What is an interior broker price opinion
Consumer Financial Protection Bureau. Here are the criteria that are evaluated as part of a BPO:. By their nature, BPOs and appraisals are designed to be free of influence by parties who have a vested interest in the transaction. Unlike a BPO professional, a real estate appraiser must be licensed or certified in most countries.
A Professional Association with Training what is an interior broker price opinion Certification". Appraisers do have more formal training than brokers when it comes to property valuation, and in theory should be better equipped to provide accurate property value estimates. Brokers need to visit the property in person and take photos of the home and neighborhood, paying special attention to any obvious defects on the outside. Banks utilize BPOs as a lower-cost, quicker alternative to appraisals in a variety of situations. How do banks determine the loan-to-value ratio for a loan modification or refinance?
Retrieved February 28, The BPO is performed by a real estate professional who is acting on behalf of the financial institution. This report includes analysis of the property and neighborhood, photographs, comparable properties "comps"and local and regional market information.
A broker's price opinion is the process used by a hired sales agent to determine the potential selling price  or estimated value  of a real estate property. In this market downturn, the BPO has become an important tool that banks use to determine an estimated value for properties that are being foreclosed, properties that are in a short sale or properties that are candidates for a loan what is an interior broker price opinion or mortgage refinance. Comparable Properties — BPO reports usually include 3 comparable properties that are currently on the market and 3 comparable properties that have sold in the past months. Unlike a BPO professional, a real estate appraiser must be licensed or certified in most countries. Broker's price opinions are initiated by financial institutions.
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. Speaking from practical experience, however, there are good and bad appraisers, and a knowledgeable broker may be equally skilled in preparing an estimated value. Neighborhood Data — BPO reports include neighborhood statistics to help the bank get a what is an interior broker price opinion understanding of current market conditions.