For the past two and a half years,  we have been providing Broker Price Opinions to some of the nations largest lenders. Approximately two thirds of these reports are exterior reports, meaning, the owner/ occupant of the home and listing agent (if the home is on the market) have no idea regarding the report.

On certain occasions, the lender will order an interior report consisting of typically a minimum of 10 interior pictures and the standard exterior pictures. While I hear consistent complaining from agents about the duration of a short sale, it is baffling how many of these listings are ill-prepared to be shown or inspected.

The timeframe of an interior BPO is typically 1-3 days. It is very important for the inspection to be completed in the first day to two days for an on time arrival of the report. Keys removed from lock boxes, no lockbox because the listing agent has removed it, inflexible sellers who insist on after hour inspections (not possible for an exterior picture), so on and so forth.

Remember the last time you flew on an airplane? Hurry up, wait, hurry up, wait.... There is much waiting in the short sale process, but when a document is needed by an assset manager, or a BPO is ordered, you simply have to hurry. The Broker Price Opinion is a major hurdle in the short sale process. If your listing is not ready to be shown without you being there, you chances of closing your transaction just decreased dramatically!

If you are involved in a short sale transaction representing either side, make sure the home is ready to be looked at. When your clients' lender is interested in a value of the property and a week goes by without receiving it, you are no longer on the top of the pile. Our next topic will focus on what a listing agent should do and most time do not do in a short sale transaction!

Best of luck to a prosperous 2010!

The Mike Johnson Realty Team specializes in REO property and BPO valuations in the Baltimore-Annapolis region. Serving the nations largest lenders!