This is a response given by the CFO of Valligen to Housing Wire....You make your decision to work with a company like this:
"HW: Well, let’s talk different options. How are valuations different from broker priced opinions? They’re more prominent on the REO side of the business. Are they cheaper to use for lenders than valuations?
Jeremy: “Usually, BPOs are cheaper. Lenders take advantage of the fact that many real estate agents in this economy are desperate for listings, and implicit in the BPO request is the chance to obtain the listing and receive a sizeable commission. Brokers often end up working for less than minimum wage to complete the BPO, on the odd chance that they will receive the listing. More commonly, certain agents specialize in BPOs, and rush to complete these assignments as quickly as possible, given that they may only be paid $20 or less to complete these assignments.
“Yet real estate agents as a whole have little or no education or training in valuation methodology and have a personal vested interest in their valuation amount, as it can influence how fast they can sell the property if they do get the listing. The lack of standards and liability for errors and omissions within a BPO means that quality tends to be extremely poor and inconsistent.”"
Thank you all for your replies! I was contacted directly by them, I did not sign up on their website. They seem very easy to work with, but I can not find information on them. I have done two O/C for them and it was very simple, but I really don't know what to expect. Not sure if they are just a BPO company or not.
Byron- I just received a $15 BPO from Mainstreet, needless to say I turned it down!!
I dropped Mainstreet last year, they pay on time, but they are just a bpo mill. and I agree with other here, $15 is just gas money to go and do the bpo or inspection, I know some companies that pay $25 to $35 for desktop bpo or retro bpo.
Again it is up to each one of us to determine what is worth our time and money. For me I would definitely take a Property inspection report. But then again it would be more worth it for me being that I would more then likely being doing other orders that are along the way. So doing a property inspection would be no big deal. Heck, I even do most of my errands when I am doing my drive-by BPO's. So I guess if you never have BPO orders that might be on the way to your Property Inspection report, then yes it might not be worth it.