12650 Ingenuity Drive Orlando, Florida 32826 REO Broker Manual To be valid, payment requests for any property must be received by Ocwen within 15 days of the sale date (closing date) of that property. Please submit all bills promptly! Please note: The Pre-Marketing period can extend 30-45 days from assignment. (To open the attachments, you will need Microsoft ® Excel ® , Word ® and Adobe ® Reader ® . These attachments are to be filled out electronically, not manually, and emailed accordingly. You cannot change any of the forms; if they are to be changed, management or the property’s asset manager will do this .) Table of Contents Within 24 Hours --------------------------------------- -------------------------------- 2 Vacant Property --------------------------------------- -------------------------------- 2 Other Responsibilitie s ----------------------------------- ----------------------------- 3 Page 1 of 8
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12650 Ingenuity DriveOrlando, Florida 32826
REO Broker ManualTo be valid, payment requests for any property must be received by Ocwen within 15 days of the sale date (closing date) of that property. Please submit all bills promptly!
Please note: The Pre-Marketing period can extend 30-45 days from assignment.(To open the attachments, you will need Microsoft® Excel®, Word® and Adobe® Reader®. These attachments are to be filled out electronically, not manually, and emailed accordingly. You cannot change any of the forms; if they are to be changed, management or the property’s asset manager will do this.)
Table of Contents
Within 24 Hours ----------------------------------------------------------------------- 2
I. Within 24 Hours Determine the occupancy status and transmit an Occupancy Status Report to the Pre-Marketing Analyst (PMA) at their E-mail address as soon as possible. DO NOT FAX THIS DOCUMENT. It can only be received by e-mail.Read the Broker Instructions document to become familiar with Ocwen’s occupant interaction procedures. W-9 form – click on link and it will open the IRS’ website form to be filled in online and printed for your signature. (For clearer and easier-to-read document so there are no mistakes when we are inputting company’s information, please fill out electronically, print document and sign. If you do not wish to go into the IRS’ website, or cannot, you may also find the W-9 form on page 8 in a .pdf format, which you also fill our electronically. Please be aware that throughout this document the link for W-9 form goes into the IRS’ website.) This W-9 may be required for payment to you, the occupant for Cash for Keys, and to any vendors.
For properties in the city of Memphis, TN please read City of Memphis Ordinance Number 5091 procedures.For properties in the city of Chicago, IL please read City of Chicago Nuisance Abatement Ordinance.For properties in the city of Cleveland, OH please read City of Cleveland Client Advisory.
II. Vacant Property If the property is vacant, you are authorized to spend up to $1,000 in total to accomplish the six (6) following actions as soon as possible. For total expenditures over this amount, approval from PMA is required. Do not begin work on property until you have approval from your PMA.
a. Have the property re-keyed by a locksmith. Install a lockbox (with an alpha or numeric code only) on front door. This is for the Appraiser. This is in addition to and does not impact any MLS multilock or other lockbox you may wish to install. If you do not have a lockbox that can be set to the OCN combination, you may use any alphanumeric combination box. Advise the PMA of the lockbox code and location as soon as it is installed. If you do not have such a lockbox, let the PMA know, and one will be ordered for you. The appraiser will not have access through a MLS multilock.
b. To the extent possible, secure windows and doors, including having them boarded up if necessary. Once you have established that the property is vacant and has been
boarded, please fill in your information in the enclosed Property Sign document and post on the front door / window, or staple to home.
c. Check for any safety hazards in and around the property and have them fixed immediately.
d. Secure pool, if applicable, to avoid liability issues.e. Turn on electricity and water (cannot be in Ocwen’s name and must not be
mailed to Ocwen directly). Do not turn on gas. Please have all utility bills sent to your mailing address. All utility bills must be in broker’s name. Submit the utility bills to REALRemit™ with supporting documents (see Payment to Vendors and Agent Reimbursements).
f. Determine if a Trashout is needed for inside and/or outside. Obtain two (2) bids to complete the Trashout and submit to PMA for approval. Before and after pictures are required for Trashout and their subsequent payment. Email
pictures to asset manager and [email protected]. You must alert your PMA if Trashout is not required.
Please complete this Property Checklist and return to PMA.
III. Other Responsibilities Include the Following 1. Obtain three (3) bids from a licensed contractor reflecting repairs required
to bring property to a lend-able condition. Include any repairs / rehab recommended to enhance marketability. When recommending repairs, be sure to consider the type of potential buyer(s) for the property. Items on competitive bids should be identical. Bids should be prepared on the Contractor Bid Form. Fax or e-mail all bids to the PMA. Do not fax invoices to the PMA. Ocwen does not pay for Estimates.
