DRI Forms Alliance with Unison Global Partners
Newport Beach, CA-DRI Management Systems, a provider of default management solutions here, formed an alliance with Unison Global Partners LLC to offer loan servicers of all sizes a low-cost and expedited method to seamlessly manage, track and dispose of distressed assets.
UGP offers an array of services such as REO management, title and escrow, valuation services and a network of real estate brokers and live online auction capabilities aimed at selling lender-owned real estate.
The company uses DRI's flagship software product, The Default Solution, as its automation base to facilitate the flow of information from servicers into the UGP suite of property disposition services, eliminating human error and accelerating the process.
Unison Global Partners offers a guarantee that the property will sell and yield the maximum possible price. This is made possible by UGP's utilization of several approaches over the course of its three-stage process. In the first stage, a property is listed with UGP's broker partner, REObroker.com, which has 60 days to sell the home using its automated system and its access to over 80 million potential buyers around the world. If that does not occur, stage two involves an online auction to a global audience of investors and end-buyers lasting 14 days. Stage three is a live auction, conducted according to a marketing plan designed around the particular property.
UGP says the first two steps are successful in 90% of the cases, so only 10% will typically get to this last stage. The end result is an assured disposition of REO properties, freeing lender capital, preserving neighborhoods by putting owners in otherwise vacant homes, and helping the country weather the storm of foreclosures and lender-owned real estate. DRI's technology platform, The Default Solution, is an essential part of making this process work, according to Steve LaRocque, CEO of UGP.
"DRI's technology and their client base form the perfect launching point for this unique service. The other service providers invited to join this alliance, in combination with UGP and DRI's industrywide contacts, will enable us to build and grow this business very quickly," said Mr. LaRocque.
It is UGP's goal to make this approach the standard industry practice for servicers of distressed assets of all sizes and in all areas of the country, he explains. "Our services and strategies are easy to understand and even easier to engage. We create a standardized, repeatable, proactive process to take charge of REO properties and, as a result, the assets are removed from the servicer's books and are sold at the highest available price. This business model reduces the cost of managing the REO process, while yielding the most return and minimizing the loss of each asset."
Tom Moon, CEO of Pacific Moon Properties and founder of UGP's broker network, REObroker.com, agrees that the technology is a key to success in rapid property disposition. "DRI's Default Solution is a comprehensive default management technology that enables servicers to minimize traditional staffing levels in handling defaulted loans," he says.
"When you can automate the handling of those assets, bringing together relevant information and helping to manage their progress through to sale, you can create a process that works quickly and efficiently, as we have done with UGP."
With the increasing number of REO flooding the industry, lenders are scrambling to find ways to handle their growing inventories while keeping costs down, said Paul Wright, senior vice president of sales and marketing for DRI.
"One of the key reasons UGP came to us with their service offering earlier this year was our position in the industry and our willingness to think outside the box. The combination of our technology and their ability to deliver their service consistently and effectively will make this important new business a complete success, bringing tremendous value to lenders, servicers and investors, alike," he said.
"UGP was created to fill a gap in the industry not being addressed by the traditional service providers today. They bring a much-needed solution to the mortgage industry and the American economy as a whole."