There is currently a new breed of entrepreneurs on the block and they are busy handling so-called “trash-out” projects to prepare these homes to sell for banks often based hundreds of miles away from the homes they’ve repossessed in foreclosure. There is no way that the institutions are able to send an in-house crew to handle an issue that can be subcontracted out locally. Many banks have taken massive amounts of stimulus cash and they’re willing to spend it in a big way.

Trash-out contractors charge anywhere from $700 to $1,800 for light landscaping, basic hauling and general cleanup, but some jobs can cost in excess of $7,000. Some houses are left in reasonable condition, but plenty contain waist-high debris and wrecked vehicles in yards. Trash-out contracting is a reasonably new business with little in the way of competition. It is not a glamorous occupation but for those willing to work at it, it can be a very profitable undertaking.

Contractors have cleaned in homes where angry owners or tenants have deliberately taken out skylights to cause water damage and in homes where kitchens and appliances are missing. Occasionally, graffiti removal is part of the job. Some of the former owners are so enraged with the bank that they will take the copper wiring and/or put concrete into the toilets. Not very gracious but we’re not here to judge. We are, after all dealing with one of the most basic of human needs.

The National Association of Realtors recently reported that more than one-third of all existing homes for sale in the Nation are distressed, meaning they’re already in the foreclosure process or coming close to it. The foreclosure process sometimes takes years to happen, which can only mean that there is a steady supply of properties for years to come.

RealtyTrac, a foreclosure property research firm, named Florida, Washington, California, Texas, Arizona and Nevada as the most-active states for foreclosures in America. Although these are the apparent hotbeds, there are still numerous properties elsewhere.

Real estate agents who handle foreclosure listings – often referred to as “REO” (or “real estate-owned”) listings – must coordinate with the institutions that own these properties to take care of a litany of special tasks that don’t accompany a traditional owner-occupied listing. Working with the banks is the easy part. Finding a reputable trash-out contractor can be a whole different story.

The mortgage lending giants Fannie and Freddie, unlike some institutional homeowners, will disburse funds for some non-structural repairs, such as flooring replacement and interior and exterior painting, which is why some jobs can run up to $12,000. The trash-out contractor can handle many of the easier jobs keeping more of the profit.

Many companies have witnessed absent appliances and stolen bathroom cabinets in conjunction with cosmetic issues. At one home, a team learned the previous tenants had bred rats and left those that died in drawers – a removal job requiring hazardous-materials suits. Since there is no special permitting involved, haz-mat suits can be rented for the infrequent occasion.

Unfortunately, it’s not always easy work: Cleaners have run across situations where speculators purchased houses with no money down, rented them out, and skipped their monthly payments – leaving renters shocked to learn that they’re getting evicted because of the landlord’s shameful behavior. These are the angriest of all people as they’ve done nothing wrong but still find themselves without a home and possibly haven’t deposit money to move.

For whatever reason, abandoned properties are pretty abundant but when it’s all said and done what are looking for is that the property is all tidy, the floors are swept, and it’s showable.

Trash-out cleaning is a huge part of preparing these homes for sale. Foreclosure properties are currently in massive supply and this trend should continue for years to come. There are step-by-step manuals available online to guide the would-be business owner toward a successful entry into this lucrative profession of trash-out contracting.

For a downloadable manual about starting your own foreclosure cleaning business, please visit: The Sweeping Beauties Guide to Foreclosure Cleaning.