Top 10 broker price opinion companies
The following is discussed:. The estimate of price is submitted in a BPO report pages which includes local and regional Real Estate market information, neighborhood analysis, and comps properties which compare to the subject house being priced.
Click here for more BPO usages. Qualification to perform a BPO. A Real Estate Professional with an active license. For purposes of this website, Real Estate Professional are:. What is the BPO industry?
A Broker Price Opinion BPO is an excellent means of information for banks and lenders to make financial decisions on residential properties. Performing BPOs have become a reliable source of either supplemental income or the sole source of income for many Real Estate Professionals across the country.
A BPO Company is either a division of a financial institution or a stand alone company. The BPO is performed by a real estate professional who is acting on behalf of the financial institution. A real estate agent or a broker is hired to complete a BPO report on a property. A BPO may be occasionally requested without a fee in hopes that the financial institution, bank, or lender will receive a sales listing for the property.
The BPO professional then conducts the investigation. Many factors affect the price of a property:. The result is a brief report, usually two or three pages in length. This report includes analysis of the property and neighborhood, photographs, comparable properties "comps" , and local and regional market information. In an automated valuation model AVM , a computerized mathematical model evaluates basic features of the property, compares to area sales, and determines a rough value.
The calculation takes into account information about property size, bedrooms, and bathrooms. An AVM is a basic evaluation — "just to make sure that the property value is in the right ball park" — and may be replaced by a full real estate appraisal. An individual who is looking to sell or purchase a home might request that an agent perform a comparative market analysis CMA  to determine a reasonable listing price or offering price. Unlike a BPO professional, a real estate appraiser must be licensed or certified in most countries.
A BPO is less thorough than an appraisal, [ citation needed ] although the process of deciding a price is similar to a residential real estate appraisal.
From Wikipedia, the free encyclopedia. Retrieved February 28,