Brokers Price Opinion. An educated guess at the value of a property. Looking at comps and driving by the properties. Another name is a windshield appraisal too. A lot of banks use them instead of hiring an appraisal prior to foreclosure.
BPO's will tell you very specifically that
this is an OPINION and not an appraisal.
They're usually done by entry lever R.E. agents most have trouble finding the property and are befuddled by the simple form they need to complete.
I have to disagree. Most banks require BROKERS to sign for BPOs, not agents. If the broker orders an agent to do a BPO, he's still personally liable for the quality of it. If the bank discovers that a broker does not give them quality BPOs, they'll just drop them. BPO's are a sweet tooth for brokers - banks pay $80-$100 for them, and it's usually less than couple of hours of work.
Although I agree with your suggestion, I disagree with the reality of it!
The agents who are performing BPO's in my area, certainly are agents working under the broker, but the broker is not involved in the BPO, nor do they sign off on them for the agents. These BPO's are simply carried out by the agent themselves.
Also, all BPO's are not directed to the Manging Office Broker. If you are a Licensed Real Estate Agent with a Brokers License, you can set yourself up as the only call person for the bank or third party! Therefor, in regards to the BPO, the agent/broker is responsible for themselves, and can be influenced by a strong presentation as to why a properties value is worth less!
broker's price opinion
http://www.thecreativeinvestor.com/Encyclopedia-4.html[ Edited by nebulousd on Date 12/12/2003 ]
Brokers Price Opinion. An educated guess at the value of a property. Looking at comps and driving by the properties. Another name is a windshield appraisal too. A lot of banks use them instead of hiring an appraisal prior to foreclosure.
Good LUCK and HAPPY HOLIDAYS
Hope this helps some
Ted Jr
BPO stands for Broker's Price Opinion. Banks order these to get an opinion of the market price of a property that they are negotiating on.
Thanks for the responses
Happy Holidays,
Yaisa Hagood
BPO's will tell you very specifically that
this is an OPINION and not an appraisal.
They're usually done by entry lever R.E. agents most have trouble finding the property and are befuddled by the simple form they need to complete.
I have to disagree. Most banks require BROKERS to sign for BPOs, not agents. If the broker orders an agent to do a BPO, he's still personally liable for the quality of it. If the bank discovers that a broker does not give them quality BPOs, they'll just drop them. BPO's are a sweet tooth for brokers - banks pay $80-$100 for them, and it's usually less than couple of hours of work.
Hi compwhiz,
Although I agree with your suggestion, I disagree with the reality of it!
The agents who are performing BPO's in my area, certainly are agents working under the broker, but the broker is not involved in the BPO, nor do they sign off on them for the agents. These BPO's are simply carried out by the agent themselves.
Also, all BPO's are not directed to the Manging Office Broker. If you are a Licensed Real Estate Agent with a Brokers License, you can set yourself up as the only call person for the bank or third party! Therefor, in regards to the BPO, the agent/broker is responsible for themselves, and can be influenced by a strong presentation as to why a properties value is worth less!
Best of Success!
BAMZ