BPO Certifications and What are the Most Popular?

BPO Certifications

Understanding BPO Certifications

BPOs, or broker price opinions, have become extremely popular lately as a way for licensed real estate professionals to make additional money. Many of those professionals will want to obtain BPO Certifications to help ensure that they’re selected to do BPOs and that they’re successful at it. Knowing the most popular BPO Certifications can help with this.

The Five Star Institute BPO Certifications

The Five Star Institute features a one-day training course that teaches real estate professionals exactly how to perform BPOs and ensure that they’re informational and accurate. According to their website, “there is no other course on the market that offers you the comprehensive information included in this rigorous one-day class.” Individuals who complete the course will receive a certificate of completion as well as the right to use the Five Star logo on marketing materials like business cards and flyers. These BPO Certifications are recognized because Five Star is recognized.

NABPOP BPO Certifications

The National Association of Broker Price Opinion Professionals, or NABPOP, offers a comprehensive test that individuals can use to become certified in BPOs. These BPO Certifications allow Members to have access to NABPOPs BPO Education and Resources section, which contains all the information needed to pass the test. The test is a 1.5 hour online examination that will cover issues like BPO preparation, information gathering, interior and exterior property inspection, comparable adjustments and more.

National Association of Realtors BPOR

The National Association of Realtors is now offering BPO certifications through their program, BPOR, or Broker Price Opinion Resource Certification. The course consists of a webinar which teaches individuals to properly perform a BPO and generate accurate, professional reports. The webinar is followed by an examination and upon passing that, individuals will be permitted to accept BPO offers. The cost for the webinar and examination is about $119, or $129 for non-members.

VRM University

VRM University offers a certification course to help agents learn the intricacies of BPOs in order to be able to make additional money. Those who complete the course will gain a competitive edge and will be promoted through listings on the VRMU website and at major conferences. VRM University is the largest REO outsourcer in the industry. With the BPO Amplified Online course, individuals can take the course and examination online conveniently.

The costs for many of these courses are lower if you join the memberships, but typically you will need to pay a yearly membership cost. The average cost of the BPO certification courses and examinations is about $120. Each of these certification courses allow you to gain the confidence, knowledge and information needed to be able to perform BPOs on the side and have an additional stream of income that can be used for anything you need. These are reputable, high-quality certification programs so any one of these will be a sound choice when considering BPO certifications

Learn How To Complete A BPO

Bank BPO and Valuing Their REOs

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A Bank BPO

REOs or real estate owned properties are typically foreclosures that the bank ended up gaining back after the home buyer defaulted on the loan. With more REOs available than ever before, it’s essential that their bank BPO values are accurate. Here is a little more information about the importance of the bank BPO and how banks manage it.

Why Banks Must Have an Accurate Bank BPO

Banks need to sell REO property as soon as possible, because the sooner they sell it, the less money they’re spending on it. These properties have to be maintained, the taxes have to be paid, etc. In order to get back as much money as possible on the home, banks must know the value of the home and property. With their Bank BPO they can accurately make counter offers in sales negotiations and get as much money as possible from the home.

Why Full Appraisals Aren’t as good as Bank BPO

In many cases, banks order full appraisals, but for REO properties, full appraisals are an unnecessary cost. Full appraisals can cost hundreds of dollars and can take weeks to get back. When an offer pops up unexpectedly for an REO property, banks need to get a quick and accurate view of the value of the home without spending a lot of money. For this reason, they often rely on a Bank BPO or Bank broker price opinion.

What is a Bank BPO?

A Bank BPO is an educated assessment of the value of a home from a licensed real estate professional. Banks can obtain BPOs much faster and for a cheaper price than a full appraisal. Real estate professionals typically formulate the assessment based on nearby listed properties, features on the property, the size of the home, the year the home was built and more. There are a few different kinds of BPOs that can be performed, depending upon what the bank wants.

Interior and Exterior Bank BPO

With an exterior Bank BPO (the most common type), the professional simply takes a good look at the exterior of the home and then uses additional information as mentioned above to create an opinion on the price. With an interior Bank BPO, there is more work involved, and the BPO typically pays the real estate professional a little more. The agent will go inside the home, look around, and they may take measurements to help determine the value of the home.

While full appraisals are sometimes needed, when it comes to an REO property, banks are more likely to order a BPO from a qualified professional. In fact, there has been such an increase in BPO orders (and an estimated 13 foreclosures per second and rising), that real estate agents have started to make a great additional income performing BPOs for various banks and financial institutions.

