When we list the pre-foreclosure property at first, shouldn’t we do a pocket listing to test the mkt or do we put it on the MLS right away, pending court approval?? Just wondering if we do that won’t the BPO just use the same price as we have in MLS??
Thanks! :cool
The lender will want it listed and the reason for that is this will be the barometer or starting point for the BPO. They can’t technically tell the seller to list it, they don’t own it the seller does, even though the seller is behind on the payments. They can tell a Realtor to list it, which they do and which is the reason they want a Realtor involved. Lenders think the Realtors will give them an unbiased opinion of value from which the BPO is originated. If the house is listed at 200K and has sat there for 3 months with no activity the lender will have a pretty good idea of where the BPO will come in at. The lenders tell me to list the home at FMV as soon as I get the Letterof Authorization to them. Just because the lender requests it doesn’t mean you have to do it though, keep that in mind. I’ll list it a few days after the BPO is done. To answer your question go with a pocket listing.