If I need a BPO in an area I'm not familiar with (maybe out of state) and want somebody experienced in doing formal BPO's, how do I find such a person? I'm looking for a formal, accurate and complete BPO, something that can be use as part of a note sale package, not just a bunch comps from the local MLS. I could call a local real estate office but you never know who you will get.
Investor, Entrepreneur, Educator · Springfield, MO · Member since 2009 · 21k+ posts · 12k+ votes
13y
You'll never know who you get without having the ability to review their work!
If I wanted a BPO in another area, I'd call a RE loan officer at a local bank and ask them who they use, tell them why and they should be able to tell you or point you in the right direction. Just realize, you get what you pay for, Realtors are not qualified appraisers, but could be. :)
Rental Property Investor · Bend, OR · Member since 2013 · 81 posts · 24 votes
13y
BPOs (Broker Price Opinion) which are pretty much the same thing as a CMA (Comparable Market Analysis) are done by Realtors. They are done by researching comps in the area and coming up with a opinion of market value of a home. When banks request BPOs for REO property they they are selling, they generally get 3 or 4 from different agents to get an idea of value. If you want a formal assessment of the value of the property, then you are talking about an appraisal done by a licensed real estate appraiser.
Since appraisals are expensive and BPOs are free or fairly cheap, I would contact at least 3 agents in the area you are looking at and get an opinion from each and see where they meet.
Mansfield, TX · Member since 2013 · 9 posts · 19 votes
13y
Speaking to a lender is an excellent idea. Also you can speak to the managing broker of a local RE office and request a BPO from an agent who normally handles BPOs. It may cost more but it is common for lenders to request more than one BPO on a property.