REO trashouts and clean ups

REO trashouts and clean ups

General Contractor · Gilbert, AZ · Member since 2008 · 8 posts · 0 votes

My firm is a 56 year old contracting company that has done business all over the southwest US, although we are only operating in Arizona at the time. We are primarily commercial contractors, with a residential branch. We are seriously considering starting a division to handle REO/foreclosure trashouts and clean ups (getting rid of all the junk homeowners have left in the home), but are a little unsure how to break into the business line. Due to our current business lines, we have all the necessary tools, equipment, personel, insurances, and licenses, so it is just a question of getting in contact with the right people at banks, asset managers, and private investors. Also, if desired by the clients, we can handle any necessary repairs (such as flooring, drywall, electrical, etc...), as well as grass painting, and pool draining. I am sure that we could be very competetive in this business line and provide excellent service to our customers. For now, we would only be interested in Arizona REO's. How do we get in touch with the right people to start doing that type of work? Are any of you directly related to this type of work? Thanks.

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  • Residential Real Estate Broker · Dana Point, CA · Member since 2008 · 147 posts · 7 votes
    18y

    we are in california but it is up to the agent. the bank will call and allow a certain dollar amount for cleanup and we find someone who will do it for that amount or less.

  • General Contractor · Gilbert, AZ · Member since 2008 · 8 posts · 0 votes
    17y

    So what are the the average dollar amounts that the bank allows? Is it based upon square footage? A flat rate? Or what? Thanks.

  • Residential Real Estate Broker · Dana Point, CA · Member since 2008 · 147 posts · 7 votes
    17y

    usually 250 500

  • Carpenter · Woodstock, CT · Member since 2008 · 4 posts · 0 votes
    17y

    I do trashouts for REO's in CT and RI. I usually pass on more jobs than I get. The banks limits are usually less than what it costs me for labor and to dispose of the material. Items like paint and mattresses cost a fortune to dispose of.

    You end up doing A LOT of estimates and bids on repair work when they are trying to sell the property and just need to know the cost for repairs. Usually they only like to do structural repairs.

  • Carpenter · Richmond, VA · Member since 2008 · 33 posts · 0 votes
    17y

    Is there a particular dept of the bank that you call? When you say "trash outs" is that solely getting rid of items out of the home?

    Charles have you done any of the structural repairs? Do you think they are a good source for a young contracting crew?

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