My lease is up in a few months and I am thinking of moving my office over one or two zip codes to get more upscale REO listings. The demographic change is huge. The average income and the average sales price of homes more than doubles. Has anyone changed their address with all of the banks? What affect did it have on your business? Moving is a huge PITA but if it will help my business I'll do it. I feel that the subprime loans went bad already and the REOs are moving up the food chain to the more upscale areas. Any thoughts?

We are starting to see a better class of foreclosure. IMHO it is due to the recast of the Alt Option ARMs which recast instead of resetting. We are still seeing the ratholes but we are getting better ones mixed in.
Good Luck

I am with Gramps - I was just thinking this morning how we are going down the path we predicted we would be over a year ago.

I am doing many more assets in gated communities and other higher end homes then a year ago and the number of shacks has decreased considerably.

As far as moving to another area, what is it you are trying to take advantage of? Do you see these properties sell quicker and/or more REO per office.

There is another current thread asking the same things - and it has been discussed in the past. I see it like this - if you remove REO & BPO, out of the picture, where would you want to be? I'm a 'go for it' kind of guy so good luck with the move.

Personally, the higher end homes are tougher to comp and ultimately a tougher BPO. Many of those properties are custom and the BPO is not as easy....Now, that is just my take on it.

I have seen listing Agents that were anywhere from 50-100 miles away from the listing property, I don't you need to move to get those kind of listings.

My biggest client assigns listings based on zip code. I get the bulk of my listings in the zip code my office is in and the zip codes adjacent to it. This means I get alot of beat up entry level 3/1s and condos in similiar condition for listings. The zip code I'm thinking of moving to touches 6 other zip codes. All 7 of these zip codes are high income high property value areas. I know it will be a trade off between higher quality listings versus lower volume but if it means more money for less work I'm going to do it. I also get listings 50 miles away from my office but I'd say 80% of my listings are within 5 miles of my office.
Pine, The question, "Remove the REO out of the picture and where would you rather be" really hit me in the gut. I think I should move just based on the fact that I'd rather be in the more upscale area. A lot of "characters" around my office. Characters I could do without.

I think it depends on how the client assigns listing. Some are very scrutinizing and go by your average sales price. Others don't care as long as your x miles from the property.

Jgizzi,

I think that my average sales price would increase if I move over two zip codes which would encourage banks to send me even more million dollar REOS. Its kinda like success/money flows to people who already have some.

Those areas two zip codes over are being served by REO agents. The REO agents there are working with "your" clients right now.

Liz - you can be a devil

And I would like to list conventional, full price commission homes in the most prestigious section of town. If only the agents who get all of those listings would move over and let me in...

LizL

You seem like a half empty kinda person.
If you want listings in the most prestigious part of town then take them. Screw who is already doing business there. There is enough business to go around.

Oh Boy - this should be fun

If you join the rat race you never win, you only go up against faster rats. (And looking at rat butts is not that pretty) If you want to market an area go for it.

Yesterdays Peacock is tomorrows feather duster.

Someone else dominated that market before the current agents did and someone else will after they are gone.

We went from no REO to top of our company, in our area, in 18 months. (it took 18+ hour days 7 days a week but we did it)

Work Work Work Dig Dig Dig. The world belongs to the efficient. Work harder and smarter and it will be yours.

Never Ever Ever give up. You do not fail if you fall down. You fail if you don't get back up. Worse yet if you do not try.

If you wanted Real Estate to be a part time job you got into the wrong line of work.

Best of luck to you.

I heard something today that applies to this. "Failure" is just feedback to try something different.