Foreclosure Cleanup Network

Free to Join-Network of Reo Agents and Foreclosure Cleanup Businesses

I'm registering with the banks and some ask for a discount rate on property preservation jobs.  I'm new to this industry and would like to know more about the pricing of the jobs.  Thanks!

Views: 690

Reply to This

Replies to This Discussion

When a bank asks our firm for a discount. I in turn ask them what is there time-line for receivables to be paid. Prior to quoting a discount rate.

In other words net 30 will get a discount rate of 7%. Net 10 days gets a higher discount rate. All depends on where the parables falls for me to get my money.
Is there any way possible, that I could get you to elaborate on your comment a little more, I'm very interested.
excellent question and answers! right on the $$ We use a net 30. however, as an incentive ,
we discount up to 18% if we get paid in less than 25 days. the cool thing is, you can use this as a sales tool. also we use a factoring company for a portion of our receivables. I think I like the 7% in 30 days or less! errr...Im loosing money :) lol
I am very interested about this as well.

Thanks
Sure, It is very simple you bill for a set amount. Lets say you charge $150.00 to do a lock change. Now the bank wants to know how much of a discount you will give them off of you fee of $150.00.

Some companies discount the service charge 15% or less. That would mean that the paying party (Bank or ?) would subtract 15% off of your fee for the services you provided. So they would pay you $135.00 for these services.

Now to get a better discount I personally would want to be paid faster so I would offer a better discount. The key is to remember how fast you get paid is it worth the discount for the business you receive form that customer.
great post !!
I have been looking for these answers! I do have a question though. When the companies you are working for already give you set fees of the jobs you are doing.. Do you still do a discounts on those?

Thanks Joel,

Your explanation on how to give a discount was very clear.

Again I say thanks.

CB Smith

Excellent Post!!

@ R & R Property Svcs - great info!! Keep it coming :o)

RSS

SOCIAL MEDIA FOR REAL ESTATE AGENTS & REALTORS- REAL ESTATE SOCIAL NETWORKING EBOOK JUST RELEASED!

Real Estate Internet Marketing- Using Social Networking to Grow Your Real Estate Business Fast INSTANT DOWNLOAD Unleash the Power of the Internet & Social Networking to Grow your Real Estate Business Quickly!

 

ARE YOU INTERESTED IN ADVERTISING HERE ON THE FORECLOSURE CLEANUP NETWORK?

JOIN NOW & CONTACT US TODAY TO FIND OUT ABOUT THE MANY ADVERTISING OPPORTUNITIES WE OFFER!

© 2017   Created by Foreclosure Cleanup Network.   Powered by

Badges  |  Report an Issue  |  Terms of Service