For those of you who do $30 - $40.00 BPO's consider this ...
"your income is your value to the marketplace"
You need to be a member of REO Pro Network to add comments!
This reply was deleted.
For those of you who do $30 - $40.00 BPO's consider this ...
"your income is your value to the marketplace"
You need to be a member of REO Pro Network to add comments!
Replies
Seth, I know of no BPO company that has a form that takes 20 minutes from start to finish, to include pulling comps. You must be working with a client that has a super easy form, however none of mine do. the 30 pages of an appraisal is not all typing. Regardless, agents that have been taking BPOs for a very low fee drop the standard in the industry and it becomes expected to do these for $30 or even less. I am not saying you have to charge $100 for a drive by, but the forms have more requirements than 10 years ago and in some cases I have forms that have appraisal level adjustments and I am actually given formulas to calculate them by and this can take me up to two hours to do a report, even longer with an interior. I am a pretty fast typist but there is no way I can complete a bpo in 20 minutes with the amount of work required. I have been doing these for over 12 years so I am very familiar with numerous different companies' sites and requirements. If you want to do them for $30 that is your decision, but bear in mind that doing a $30 BPO does not increase your chance for a listing, in many cases I get listings that I never even did a BPO on. In fact I will get much higher fees for BPOs from Asset Management companies and lenders and then get the listing down the road. Whoever told you that doing a low $ BPO will increase your potential at listings is flat out wrong. What drives the train with listings is your overall performance.
SingleSource, Goodman Dean, Old Republic, etc... 30 minutes tops. These forms are so basic that it takes less than 10 minutes to gather data and 10 to 20 to enter the data. I use a dual monitor system that saves time/money on printing costs. Also, copy & paste is a dear friend.
I believe you may have misunderstood me. I do NOT believe that I stand a better chance of getting listings by doing BPOs for less than the next guy... I believe I stand a better chance of getting listings because I'm able to keep my name out there, network with asset managers and REO departments and become a reliable local source for banks/asset managers who are not familiar with the local market... all while putting $30 in my pocket.
For example... one of my listings came as a result of a disputed BPO. You see, my value was MUCH different than the value the listing agent came up with. When I explained my reasoning for the value and provided the asset manager with support for my valuation (which was over 200% HIGHER than the listing agents valuation), the asset manager was pleased. The next asset that company had in my market went to me instead of the guy they were using for the past 5 years. Not because I was doing BPOs for less... but because my work proved me to be a valuable resource to the asset manager.
It's not quantity... it's quality. Fortunately for me, I'm pretty damned good AND pretty damned fast.
There is no "industry standard"... there's my standard and there's your standard and there's everybody elses standard. Personally, I'd worry more about the guys listing properties for 4% than the guy picking up the $30 BPO.
I am not sure why you would disagree. I am suggesting that you can get more money for the same report and make better money. I have an appraiser in my company and his reports are not 30 pages. He doesn't like BPOs because it is too much work for little money. $30 is way too low...... most companies pay more. I don't know what company you do these for but the reports we do take longer than 20 minutes.
I was disagreeing with the statement that they are not easy... not with the statement that I can get more money.
When it comes to doing BPOs there are some people that excel, some that do good and some that struggle. I teach classes to realtors in my company. I've learned that there are some people who pick up valuation models real quick and some who will never get it. I think MOST realtors fall in between... they get it, but it's work. Coming up in the world of valuations, they come easy to me.
As for the length of appraisal reports, that's subjective and mostly a moot point... but just for sheets and giggles, I pulled up the last 1004 appraisal I did. It's 30 pages. Sure, some of that is maps and pictures... but it's still a 30 page report (32, if I had kept in the thumbnail page and the review page)... unlike a 2 page BPO.
My good man, you'll soon discover that your just another face and putting your name out there as part of your marketing plan ... Well good luck with that! Just ask the folks who have been on this side of the game and they will tell you the same thing. NO you will not get any listings, maybe one or two but that's if the gods are happy.
I personally can't imagine an Appraiser working for $30 BPOs, you could discount your normal rate as a reviewer and make seriously more money than $30 Bucks.
Three listings from three different asset managers after doing low fee BPOS. At this rate, my $30 BPO work has turned in to over $10,000 in commission checks. I won't do work for the BPO mills... just legit companies looking for second opinion or pre-foreclosure valuations.
Also... I'm not a fan of working as a reviewer. Most companies wanted exclusivity on that. If I could freelance it, I would... but I'm not prepared to give up my company to go work for someone else.
To each their own.
Seth, you don't have to do them for $30, you can ask for more and still get listings. the low fee has no bearing on whether or not you get listings.
for the people who work for cyprexx all they want to pay is 32.00 for yard work and 25.00 for maid cleaning
and they want you to drive 50 to 60 miles out of your won pocket . I charge them 75.00 and 50.00 was my pricing they
refused to pay that on properties so have fun if you fill lucky to go in the hole on your first job .
I find it very disheartening when I see agents calling other agents "bottom feeders" and "dumb a$$" on this site. Obviously, real estate agents are in the business to make money. Everyone has to make their own choices as to how they go about meeting that goal. I, personally, don't do $30 bpo's, but who am I to judge another agent that does choose to do them? To those of you who do not want to do bpos or who will only do them for $100+, I say, fine, more power to ya. There are many reasons an agent may choose to do bpos for various fees and unless you are personally aware of that agent's circumstances you are in no position to judge their choices.
I completely agree, Jason. It's appalling and speaks to uphold the negative stereotypes of our profession. It's enough that the general public views real estate agents as predatory bottom feeders. We certainly do not need to degrade one another for the LEGAL choices that they make regarding their own businesses.
-
1
-
2
-
3
-
4
-
5
of 6 Next