No one could have predicted the level of disruption we’ve all faced following the onset of the COVID-19 pandemic last year. If your financial institution has been thrown into unfamiliar territory and you aren’t sure what to do or how to manage your large REO portfolio, we have a few ideas that we would like to share.
Tip #1: Ensure your REO properties have adequate security.
If vandalism or theft occurs on one or more of your properties, it’s going to cost you. Financial institutions must be proactive and take every precaution to protect their property from squatters, vandals, and looters.
Lock and/or board-up all windows and doors; make sure you change all locks; and, consider disconnecting air conditioning units and pool equipment. The disconnected equipment can be secured in the garage or any other available safe place. Also, keep the yard well-maintained so it isn’t easily identifiable as vacant. You may even consider using a drive-by security service to further reduce your exposure.
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