Is the "Bulk REO Business" Real...? Tell us what you think!

I'm fortunate enough to have been partnered with a gentleman (for several years now) who was doing REO's back in the late 1980's when I was only 3-5 years old. Hence, we already had The "Direct Contacts" when this recent REO thing started, and from what I can see there are a lot of misconseptions out there....

First of all, If, and I repeat, if, you could get your hands on a $200,000,000.00 pool, the fees would most likely be 1% and not 3%, which is still plenty of money. However, some guy who was most likely doing SFR properties one at a time just 3-6 months ago, and has a yahoo.com email, isn't going to have that buyer or seller!

We work very hard to do these deals and we are very happy to close 1-3 deals a month for anywhere between $10 - $50MM total. That's the real situation; and that's a lot of money, even at 1-2%.

Furthermore.... People that have $200MM+ to spend or have a $200MM+ pool to sell aren't going to be on any type of forum trying to do so. Also, all of these $200MM, $500MM, and up into the $Billion dollar pools (maybe) aren't going to be handed out to people as if it were candy to a 5-year old on Halloween. Remember, $1-Billion = (1,000 x 1,000,000); not exactly chicken scratch!

If people would just use their common sense it's very easy to see why most are getting jerked around in this "REO GAME". That being said, I wish all the best at success in their endeavors, but I will give one last piece of advice.... If you're working on aquiring and closing that $200,000,000.00 pool, you'd better get a second job.

Ocean Capital Group teams with HOEM in pursuit of San Diego County REO's.

Ocean Capital Group, LLC (OCG) and Home Owner Equity Management, Inc (HOEM) have recently teamed upin an effort to capitalize on an overall slowing real estate market. While the two entities remain separate fromone another, they complement each other rather nicely.
While both companies Deal with nationwide bulk REO pools, they also both have clients looking for So, CA. specific REO pools. Among those clients are a handful that have been more specific in requesting San Diego County only. The fact that OCG and HOEM are both in the hub of Southern California helps out as well.


The REO business has had an adrenalin shot with the nation-wide real estate slow down; but was that shot an overdose? It may have been.... There are real estate agents and brokers all over the place claiming to be direct to the bank / seller / compiler / etc, etc, as well as claiming to be direct with buyers. Rarely will these claims prove to be true; this is another reason that OCG and HOEM decided to team up.

The officers / principles alone have nearly 50 years in the real estate investment business. Along with that came accidental as well as intentional relationships on the direct buying end as well as the direct selling end. The President of Ocean Capital Group in particular was in the REO business back in the 1980's.

In addition to REO's, Ocean Capital Group is also involved in several large scale commercial projects. Most recently, a $200,000,000.00 venture capital loan and a $40 Billion international deal is in progress.

Until next time,

Justin Davis
Ocean Capital Group
justin@ocgdirect.net