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I was contacted by Altisource/Ocwen some time ago as they needed more REO brokers for an increase in listings (I see they are now getting the properties I used to get from power REO) however the only requests I get are for bpos for $40.00 minus $1 for using the website! I did 1 but found it took far too long as they want previous history on ALL comps. Obviously some brokers are doing these. Just wondering how long it takes to do a report as it seems a lot of work for the fee to me. Also no listings todate. Valuation vision lite orders are also too time consuming for the fee, and main street property inspections for $20 are not worth doing either as they are more involved than just uploading photos and making comments on condition etc. LPS are also adding extra requirements for uploading mls sheets which is time consuming but no increase in fee. Thoughts?
It might be a good idea to check you state law. In Kentucky all monies including BPOs have to go through the broker.
In Ohio it has to go through the broker.
That is not Ohio law. I am in Akron Ohio. My checks come to me in my name. The only time they are in my company name is when the paying company is in California and they are also a brokerage. Their law requires that it be paid to the broker. I have it delivered to me and take it in and my broker writes me a check in full. (The only reason she just doesn't sign it over is that my bank won't take a 3rd party check.) Otherwise, my BPO payments are paid directly to me.
In Alabama and Georgia all monies are paid to the Broker as well. Your Broker is still at risk for you doing the BPO, why would you not split any money earned with your Broker?
In MO & KS it's supposed to go through the Broker.
I should of said the KREC & MREC say all real estate related monies go through the Broker..Ultimately, it is the Broker's insurance and they are "responsible" for your actions...soooo
I use to do listings for them and BPO's....no more.....they have some wonderful people working for them, but there is USUALLY a language barrier,to the point I had to ask them to do an email because I couldn't understand what they were saying. I took them on for REO's so I could get the experience and experience I got!! I think every property had frozen pipes and anything else you can imagine.....not their fault...I got a lot of co operation with getting the items fixed,...but at the settlement table when I only got 1 % after their charge.....that did it for me...but I DID learn a lot...so that part was worth it education wise....but NOT pocketbook wise. For someone just starting out I think it's worth it to do a couple with them.......I think I did 5....but after that take your experience and move on. On BPO's,I'm at 60 and 70 minimum,and higher depending where it is.....I am an X SLS and really miss them (20-30 a week), but I'm trying to take it easy and find some good paying companies and working on marketing.I really depend on the information from this blog to guide me, so keep up the good work all! : ))
I have a question? I do quite a few BPOs for about 10 companies. They all make it very clear that I am to have no association or interest - past-present -or future - in the subject so I am confused when agents discuss doing BPOs and listing the same property. One or two will tease me with the possibility of getting the listing if I do the report for free or a small fee but I learned that lesson quickly. My better client make it clear -Do Not Expect The Listing.
Fill me in when you get a minute.
Leslie, nothing to really fill you in, you're right. Many years ago, it was believed that if you did the BPO, you would get the listing but, that was nothing more than a rumor, fabrication, lie. Everyone who does BPOs know that they don't get the listing, it would be a conflict of interest. What I think may have happened is somewhere, in some conference, some trainer may have said, to be a REO agent, you must be willing to do BPOs and lots of them because, most banks require updated BPOs every 30 days for price adjustments accordingly and some agent went out there and started telling folks, BPOs = REO Assignments which isn't what they were told but, what they heard.
That is about how I had it figured. I may be lazy or value my time too little but I am happy doing the BPO's instead of the REO listing and management. I have gained a tremendous amount of knowledge about the market ( I cover 5 counties) that most agents will never get. I have also learned a ton of tricks about how to get this computer to help me get the reports doen faster. I get to get out from in front of this computer for the site visits and am still able to make money in an air conditioned office or vehicle and have some control over what I have to deal with. A lot of folks feel that BPOs are too much work for the money and maybe they are but it seems REO listings are much more so.
Leslie you are spot on. I could be a blind taxi driver in three counties and can tell you values just by street name. That and looking up MLS info faster than the average agent. It has advantages. Overall though, Id make more money just by selling two large homes per month.
Yep, that's what I was told.