It may seem counterintuitive for a lender to outsource the foreclosure process. After all, lenders loan the money - they should have the knowledge and the resources to get it back. And to be fair, many do.
But consider a visit to your doctor’s office. Let’s say you’ve been experiencing foot pain. Now, there’s a good chance that your primary care doc will be able to figure out what’s wrong with you after asking you a few questions, and possibly having you go in for some X-rays. And your doc might even be able to provide you with treatment. But chances are your doctor will refer you to a podiatrist. Does your doctor know about feet? Sure; basic knowledge of anatomy and ailments is part of every doctor’s training. But feet are the podiatrist’s specialty. A good podiatrist will have years of experience treating the foot, and will be up-to-date on the latest information about feet, feet-related issues, and the newest ways to treat them.
There’s no substitute for specialization. Here’s why lenders should consider working with a trustee company since they specialize in foreclosures.
Knowledge
An independent trustee company specializes in foreclosures. It has the time, energy, and staff to research the laws and regulations surrounding the process. Lenders may not have the bandwidth to stay on top of existing guidelines, much less be aware of changes that will affect the foreclosure process. This is especially challenging for lenders that operate in multiple states. TLS has been doing this work for over 16 years, across four states and is active in many trade organizations allowing us to have the most up-to-date information on what is going on at the federal, state, and local level. Over that time we’ve gained a tremendous amount of knowledge about the foreclosure process.
Experience
There’s a saying: knowledge consists of having information, but wisdom is understanding how to use it. (It’s the difference between knowing that a tomato is a fruit, and understanding that it doesn’t belong in a fruit salad.) If the laws surrounding foreclosures are sometimes impossibly complex, so too is the actual work involved in processing a foreclosure. A good trustee company knows the ins-and-outs of the work involved, from making sure that the correct forms are completed to knowing how to communicate vital and required information to lenders and borrowers alike. At TLS, we’ve learned that through decades of experience.
Trustworthiness
Trustworthiness goes beyond making sure that the foreclosure process is being handled in a legal and ethical manner—although it goes without saying that you should make sure that your trustee partner is a legitimate, reputable business. For a lender, it’s crucial that if a default occurs, the people responsible for resolving it are going to achieve the best possible outcome. Sometimes that will necessitate foreclosing on the borrower. But that’s not always the case. Indeed, at TLS we believe that foreclosure should be the last resort. Trusting your trustee partner to help you make the right decision is crucial. We know that expertise and a demonstrable track record of successfully resolving foreclosure issues is how that trust is built.
At Total Lender Solutions, we advocate for lenders looking to maximize recoveries on defaulted loans. For over 16 years, our team of highly experienced real estate professionals and legal experts has transformed complicated processes into clear resolutions for institutional and private lenders. We work as a vigorous extension of your team to provide comprehensive solutions and seamless communication, from pre-foreclosure and notice of default to the final sale phase. Our dedication and persistence when it comes to the foreclosure process ensures that our clients feel confident in reaching a successful outcome. Contact us today.
