bpos and reo: To BPO or not to BPO: In defense of the BPO's place in valuation, part 2
- 07/06/11 02:26 PM
Once they actually start getting listings, most REO agents do not have time to do paid BPOs. That often leaves relatively inexperienced agents to do BPOs; and, of course, inexperience in any form presents danger. I do shudder each time one of my listings or pre-lists has to be scrutinized by a random BPO agent, because so many of them know little to nothing about the realities of the REO market. The prospect of a poorly done BPO also increases exponentially with the distance between the BPO agent's office and the subject property. (Then again, I could say exactly the same (6 comments)
bpos and reo: To BPO or not to BPO: In defense of the BPO's place in valuation
- 07/05/11 03:43 PM
The BPO has a distinct place in the valuation process. The perspective of a real estate agent is different than that of an appraiser. Appraisers, after all, never actually walk into a house with a prospective client, something agents do all the time (or at least, presumably, do).The agent, like the appraiser, uses facts to arrive at an opinion of value. Neither evaluator has a crystal ball or employs wizardry. An appraisal's emphasis relies heavily on recently sold properties and physical value. When an agent prepares either a CMA or a BPO, comparables are pulled from both currently listed and recently (6 comments)