2. Complete the CMA (also called a BPO) on the Ocwen BPO Form and include photos of the interior and exterior of property. Be sure to include photos of recommended repairs.
a. E-mail these photos to your asset manager and [email protected]. Mailing BPOs and photos is not preferred. If you do have a digital camera, please request digital media when developing photos.
b. E-mail complete BPO package including photos and repair bids to the PMA WITHIN 7 DAYS of gaining access to property. You will need to complete BPO Form and BPO Amendment, and Insurance Claim Form.
3. The PMA will order an appraisal of the property. Appropriate installation of a combination lockbox will expedite the appraisal process.
4. Once the CMA package and appraisal have been received and reviewed by Ocwen, a marketing strategy will be developed and the property will be listed for sale. At that time, the property will be assigned to a Residential Sales Manager (RSM). This asset manager will then List the property with you and remain the Ocwen contact through the successful sale of the property.
IV. Occupied Property 1. Inform occupants that the property is now bank-owned and that you will be
the local representative of the bank. Find out name(s), phone number(s), and intentions of occupant(s), and include on Occupancy Status Report. Fax or email the PMA, who will immediately start the eviction process.
2. Negotiate relocation assistance (“Cash For Keys” or CFK). Start with offering an amount equal to approximately one month’s rent on the property, up to $1,000. Any offer above this amount must have prior approval from the PMA.An approvable agreement requires that the occupant(s) vacate within two (2) weeks and leave the property in a broom-swept condition. As a condition of the agreement, require that the occupant(s) provide access to you to start the CMA process and to the appraiser to start the appraisal. Notify the PMA by fax or email immediately if occupants agree to relocation assistance.
3. If the occupant agrees to relocation assistance, have occupant sign the Occupancy Termination Agreement. Also fill out a W-9 with Occupants information for payment. Submit all forms to REALRemit™ for processing (see page 5). Mailed invoices are rejected and will be discarded. A check made payable directly to the occupant from Ocwen will be sent to the agent for distribution upon vacancy of premises. Allow at least seventeen (17) business days for receipt of check. Do not give occupant the funds until you have physically verified that property is vacant. Please notify the PMA as
soon as asset is vacated. 4. If occupant(s) does not accept relocation assistance, we request that you
check on the occupancy status of the property every two weeks. You may continue to offer Cash For Keys until 30 days prior to the eviction date. Update the PMA every two (2) weeks on the occupancy status and Cash For Keys offer via email. Remind occupant(s) that the owner has initiated eviction proceedings.
5. You are requested to be present at the eviction as Ocwen’s local representative. You will be contacted by phone or email with the actual date and time. If you expect debris removal to be necessary, please coordinate the service for the time of eviction.
6. Once a property has been vacated, either from Cash For Keys or eviction, please notify the PMA via email that the property is vacant and secured. Follow steps listed above for vacant properties.
V. Documents Related to Listing and Closing Property Below are five documents with which you will need to be familiar. Your Ocwen Asset Manager will discuss these with you at the appropriate time in the sales process.
a. Addendum A is an eight-page addendum to the Offer to Purchase. This must be submitted with any offer. Offers will not be processed without the following:
- Ocwen Addendum A , Title company name, contact, phone, and fax on cover sheet of the offer (Title company must be Ocwen approved).
b. The Closing Agreement and Affidavit will be sent by the Ocwen Closing Coordinator to the closing agent. It is an affidavit that you will sign confirming that all utilities have been removed from Ocwen’s name at / prior to closing.
c. Ocwen’s Commission and Referral Fee Schedule.
The Listing Agreement is provided only for your review. It will be submitted to you for listing when the property is cleared for sale and transferred to Ocwen’s Asset Manager.
d. The Contract Summary Sheet2, which your Asset Manager may ask you to submit with all contracts.
e. It is required to email Monthly Report to asset manager by the 25th of each month for previous month’s activities.
At Ocwen all assets are identified most efficiently by the Asset Number.
Please provide this number in all communication and documentation.
Ocwen has converted to a new system – REALRemit™, which provides our REO vendors and brokers with electronic invoice submission and direct deposit of payments. This system was designed in part to allow brokerage firms to have the 3rd party Vendor paid directly, eliminating the need for the brokerage firm to carry the financial responsibility of up-front expenses associated with an asset. The fee for this service is 2.5% of the total invoice amount, or a minimum of $2.00 and a maximum of $25.00 which covers the cost of processing and wire transfer.
Ocwen recommends that the Broker encourage Vendors to sign up for REALTrans®
through the Ocwen website (www.ocwen.com, please see instructions enclosed Broker Guide to Vendor Additions) in order to receive payments directly for work completed on behalf of the Brokerage firm. Alternately the broker can collect the information from the Vendor and submit it through the RSM or PMA.