Learn more about our BPO Software or our How To Complete a BPO ebook.

To read a more detailed definition of Broker Price Opinion on wikipedia click here.

What is a BPO? Looking For An Explanation

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What is a BPO?

The term BPO is often heard in relation to foreclosures and distressed properties, but many individuals don’t know exactly what it means. What is a BPO, or broker’s price opinion? A BPO is used by banks to determine the approximate value of a home or property, especially when it’s in foreclosure or distressed. However, it’s different from an appraisal for several different reasons. Here is some information on exactly what a BPO is and how it’s used. Wikipedia defines it a little different. What is a BPO? Wikipedia says its the process hired sales agents use to determine a selling price of real estate.

Broker’s Price Opinion

What is a BPO? Its a valuation of a property. Rather than an in-depth appraisal from a real estate professional, a BPO is a less involved, faster approximation regarding the value of a home or property. Banks often order BPOs from real estate professionals when they just need an estimate of how much a property is worth and when they want to get it back quickly. BPOs can be completed in just a few days whereas an in-depth appraisal could take several weeks.

How a BPO is Performed

What is a BPO and How are they performed? There are a few different types of broker’s price opinions, including an external BPO and an internal BPO. The latter kind is used more often, and simply involves a real estate agent driving by the property to get a good look at the exterior. The professional would then compare the property to a few other comparable properties in order to determine the approximate worth of the home. Agents may look at paperwork that lists features of the home, such as the number of bedrooms, bathrooms and the previously measured square footage.

Internal BPOs

Its tough to generalize all BPOs when answering the simple question what is a bpo. There are actually different types of BPOs. An internal BPO is very similar to the external type, except that the agent actually goes into the home and may measure it or take a look at the features to determine whether the home is outdated, etc. Usually, an internal BPO is more involved and may be a more accurate reflection of the home’s worth.

What is a BPO and Why do Banks Order BPOs

Banks order BPOs over full-blown appraisals for several different reasons. First and foremost, it’s much more cost efficient for them. A traditional appraisal can cost several hundred dollars whereas a BPO rarely costs even a hundred. It also saves the bank time because BPOs come back faster than appraisals. They’re often used before a home is foreclosed on or if the home is going to be sold in a short sale. Banks are able to obtain BPOs from virtually any licensed real estate agent while appraisals must be done by specifically qualified individuals.

Overall, BPOs are beneficial for banks in a number of different ways. Many real estate agents have started performing BPOs on the side because it’s a great way to make an additional income, and they’re not very difficult to perform.

Looking for more in depth information? Below is an excerpt from our eBook How To Complete a BPO

What is a BPO from our eBook

BPO is an acronym for Broker Price Opinion. Broker Price Opinions are an easy way for a third party to get an objective opinion of value from a Real Estate Professional. A BPO typically requests multiple values from the individual performing the report, for example an as is and repaired value. A little confused? Still want to know what is a BPO? It is often commonplace to request an estimate of time required to sell a property when completing a BPO. BPO’s are most often completed for the present time, however, it is not out of the ordinary for a request for values on specific dates in the past. As the name BPO implies, Real Estate Professionals (brokers and/or agents) typically complete the reports. BPO’s are a quick and less expensive alternative to a full-blown appraisal.

Who Orders or Requests a BPO from our eBook

A BPO can be ordered by a wide array of people, however, the most common requestor of a BPO is the owner of a property or a party that has a vested interest in a property. Banks, Mortgage note holders and Mortgage Insurance Companies are the most common parties requesting BPO’s. Often times they have taken back a property through foreclosure and want to get an unbiased opinion of the current property value. Banks often order a BPO when reviewing proposed offers for short sales. A short sale is transaction where the bank agrees to sell the property for less then what is currently owed to them on the mortgage. If the bank believes that the mortgagor may default on their loan or that the cost to foreclose and then sell the home is greater than the loss of selling the home at the with the short sale value, the bank will typically accept a short sale. During the approval process the bank employs Real Estate Professionals to provide an independent third party opinion of the current market value to assist in negotiating an offer they have received on a home. The bank wants to ensure the offer is for at least a fair market value.

In addition to banks or note holders, there are often estate liquidations, bankruptcy valuations, divorce settlements and a myriad of other reasons that a property owner may want to receive a third party unbiased opinion of the market value of a home. A BPO is a commonly used simple tool to get this value.
With all of these potential sources of BPO business now is as good a time as any to get started performing for fee BPO’s.

