Your First REO Listing - The Initial BPO

The initial BPO is where you're going to shine. At thedetail to have a clear idea of the condition of the
very least you will prove you're expertise. At times thehome. Additionally, your report should also have a good
BPO may seem a bit insignificant; the truth is it's theidea of how it compares to the rest of the community
asset manager's first real glimpse at how you handlethe property is in. Make sure to take pictures of any
your business and the detail you place on theconditions that will affect value positively or negatively,
completion of your tasks. You have to impress themfor example, a park across the street or a power
with a complete and thorough BPO. The best thingplant across the street. Those two will affect value
that can happen here is that you are off on yourgreatly when determining value. Don't miss them,
estimate as opposed to the back up bpo's and theypower lines, highways, near by recreation areas etc.
contact you for an explanation. If this happens you'llFor your pictures, take small pictures. Most online
have the opportunity to show them how well youplatforms where you'll be uploading pictures won't take
researched the property and the comparable sales.large pictures. Taking them small will save you from
Like I said, shine.having to re-size them later. Also, research the
We find it easier to have and order to follow whenproperty before you go. Find out if it's a single family or
inspecting the property, along with a note pad formultiple units. This can help you determine if there is
notes. Start with the exterior of the home; take anany un-permitted work on the property. Again, this will
address shot and a picture of all sides of the home.influence your pricing strategy.
Do the same for the garage if it's detached. MakeBe sure to note if the property will have trouble with
notes of any damage and take close up pictures offinancing do to the condition. For example, if the
the damage. Remember to address it in your report.property has minor issues that can affect financing,
Also include a shot of the water heater, gas meterwhen the buyer is using FHA, make sure to note it.
and electrical panel.This will help your asset manager when reviewing
The interior of your BPO will include all the rooms, takeoffers. FHA is prevalent at this time and the home has
several shots of rooms to experiment with whichto be in acceptable condition to qualify. If its not you
show it in its best light. Make notes of large living areascan expect problems. Your initial BPO can help you get
and family room, upgrades and obviously damage.more listings don't over look it.
Again, take close up pictures of any interior damageFinally, be on time. Most will be completed online. Few
you find. Include shots of laundry rooms andrequire you to send a copy via mail. If they do, plan for
conversions in garage if they exist. Don't forget a shotmailing time. Mail delays are not an excuse, if its not
of the furnace.there on the due date its late, regardless of any
The initial BPO should give the asset manager enoughexplanations.