To receive reimbursement or payment for any property-related expenditure, the Brokerage firm or Vendor must have a REALTrans® account and executed the REALRemit™ agreement; you must contact your asset manager to have a work order created, then submit the required documents, converted to digital format. Once the Invoice has been created, the supporting documents are attached and the invoice is submitted for payment. Please submit all bills for reimbursement within 10 days of completion of the respective work. For services where expense amount is greater than $1,000.00, we require two (2) contractor estimates and the before-and-after pictures in order to approve the service. (Ocwen does not pay for Estimates.) Once a particular estimate is approved, we need the approved contractor’s W-9 sent to the property’s asset manager in order to facilitate the work order creation.
All Invoices submitted for reimbursement should be submitted on a monthly basis; additionally, Ocwen must receive all final reimbursement documents WITHIN FIFTEEN (15) CALENDAR DAYS OF THE PROPERTY’S CLOSING DATE. We understand final invoices for utilities takes longer to receive from the utilities – this is the only exception to receive invoice after 15 calendar days of the property’s closing date. All other invoices will be rejected if received after the 15 calendar days of property’s closing date. In addition, Ocwen will not pay for late fees if Ocwen is not at fault for late payment.
1. Login to REALTrans® (as in instructions in Broker Guide to Vendor Additions), locate the “open work order” for that asset; create an invoice for that expense; attach the supporting documents; and submit them for approval. See the REALRemit™ Procedures Guide in REALTrans® under “Helpful Info” for further details.
2. Supporting documents must be scanned and converted to a digital format using a flatbed scanner, or similar, with a resolution of 300 dpi or better, then uploaded and attached to the invoice when submitting the invoice for approval. Invoices submitted without supporting documents will not be processed. Supporting documents must include the following:
a. Ocwen Work Order Number – Ocwen must authorize each service performed by issuing a Work Order. You must contact the Asset Manager (do not email through REALRemit™) in order to receive an approved work order. Work orders issued by the Ocwen PMA or RSM will be transmitted to REALTrans® where the Broker/Agent can review them prior to submitting the invoice. In no instance will the broker be able to submit an invoice for more that the Total Confirmed Price listed on the
Invoice Details screen. The Broker/Agent should make every effort to assign payments to Vendors and utility companies to avoid the transaction fees.
b. Broker/Agent Invoice Number – the invoice number is the Broker/Agent’s unique identifier for reimbursement; if the Broker/Agent does not supply one when creating an invoice, REALRemit™ will create one for you in the system. This will be how you identify what invoice was paid when you receive payment.
c. Address of the property , including the Asset Number.
d. Payment Method – If the Broker/Agent has paid the vendor by check, a copy of the invoice with Check Number, Date and Signatures of Both Vendor and Broker/Agent, with the statement “PAID BY CHECK” is required. If the Broker/Agent paid by credit card, a copy of a valid receipt, dated and signature is required. If paid by cash, the invoice must be state “PAID BY CASH” on the invoice and have a signed receipt by both the vendor and Broker/Agent.
3. A properly completed W-9 Form for the vendor or Broker/Agent to be paid. This requirement is not applicable for government entities, utilities, etc. Consult with the Asset Manager if you have questions on how to set up a Vendor for direct payment.
4. For all trash-outs and all repairs over $500, before and after photos are required. Verify each work order you are assigned for details on required pictures or consult with the PMA or RSM.
5. All invoices must be submitted WITHIN FIFTEEN (15) CALENDAR DAYS OF CLOSING. Ocwen will not pay any invoices submitted after that time, except utility bills as mentioned above.
Required “before” pictures must be emailed with work approval request to the asset manager (you must also email [email protected] ); “after” pictures must only be submitted through REALRemit™ when you are submitting an invoice.Making false and misleading reimbursement requests will result in termination of the Ocwen-Broker/Agent relationship, reporting to the state licensing board and legal action. REFERENCE REALRemit™ PROCEDURE MANUAL OR HELPFUL INFO IN REALTrans ® USER GUIDES for information regarding direct payment received into your account.
Please do not contact your asset manager about Accounts Payable issues.
Please email [email protected] will only be accepted if submitted through REALRemit™. All
submissions through [email protected] are rejected.Upon property sale and closing, please request a final utility bill (utilities should not be opened under Ocwen’s name – please see above in Vacant Property for more information on utility bills).
TO BE VALID AND PAYABLE, ALL INVOICES MUST BE RECEIVED BY OCWEN BY THE 15 TH DAY AFTER CLOSING. INVOICES RECEIVED PAST THIS DATE WILL NOT BE PAID. PLEASE SUBMIT ALL INVOICES PROMPTLY.