What is a BPO vs Appraisal

You may wonder what is a BPO and what is the difference between an Appraisal? Why wouldn’t people just hire an appraiser to get a valuation of the property. Appraisals are the industry standard when underwriting new loans on purchases and refinances, but in light of the dramatic increase in mortgage defaults, BPOs have become extremely popular. The cost of a BPO can range depending on whether the property is Residential or commercial, whether it’s rural or easily accessible, and whether the Broker is doing an interior or exterior BPO. (More on that later) Regardless of the variations in costs of different types of BPOs, they are generally speaking far less expensive ranging from $40 – $300 or so based on the factors previously mentioned. Most appraisals will begin at $250 and can go as high as $5000 based on those same factors.

Appraisers are often guided by strict guidelines and state mandated rules that do make an appraisal more thorough and more regulated. Whether this results in a more accurate valuation or just a more regulated one is up for debate. Appraisals often take longer to complete and generally in the range of a week, BPOs are often ordered and returned in 3 to 4 days. With the increased cost and often longer deliver timeframes, Banks and other interested parties have started putting more focus on BPOs as opposed to Appraisals in many situations. Ordering a BPO often allows them to get a quick opinion of market value multiple times over the course of 6 months. Given the higher cost of an appraisal a BPO is often the best choice to keep an eye on the change in value and market conditions.

Are you still perplexed about exactly what is a BPO? Our complete step by step guide to Broker Price Opinions will help.

CMA vs BPO And The Difference

CMA vs BPO - competitive market analysis - broker price opinion

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Understanding a CMA vs BPO

Both a CMA (competitive market analysis) and a BPO (broker price opinion) offer the same type of information regarding homes and properties. In some states, the terms are used interchangeably. However, in many states, there is a very large difference between these documents. It’s important to understand the differences in these documents, especially if you’re going to work with them as a real estate professional.

What is a BPO? CMA vs BPO..

A BPO, or broker price opinion, is a compilation of information about a property as well as the opinion of a real estate agent as to the value of said property. Many times, a BPO will include information about the home, such as the number of bedrooms and bathrooms, the square footage, the acreage and more. It is typically formulated by a quick look at the property and surrounding properties by agents. In some cases, it involves more in-depth information.

What is a CMA?

A CMA, or comparative market analysis, is similar to a BPO in that it provides an estimated value of the property. However, a CMA is much more focused on comparable properties and estimating a value based on properties that have sold recently. Individuals take into account that information, as well as the state in which the current property is in. The document could be anywhere from a few pages to 50 pages long, and can include current market data. To see more about different broker services click here.

Certification

While some companies require a real estate license for individuals to perform a BPO, most don’t require a license for a CMA. CMA vs BPO licensing can differ. States in which licenses are required to perform a BPO include West Virginia, Pennsylvania, Utah, Nevada and Mississippi. In these particular states, an individual may be able to perform a CMA without a license whereas they wouldn’t be able to perform a BPO. It should be stated that many companies don’t require proof of licenses when hiring real estate professionals to perform either BPOs or CMAs.

Payment Differences of CMA vs BPO

A BPO vs CMA will pay real estate professionals about the same amount of money. It can differ depending upon length and information included. The actual payment from a BPO or CMA can be between $50 and $150. Also factored into the price are location and the specific company that hires and the real estate professional. By taking on several of these each week, real estate professionals can obtain a great additional income, especially when the real estate business is slow.

Conclusion

While there are many areas in which unlicensed individuals can perform a BPO, many places will allow CMAs from those without asking for a license. It largely depends upon the company that hires an individual, as well as where the company is located. Both can be great additional incomes for real estate professionals and both should be considered an option.

BPO Certification Classes, Do They Really Matter?

Oh My All the BPO Certification Classes

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Real estate professionals are starting to realize more and more that BPOs (Broker Price Opinions) are a fantastic way to bring in additional income each week. If you’re starting to consider doing BPOs as an additional income stream, you might wonder whether you need a BPO certification or not. By understanding the process, you can determine whether a BPO certification is right for you.

What is a BPO Certification?

Typically, real estate professionals will go through an organization like the National Association of Broker Price Opinion Professionals to become certified. They will pay around $200 to $300 for a one-day course or webinar that covers certain topics like how to find BPOs, how they should be used, and more. Along with the certification you may get the opportunity to be given BPO offers and start making money. However, many real estate professionals believe that this is a waste of money.

