I’ve started working with a new broker and he says he does a lot of Broker Price Opinions (BPO’s) for banks. He said he could provide me some information about these BPO’s and that would be helpful in my REI business. I am focusing on wholesaling. Does anyone have any experience using BPO’s and if so how valuable is this information and how can I use it to my advantage?
From my understanding of BPO’s, they are done by banks during the Short Sale process in order to determine the value of the house. I’m sure knowing the BPO agent can be helpful in many ways, but i’m not sure I can give details as I’ve never done a short sale.
raburn - I hope you do understand that your broker is not supposed to share the results/information of the BPOs he is doing for his clients with other people/agents. You need to decide for yourself if you want to be associated with someone that seems to be willing to bend the rules… :O)
Good luck!
Doing BPO’s and then later wholesaling the deals would be a HUGE risk and a large conflict of interest.
Think about it, if a bank is paying you to decide on the price of a home, and later you sweep in and put that home under contract, what could they think other than scam.
Even though you may be a completely honest person I would steer you miles clear of doing those. Stick with wholesaling, BPO’s are not nearly as profitable.