REO Tech Provider Sees Historic Growth as Bank-Owned Properties Swell
Selling REO is big business these days; the firms that specialize in the business of managing, listing and selling bank-owned real estate assets have been flooded with new assets as foreclosures nationwide have soared in the past 12 months. And while many origination tech providers are scrambling to integrate and partner up in an effort to weather the current storm, many technology providers that specialize in the oft-hidden (and often ignored) default servicing segment have hit their proverbial end-of-the-rainbow. REOTrans, LLC -- one of the larger tech providers you've never heard of, unless you happen to work in REO disposition -- is the latest beneficiary of the industry's shift away from origination, and said late Wednesday that more than 150,000 homes representing $22 billion in total value have been sold through its web-based platform. The company provides banks with a software system to manage and sell REO homes nationwide, providing its software to 16 of the top 25 mortgage institutions in the country -- it also provides foreclosed property listing services via its own Web site, although its the management platform used by servicers that the company is best known for. REOTrans said that approximately 175,000 properties are currently available through its own platform. "We continue to see substantial additions of foreclosure properties to our system each month," says Chris Saitta, CEO of REOTrans. "On the plus side, we are definitely starting to see higher numbers of properties selling, even in areas like California and Florida, which have been significantly impacted by the current real estate and mortgage crisis. "Homebuyers and investors are becoming more active and starting to buy properties once again – there are a lot of good values being offered by sellers." REOTrans' core business involves connecting servicers with local real estate agents; more than 15,000 listings per month are assigned by sellers to real estate agents through the REOTrans platform, the company said. For more information, visit http://www.reotrans.com.