Do You Really Need BPO Certification?

While organizations like NABPOP will have you believe that you must be certified in order to perform BPOs, the truth is that most companies do not even check for certification. As long as you’re a licensed real estate agent, you don’t really need to pay a few hundred dollars for a one day course that says you’re certified. In fact, many agents work for several companies each month and have never been asked to go through any kind of certification. If you can perform BPOs without the certification, why would you even worry about it?

The Benefits of a BPO Certification

Even still, some real estate agents feel that it’s worth their while to go through the BPO certification classes. For most people, the biggest benefit is the offer of work. This may be for individuals who don’t know where else to search for work or aren’t sure whether they can find work anywhere else. There are many, many companies that will offer BPOs to uncertified real estate professionals. You simply have to know where to look.

How Much Money Can You Make with BPOs?

The amount of money one can make with BPOs will really depend on the types of BPOs they do each month and how many they do each month. For instance, an internal BPO will pay more than an external one, although it will take a little longer. Internal BPOs will usually pay around $50 while external BPOs pay about half that. Therefore, if a real estate agent can line up just 3 internal BPOs per day, they can make $150. In Conclusion For most companies offering BPOs to professional real estate agents, a BPO certification simply doesn’t matter. If you’re having a hard time finding BPO offers without going through an organization like NABPOP, research some of the other BPO companies or network with fellow real estate professionals. A few companies that offer BPOs include Clear Capital, Equator, ProTeck, Ocwen andOldRepublic. For a detailed list of BPO Companies see our comprehensive free list of bpo companies and our ebook on How to Complete a BPO.

Broker Price Opinions Making More Income

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Broker Price Opinions as an Alternative Income Stream

Real estate professionals often experience dips in their pay, due to the ups and downs of the real estate market. As many are discovering, broker price opinions (BPOs) are an outstanding way to make extra money until the real estate market improves again. Fairly easy to complete, Broker Price Opinions or BPOs can provide real estate professionals with a steady stream of additional income.

What are Broker Price Opinions?

In some situations, such as potential foreclosures or short sales, a full valuation or appraisal isn’t needed, but a solid idea of the value of a home is. In comes the broker price opinion. A licensed real estate professional drives by the home and gathers information about it, such as previous sale data and the listings around the home, and uses that to formulate the value of the home. In most cases, the BPO or Broker Price Opinions also includes information regarding needed repairs and photographs of the home. Some real estate professionals may include photos of comparable listings nearby as well as the listing information and price.

The Two Types of Broker Price Opinions

There are two main types of Broker Price Opinions, including the interior Broker Price Opinions and the exterior Broker Price Opinions. With an interior Broker Price Opinion, the real estate professional will actually enter the home and may take measurements to include in their report. With an exterior BPO, it’s a simple drive by and process of gathering data. It takes much less time and effort than an interior BPO. Interior BPOs typically pay between $75 and $125 depending upon what is needed and where the property is located while the exterior BPOs typically pay between $55 and $75.

How Much Additional Income Is There to Be Made?

The amount of additional income a real estate professional can make is directly related to the number of Broker Price Opinions they can perform in a day or week’s time. Offers are sent to the real estate professional from asset management companies in care of bank or financial institution accounts.

The number of offers a professional gets will be related to their location and the needs of the financial institution at any given time. Most real estate professionals could expect to be given between 5 and 15 offers each week, which could add up to as much as $1875 per week. However, this is just an estimate of the potential offers and payouts and each professional may experience a different amount.

How to Get Broker Price Opinions Assignments

There are different asset management companies that lenders and financial institutions go to in order to secure real estate professionals for BPOs. Agents will often sign up with several of these asset management companies in order to receive several Broker Price Opinions throughout the week. Some companies require a small membership fee to receive offers. We offer a free list of over 250 Broke Price Opinions companies here.

BPOs are a wonderful additional income source for real estate professionals and this can be extremely beneficial when the local real estate market is down.

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More Distressed Homes means more Valuations and BPOs

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Valuations and BPOs

Unfortunately, distressed homes are on the rise; individuals are finding it more and more difficult to pay off their home loans. Therefore, homes are going into default and foreclosure, and this increases the need for banks and lenders to determine how much their homes and properties are worth. Because a full appraisal is more expensive than Valuations and BPOs, often times lenders will choose the BPO route. However, both valuations and BPOs are on the rise.

