Will a 72 inch tv kill my BPO?

Question

Working on a short sale with a homeowner. He has a huge 70 inch plasma on his wall. My gut tells me to tell the homeowner to take it down for the BPO.

What do you think?

Tom C · Answer

I was just talking to a kid that does some work for me and he was telling me that his house is going into foreclosure because he is several months behind on his payment. So then he started telling me about a show that he watched on HBO and how he recorded it on his DVR. I asked him why he still had cable if he couldn't afford to make his house payment. His comment was "You gotta have cable man" I looked at him and said, it was time to break out the rabbit ears 3 months ago. He didn't get it.

Jon Holdman · Answer

The TV is chattle (personal property) and won't affect the value of the home.

That doesn't change the fact a lender might be less willing to take it in the shorts if the owner found money for a 70" plasma TV.  Are you really serious?  A 70 inch plasma?  That's like a $15,000 TV.  Peoples priorities are really screwed up if they drop that on a TV then don't make their house payments.

Jon

Todd Tripp · Answer

I doubt it. Just beg the agent to take pictures from an angle that doesnt show it, though that may be tough.

Paul Cordero · Answer

Is the TV permanently built into the wall?  If not, like Wheatie said, this is Chattel or personal property and the lender has no interest in it.  After all, the owner could be up to their eyes in debt, and the Plasma was purchased on one of those no payments/interest for 2 years type of deals.

Andrew Alexander · Answer

Did the homeowner state in his letter of hardship that he can't make payments because he installed a drive in theatre in his living room?

In all seriousness, doesn't a lender want to make sure that the borrower has sold anything like a 70in plasma before they agree to a short sale?  From what I understand, lenders would much rather resolve the situation with the borrower and get the loan back to performing status than sell it short to an investor.

N/A N/A · Answer

HAHA,

This sounds very similar to many situations in my area. There are so many times that I have gone out to BPO for a lender and the cars parked in the driveway are worth more than the houses themselves.

Also, we have had problems with the auto industry of course. For instance a person with a 60k salary a year was making 100k for a while because of overtime. So, the set their budget for 100k, well when the overtime is gone they are stuck with 60k a year with a 100k budget plan.

Jim Gordon · Answer

Jon a couple of months ago I ran into a short in a 180K neighborhood. 2 plasm televisions, surround sound in the main area, Jag in the garage, no carpet on the floor in the livingroom just OSB.
Some peoples priorities are just out of line.

G. F. · Answer

BPO = Broker Price Opinion

A BPO is when a lender sends out a real estate agent who determines an opinion as to the value of the property and reports that value back to the lender. If a BPO comes in too high, it can kill a short sale.

Glen Fitzmaurice · Answer

What's a BPO?

Curt Dumonceaux · Answer

:lol: 
 :beer: