and preferably the company that performs the winterization.
- Lawn Maintenance
Initial and reoccurring lawn services will be provided based on requirements set by city/county/lender/investor/insurer/client. Services may be required one to two times per month.
- Janitorial/Sales clean
Many homes that are left uncared for may need additional work done during janitorial/sales clean. All bedrooms and bathrooms must be cleaned according to sanitary standards and as required by lender/investor/insurer/client. All rooms must be free from debris and other items that are not permanently affixed to or a part of the sale of the property. Services usually include vacuuming, mopping, and scrubbing of items needed to be cleaned.
- Pool Maintenance
Client awareness of pool condition must be made immediately. Based upon instruction and based on the pool’s condition, it must be drained, cleaned, and refilled as necessary. Chemicals are added on a weekly basis along with other services that are necessary to maintain pool’s cleanliness.
- Snow Removal
Snow is typically removed based on the requirements set by lender/investor/insurer/client.
Photographs of all services must be provided to lenders/investors/insurers/clients. Many clients require before photos to be submitted prior to issuance of assignment. However, other lenders/investors/insurers/clients require all before and after service photos to be provided upon completion of assignment. Photos must indicate the amount of service provided by field service (property preservation) company.
How Much Money Can You Make?
This question is impossible to answer. In general it depends on where you live and how much volume we have in your area. Of course metropolitan areas may see more work orders than less populated areas. It depends on if you are doing a bi-weekly grass cut or a full blown trash-out. Lock changes, winterizations, boarding windows etc., are work orders that are sent to us as the need arises. There are no guarantees in this business and it helps to work for as many companies as will hire you. As an independent contractor you can work for as many clients as you can sell your services to.
This may turn out to be the perfect full or part time job you’ve been looking for. It allows you to make a few extra bucks while developing your own business. Many of our reps have been with us for several years and have developed a very lucrative career for themselves. Others find out very quickly that they would rather work in a factory or at a fast food restaurant. Only those who have experience will be offered high volume areas. (Unless you convince us otherwise.)
If what you have read so far sounds like something you want to do, and you have already read and studied the 2012 Property Preservation Reference Manual, and you were able to get hired by other companies performing Property Preservation for at least 2 years, then go back up to the top of the page and submit your application. NMFS only hires experienced Independent Contractors for REO/Property Preservation.