Realtors and BPOs

Banks and lenders hire real estate professionals to perform valuations and BPOs, or broker price opinions, on properties and homes when they want to know the value but don’t want to pay for a full appraisal. The real estate agent goes to take a quick look at the property to determine the worth, and sends a small report to the lender with the information. This allows the lender to determine what to ask when auctioning the home or when a homeowner is attempting a short sale. It’s a great way for real estate professionals to make extra money, especially if they can pick up a few BPOs a week.

What is Involved in Valuations and BPOs?

There are two different types of BPOs, an internal BPO and a drive-by BPO. For a Exterior BPO, the agent will simply drive by the property and take a look at it, and compare it to other properties for sale in the area. They will use the information they’ve gained to create a report. With the interior BPO, agents will typically go inside the home, may take measurements and photos, and then use that information to draft a report to send to the lender. BPOs typically pay between $50 and $150 each, so it’s something many real estate professionals want to take advantage of.

When are BPOs Used? Valuations and BPOs

BPOs are most commonly used when a homeowner is attempting to refinance, or when the home has gone into default and the lender is considering a foreclosure. They can also be used when the homeowner is attempting a short sale to prevent a foreclosure. Lenders utilize BPOs because they’re cheaper than a full appraisal, and the BPO is still fairly accurate, since it’s coming from real estate professionals who know the market and the current trends in the local real estate market.

Where to Get More Information

NABPOP, or the National Association of Broker Price Opinion Professionals, is a wonderful place to learn more about BPOs and to get the information needed to perform them. NABPOP can provide real estate professionals with the information they need, the tests needed to become certified to perform BPOs, and can connect them with companies who need BPOs. While the full membership price of NABPOP is about $220, the benefits are great. Real estate professionals can join a community where they’ll be informed and given resources to start BPOs and make extra money on the side. If you are looking for a book of how to complete a bpo you may want to see our book.

Overall, BPOs are a great option for real estate agents who want to make a few extra dollars, and they’re helpful for lenders who don’t want to pay for full appraisals.

Vacant Land BPO and Tips for Valuing Vacant Land

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Vacant Land BPO and What you Need to Know

BPOs are a great way for a real estate professional to make a few extra dollars each week. Occasionally, a real estate agent will need to do a vacant land BPO, or a BPO of land without a house. These can be tricky, but there are a few important tips to remember that will make doing a vacant land BPO much easier.

Nearby Lots of Similar Size

One of the most important things you can do to correctly perform a vacant land BPO is check out nearby lots of similar size and see what they’re selling for. It’s important to look at a variety of them, and then average out the price so you can get a good idea of what your lot is worth. Try to find lots with similar characteristics as well, such as cleared or partially cleared, close to the main highway, near parks, etc. This will help give you a good starting figure for your vacant land BPO.

Factor in Improvements

A simple lot that hasn’t been cleared would be considered “raw land.” However, if the property has been cleared and there are improvements, it will be worth more money. Determine whether the lot has a septic tank, a driveway, or hookups for utilities in order to help narrow down the value of the property. Having these things makes the property more valuable than raw land. Also factor in any other characteristics or improvements that would increase the value of the land.

Consider the Nearby Properties

Even though the lot is vacant, it’s important to consider the properties nearby. What sizes are the homes and are they in good shape? Are the yards maintained and manicured, or do the properties look as if they need maintenance? Is there garbage in the yards, or do the homes have visible damage? The characteristics of the surrounding properties and homes will factor into the value of the vacant land. Vacant land with high quality properties and well maintained houses and yards nearby will be worth more than those in neighborhoods that are run down or shabby.

Location

If the land is in a great location, the value will be more. For instance, if the land is across the street from a park, within a mile of the nearby elementary school, or just a mile from the closest zoo, the value will increase. Take into consideration the location of the property and whether it’s close to any attractions, libraries or schools.

When doing a vacant land BPO, sometimes you have to work a little harder than with a BPO for a home and property. However, by searching for nearby properties with similar characteristics, factoring in improvements, location and considering nearby properties with homes, you can come up with a fair and legitimate value.

The Fannie Mae standard Residential form is used for most residential Vacant Land BPOs as opposed to a specific Vacant Land BPO Form. BPO Forms offers the Fannie Mae BPO Form and many others and hundreds of agents, brokers and others have generated a Vacant Land BPO through the system.

