Mortgage vendor Default Resource has launched a new asset surveillance report that allows servicers to inspect and oversee the work performed by REO and short sale listing agents.
The new report will be offered through the company's 'Mark to Market' valuation division. In a statement, Default Resource said it has signed contracts with servicers and asset managers, including some top 10 ranked players.
Through the asset surveillance report, M2M sends out independent inspectors to listed REO homes. The inspection agents report back if the home is being properly maintained, has visible yard signage, lockbox in place, is listed appropriately in the MLS and the appropriate marketing materials are available in the home. Any hazardous conditions are detailed in the report as well, which also includes photos of the property.
Research performed by Executive Asset Management, an REO asset management company owned in part by Default Resource, shows that it costs banks on average $150 each day a property remains on the market. In cases where empty properties are vandalized, or damaged, it can cost even more.
"Whether it is complacency, lack of capacity or worse, this underperformance results in homes sitting on the market too long," said Default Resource president Frank Marshall. "This has adverse financial impacts to the seller and individual neighborhoods."
