When banks or mortgage houses foreclose on homes or other real estate properties, they need to get the houses cleaned or "trashed out." A trash-out business is a good investment due to the demand. Banks or asset management firms pay trash-out services quite well; on average, you can earn $500 to $2500 per trash-out job. The price charged depends on the condition of the house and the amount of clean-up that is required. The business can be full-time or part-time.
Research and choose the services you will provide. Some of the services that your trash-out business can provide includes repairs, paintings, debris removal, window cleaning, real estate clean up, hauling, mowing and lawn maintenance. It is advisable that you provide as many clean up services as possible.
Get licensed and insured (bonded). You need a business license and a contractors' license. You also need property insurance in case of any damages when carrying out the clean out. A fidelity bond is necessary to cover any thefts that might occur when the cleaning exercise is taking place, especially employee thefts.
Register with banks and Real Estate Owned (REO) companies. Ensure that your business is listed in foreclosure clean-out directories. You also have the option of joining the Foreclosure Cleanup Network to get lots of free information on how to start and run your trash-out business.
Market your services. Creating an online presence will help to boost the credibility of your business. Advertise by handing out fliers and networking.
Get foreclosure cleaning contracts. Get these by networking with banks and asset managers. You can call banks directly and ask them for their asset managers within your locality. You can also find many asset management companies online; fill out their vendor application forms online. The companies will contact you when they need your services.
You can also call REO managers and find out if they have any jobs. Get in touch with foreclosure realtors, janitorial and custodial companies within your locality. It is important that you reply to your mail or telephone calls as soon as possible when a contractor gets in touch. Provide them with the required detailed estimates.
Price your bids. Have competitive market prices to ensure that you get contracts. You can choose to charge for your services per square foot cleaned or the types of services to be offered.