Interior BPO and Exterior BPO

Interior BPO or Exterior BPO

Understanding an Interior BPO and an Exterior BPO

Real estate agents can potentially make extra income by performing BPOs (broker price opinions). While it might not be your dream job, it is a relatively easy way to make money, and in this economy and with this housing market, anything helps. By understanding more about BPOs, real estate agents can determine whether they are interested in pursuing BPO work.

When Is an Interior BPO or Exterior BPO Needed?

Banks that find themselves in need of a quick estimate of the value of a home will order a BPO. This may be because they’re trying to determine whether to accept a short sale or because the home is close to going into foreclosure. They’re typically used when a bank feels as though a full appraisal isn’t necessary, although there are different kinds of BPOs. Bankruptcy proceedings and a few other legal procedures can sometimes also call for a BPO. If you are just getting started it is probably best to concentrate on BPO’s from banks as they are the most plentiful.

Exterior BPO

The less work intensive of the BPO types are exterior BPO’s. Agents will only be required to take exterior photos, sometimes including an address verification and street scene. The idea is to determine the value of the home based on the property style, how old it is, and what kind of home it is. Also to make sure there is no major damage to the property that is visible from the exterior. Information that might be included on this type of BPO can include whether or not the home is occupied, how many rooms are in the home, the shape the land and home is in, and how the home compares to the nearby properties. Some lenders will ask for specific information as well, that should be included on the BPO.

Interior BPO

Another type of BPO is the interior BPO. With this type, the agent will actually need to enter the home. In some cases, the home will be occupied, so the agent will need to set up an appointment with the occupants in order to gain access. Similar information will need to be written down, including the shape the property is in on the inside, whether there are any damages that are visibly noticeable, and any other information the lender specifically asks for.

The external BPO should take about an hour while the internal BPO doesn’t take much longer than that. The typical payment for this kind of work is between $50 and $90. By obtaining a few of these each day, an agent can make great supplemental income and if they are able to receive enough orders even possibly fully support themselves. Performing BPOS’s is often a first step in becoming an REO broker, so if you are interested in listing REO properties, performing fee BPO’s maybe the best way to learn the business.

In order to start doing BPOs, agents will need to sign up with asset management companies that assign these after getting orders from banks. You’re required to have a real estate license, local market knowledge and access to the MLS in the appropriate areas.

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FAQs about Broker Price Opinions

Real estate agents or brokers who want to pick up an extra source of income can take advantage of broker price opinion orders. While many already draw an extra income by formulating BPOs, others may not be familiar with the process or exactly what BPOs are. By understanding more about broker price opinions, you can learn to take advantage of the demand for them.

What is the common pay for BPOs?

An agent can make a great extra income from broker price opinions, especially if they’re able to get quite a few each week. A typical BPO will pay about $50, which isn’t much, but it can be completed in just about an hour. An exterior BPO only requires a basic look at the property and the surrounding properties. An interior BPO may require interior pictures and a slightly more in-depth look, and those pay about $80. Exterior BPOs can still be completed in less than an hour, so it’s still great pay. For agents and brokers who are able to get several BPOs per week, the pay will definitely add up.

Why are BPOs ordered?

BPOs are usually ordered by a bank when they want to know the value of a property. This could be because they want to determine whether the owner should be able to refinance the home, or if the property is in foreclosure and the bank is considering a short sale for the home, or any number of other reasons. With the huge number of properties in foreclosure around the US, BPOs have become very popular and there is typically a large demand for them.

What are the requirements to be able to perform a BPO?

Banks only typically require broker price opinions to be performed by a licensed real estate professional, so this makes it a great extra income for agents and brokers.

Are broker price opinion orders obtained through the banks?

No. Although the banks do order these BPOs, they typically make their needs known to an asset management company. Real estate professionals can register with asset management companies and then be informed of properties that are in need of a BPO in their area. The trick to getting enough BPOs to make a decent income is to register with more than one company. Many agents use a separate email address that they save for this purpose only, and then forward their emails to their cell phones so that they can quickly claim BPOs for their area.

What are the other benefits of BPOs?

Many agents enjoy doing BPOs that could turn into REOs, which are real estate owned properties. This gives the agent a chance to sell the bank-owned property for a commission. Many asset management companies who assign BPOs will give the agent that performed the BPO a chance to sell the REO home. This is another way in which BPOs can be profitable for agents.

Overall, BPOs are a wonderful thing to look into for an extra income as well as building a second income stream from eventual REOs.