BPOs, companies and money

[Jackie]

I do BPOs for First American. The BPOs are internet based and you must take exterior photos of the house and street. Along with that you must give them 3 active comps and 3 sold comps. Your opinions and other related questions round out the BPO. They always offer me $45 or $125. I turn them down at all times. I receive for each BPO $175---$200. Anybody who would do them for less than that is frankly, STUPID. (excuse me I couldn't help that). I wouldn't walk out my door for $125 much less $45. I live and work (22 years) on the island of St. Croix in the U.S. Virgin Islands. I can do their BPO with approximately 2 hours of my time and I have been doing them for 1 1/2 years.

I am totally amazed that any of you would give your services away for next to nothing.

Most appraisers that I am aware of get $250, but as another party has stated here they are appraisers. However, I believe that is the true value!

I do business only with First American (farvv.com). They are super to do business with and my check comes in about the 10th of every month, no questions asked.

All of you who do BPOs do yourselves a favor and don't work for nothing! If your good they will love you. If your not good yet, with some practice you will be! When I read what some of you are receiving in payment it makes me ill. Do you think so little of yourselves??? Do you not value your time and expertise?? Don't allow them to take advantage of you!!

I would be happy to help all that I can... jcapusvi@islands.vi .

Best regards, Jackie

[W. Peterson]

Jackie.. Jackie.. Jackie

I really wish that I hadn't come across your post; Because I just know that I'm overreacting; 'cause you probably didn't mean it that way.

But here goes anyway...

Take this from a former REO Asset Manager (Ocwen-Dept. of VA & EMC Mortgage Corp) and an REO agent.

Stupid!!! Very strong word from someone that has no clue about the Continental United States Real Estate Markets, much less about REO. How many agents in St. Croix have signed up to do BPOs? How many agents in St. Croix know what a BPO is? How much time do you think a Valuations Manager has to locate an agent with BPO experience on a tropical island? About 7 minutes. That's why they pay your fee. You're not some fantastic negotiator with high standards and exceptionally valued time, while the rest of us are scraping for peanuts. You simply don't have to compete.

Here in the city of Orlando FL, there are about 2000 agents willing to do BPOs and about 9,000 willing to do REOs. In places like Los Angelas, Houston or Chicago, those numbers have to be triple. The fact is, I often do BPOs for free. Why, because I've worked with these companies, I know what these companies do for my bottomline. So when an Asset Manager wants me to drive 35 miles for a $35 bpo, I jump to it. If I don't, they goto the next name on the list. How long is that list in St. Croix? It comes down to Supply and Demand my friend. That's why you can name your price; we don't have that luxury. And besides, some of us don't do BPOs for earnings on the front-end; It's the back-end that demonstrates my time-value.

We're not stupid. We just have to compete.

W.Peterson

[DFW Realtor]

I agree with W.Peterson to some degree. I do several BPO's and I get as little as $45.00 per BPO. I do them, so that it shows willingness, and eventually get a listing from them. I also do them to pay for MLS Dues, Yearly Dues, Real Estate Classes.
I don't feel stupid doing them for little pay, however I don't want to be taken advantage of either. I have not done so yet, but If I am asked to do a BPO for Free, I would do it, maybe 3 times for that company, if I feel they are taking advantage of me, I'm out. I have mouths to feed, bills to pay. But I would give them a try and see where it goes.
DFW Realtor

[Jackie]

To: W Peterson & DFW Realtor;

Thank you both for your input that was very informative to me. I understand your thought process and the fact that we all have individual wants and needs.

W., you would be correct when you stated there is far less competition here. There are also far fewer foreclosures because we have far fewer homes!! Also my thread was NOT written to expound upon my negotiating prowess or lack thereof, so please put that out of your mind. I wrote that thread TO HELP OTHER BROKERS MAKE MORE MONEY and not give their services away for "peanuts".

Possibly you did not notice but I never discussed LISTINGS. I spoke only of what I receive to do the BPO and the time involved. I don't do the BPOs with the "EXPECTATION" of getting the listing. First American does NOT give out listings. The listings are given out by the company that services the mtg. or their affiliates. I am certain with your credentials that you know that.

I do know and understand that my market is very different from yours. Be that as it may I still would not walk out my door for less than $175.00. If you and others feel that what your doing is o.k. because it helps your bottom line, well so be it. I understand DFW that you MUST feed your families etc. If that is what you must do fine, do it. Have you thought about doing rentals??? That works well also in a slow market. There is always a way to make money in real estate. You just have to be innovative and be able to go with the flow. You must also learn in real estate sales there are peaks and valleys. Always save some money from the peaks for the valleys.

I am a 22 year veteran of real estate sales. I began in CT (near NYC) in 1985. I have lived in the V.I. 17 years and have worked in real estate sales all of that time. Just because I live on a "tropical island" does not mean I am ill informed. I own a computer also in case you have not noticed. I am stateside born and educated. I know full well what is going on in the U.S and the world even though I reside in a semi 3rd world country (U.S. Virgin Islands, St. Croix). That just happens to be my preference!

I am fully aware that your markets are not what they were. Be careful W. when you utter that I have "NO CLUE" to what is now transpiring in the Continental U.S. Real Estate Markets. You are DEAD WRONG! We have television, telephones and computers in third world markets! By your tone I guess that you expect that I live in a lean-to on the beach with a thatched roof.

In anything I do I value my time. What is your time worth to you?? Ever had a bad listing that took up all your time and didn't sell??? and/or they switched brokers??? How much time did you waste?? Did you learn anything from this??

