The importance of a BPO

It was last year when a good friend told me to sign up to do REO and BPO. I didn't think much about it but I am always open to new business opportunities. SO I though what the heck, I am going to sign up if I am approved or not it is worth the try I don't lose anything by trying. Thank God I did thank you Dante. So here I am on a Saturday afternoon signing up to all these servicing companies and banks to do REO and BPO. Some replied and some didn't.  Today I do BPO for 4 major servicing companies and do REO for 3 lenders.  We also do many short sales but the point is I know the importance of a BPO. Do you? Do you know that A BPO can make or break your deal?

Some agents and home sellers have their own idea of what a property is worth but what if the BPO agent doesn't share your same priced opinion.  Here are certain tips that I have learned as a BPO agent and as a Agent wanting to influence the price.

Tips #1 Keep Sellers away

Most sellers what to be present in my opinion the more people there at the property the more distraction is for the BPO agent. IF you want to share your opinion of value don't allow the sellers to be present. Some sellers are to emotionally attached to the property so first thing first don't allow the sellers to be present.

Tip#2  Be realistic

We are all in the same but yet some realtors want to fool others with unrealistic numbers and comparables. Trying to influence the BPO to an unrealistic number can hurt more than help. The way I like to come up with value is as follows.

Use comparables within one mile radius keep the age difference between 15 years; keep the L.A sqft within 15%. And most importantly use common sense on condition and Market Condition. Use active listing not to determine value but to determine competitors. With this in mind it can help any BPO agent assist you on the sale of your listing. Remember BPO agents don't get compensated like much some do it for 2 main reasons.

•1.       Most BPO agents know that if the subject doesn't sale they will have a possibility of selling  this property at a  later date.

•2.       I would agree Doing BPO don't pay much but if you are doing 30 BPO a month this can pay some of your expense.

Tip#3

In my experience I have seen Agents make up damages that are not really there. Don't put a coffee in the ceiling and say it is mold things like this can open you up to can of worms. I will suggest that being honest with your client and with others is the best route to ever take.

. Don't let BPO break your Real Estate sale knowing and playing by the rules can help you make more sales in the present and in the future.

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