FirstClose? Launches Private Real Estate Auction Sites in Tandem with $300 Billion in Available Investor Funds

AUSTIN, Texas (Business Wire EON) June 2, 2008 -- The FirstClose Auction Sites allow lenders and/or realtors to post properties quickly and easily. Lenders or realtors simply set the price, upload pictures from a current appraisal or BPO, and the auction begins. Subsequently, investors log into the system to conduct due diligence, which may include ordering a new appraisal. Although auction times may vary, a 5-10 day window is typically allowed for investors to conduct their due diligence. If the investor decides to purchase the property, they simply bid above the reserve price and wait for the auction to end or click the "buy it now" price and the closing process commences.

One significant advantage of FirstClose auctions are that the investor groups are ready to immediately buy properties at competitive prices, with a high probability that purchase offers will be equal to net proceeds required by most lenders. The company is also entertaining additional investor groups willing to bid under similar terms.

Although most FirstClose auctions are private, the company has developed a free demo auction site to enable interested parties to create accounts, post sample listings, bid on sample properties, and discover features of the system.

Since REO sales do not involve a homeowner or a new borrower given that the investor is paying cash, much of the red tape and regulations associated with a typical mortgage purchase are eliminated.

For lenders interested in using the auction systems for Short Sales, the process is a little more involved, but still very easy. Since a realtor and borrower must be involved in the transaction, a trained short sale realtor simply collects all of the documents required by the lender and posts the listing in the private auction. If the property does not sell to an investor in the private auction, the realtor has the option to post the property in a FirstClose public auction and sell the property using MLS and other traditional means.

Strategic title partners are utilized for title transfers, closing, and settlement services to help streamline the entire process for both REO and Short Sale transactions.

"We have never been more excited about one of our service offerings," said Tedd R. Smith, President and Chief Executive Officer of First Lenders Data, Inc. "Given current market conditions and the desire for lenders to sell their REO properties quickly and easily, our solution couldn't be more timely. The industry is in desperate need of a solution just like the one we are offering and we hope to have a positive impact on lenders and the economy as a whole."

For more information about buying or selling REO and Short Sale properties, visit www.firstclose.com/auction.php or contact Van G. Hill at 512-514-6609 or Tommy Board at 512-917-4023. Alternatively e-mail Van.Hill@FirstClose.com or Tommy.Board@FirstClose.com.

About FirstClose? and First Lenders Data, Inc.

FirstClose is a service of First Lenders Data, Inc., a privately held company based in Austin, Texas. Founded on March 22, 2001, the company provides cutting-edge technology solutions to mortgage lenders nationwide. FirstClose offers real estate auction systems, loan origination systems with automated underwriting and automated decisioning capability, as well as a wide variety of mortgage settlement services? all bundled into one platform to increase efficiencies, eliminate duplicate data entry, and help lenders close more loans. Settlement services include; credit reports which feed the automated underwriting and decisioning systems, automated valuation models (AVMs), guaranteed AVMs, AVM validation and back-testing, appraisals, gap valuation services, BPOs, flood determinations, flood insurance, hazard insurance, property reports, legal and vesting reports, guaranteed lien reports, title insurance, income verification, tax tracking, document preparation, fraud detection, closing and recording services, mortgage leads, foreclosure data, and more. For more information about FirstClose, visit www.FirstClose.com or contact Van G. Hill, National Accounts Manager, at 512-514-6609 or Van.Hill@FirstClose.com.

MULTIMEDIA GALLERYhttp://www.businesswire.com/cgi-bin/mmg.cgi?eid=5697856

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