I believe when you consider that you need a vehicle, gasoline ($3.00 P/G), computer, camera, printer, paper, ink, MLS fees, Realtor fees and other related expenses to do a BPO and your fee is $0--125 or $174.99 in my case, you are selling yourself short, not to mention your expertise. Please, because there are prostitutes out there doesn't mean you must become one!!! I am sorry if you may not like my analogy but those are the cold hard facts. That is my feeling and I have the right to express my opinion!! You on the other hand must do what you must do!

Now, I began all of this to help other brokers make money! That was and still is the reason for my posting.

I received direct e-mails from two brokers, 1 in FL and 1 in CA to whom I sent some info... I wish you both luck and be positive always. Shoot for the moon, you can always settle for a star..

My very best wishes to all,

Jackie

[W. Peterson]

I don't do the BPOs with the "EXPECTATION" of getting the listing. First American does NOT give out listings. The listings are given out by the company that services the mtg. or their affiliates. I am certain with your credentials that you know that.

First off Jackie, I shouldn't have said that you know nothing about the Continental US Markets. I don't know you so that was out of line. Second, I'll agree that we are each entitled to our opinion. Third, some people reading your thread will benefit.

Now as far as my credentials, you're right, I know a little bit about REO and real estate in general.

Therefore I'd like to help out too, so here's 2 valuable tips for anyone that's still reading.

#1. In most U.S. states that permit agents to do BPOs for a fee, they have to be done WITH the "EXPECTATION" of receiving a listing. Even if you don't expect a listing, you probably wouldn't want to advertise it. Remember, real estate licensees are to sell, lease, auction, advertise, etc. real property. Providing valuations for a fee is the job of Licensed Appraisers, unless it is in connection with a perspective listing or sale.

#2. Tell your friends at First American to stop jerking your chain, they're one of the largest REO Servicers in the country.

Will

[W. Peterson]

I don't do the BPOs with the "EXPECTATION" of getting the listing. First American does NOT give out listings. The listings are given out by the company that services the mtg. or their affiliates. I am certain with your credentials that you know that.

First off Jackie, I shouldn't have said that you know nothing about the Continental US Markets. I don't know you so that was out of line. Second, I'll agree that we are each entitled to our opinion. Third, some people reading your thread will benefit.

Now as far as my credentials, you're right, I know a little bit about REO and real estate in general.

Therefore I'd like to help out too, so here's 2 valuable tips for anyone that's still reading.

#1. In most U.S. states that permit agents to do BPOs for a fee, they have to be done WITH the "EXPECTATION" of receiving a listing. Even if you don't expect a listing, you probably wouldn't want to advertise it. Remember, real estate licensees are to sell, lease, auction, advertise, etc. real property. Providing valuations for a fee is the job of Licensed Appraisers, unless it is in connection with a perspective listing or sale.

#2. Tell your friends at First American to stop jerking your chain, they're one of the largest REO Servicers in the country.

Will

[DFW Realtor]

Hey Jackie
I gues there might of been a little confusion. I didn't say I only did the BPO's to be expecting a listing, but when I do the BPO's, I usually do get a listing from them, and when I do the BPO's I also hand out flyers to the area around , why not, i'm in the area, and from those I've gotten a couple listings here and there. I guess I should have explained myself better.
I know there are peaks and valleys in the Real Estate world, I actually enjoy doing BPO's. When I said I have a family to feed, well there again, should have chosen a better choice of words. I'm not broke. I keep busy. I see every oportunity as a new experience, learn something new everyday. In other words, I see my glass 1/2 full, not 1/2 empty.
My husband is a Loan Officer and I get quite a bit of leads from him.
Anyway, sorry for the confusion. You need to charge what you feel you need to charge for a BPO, I fully understand that, and the ones you don't take, well those go to someone who needs the money, I guess, which is a blessing to them that you turned it down. I just think that the "stupid" is what got me. We all have our opinions
Take Care
DFW Realtor

To: W Peterson & DFW Realtor;

Thank you both for your input that was very informative to me. I understand your thought process and the fact that we all have individual wants and needs.

W., you would be correct when you stated there is far less competition here. There are also far fewer foreclosures because we have far fewer homes!! Also my thread was NOT written to expound upon my negotiating prowess or lack thereof, so please put that out of your mind. I wrote that thread TO HELP OTHER BROKERS MAKE MORE MONEY and not give their services away for "peanuts".

Possibly you did not notice but I never discussed LISTINGS. I spoke only of what I receive to do the BPO and the time involved. I don't do the BPOs with the "EXPECTATION" of getting the listing. First American does NOT give out listings. The listings are given out by the company that services the mtg. or their affiliates. I am certain with your credentials that you know that.

I do know and understand that my market is very different from yours. Be that as it may I still would not walk out my door for less than $175.00. If you and others feel that what your doing is o.k. because it helps your bottom line, well so be it. I understand DFW that you MUST feed your families etc. If that is what you must do fine, do it. Have you thought about doing rentals??? That works well also in a slow market. There is always a way to make money in real estate. You just have to be innovative and be able to go with the flow. You must also learn in real estate sales there are peaks and valleys. Always save some money from the peaks for the valleys.

I am a 22 year veteran of real estate sales. I began in CT (near NYC) in 1985. I have lived in the V.I. 17 years and have worked in real estate sales all of that time. Just because I live on a "tropical island" does not mean I am ill informed. I own a computer also in case you have not noticed. I am stateside born and educated. I know full well what is going on in the U.S and the world even though I reside in a semi 3rd world country (U.S. Virgin Islands, St. Croix). That just happens to be my preference!

I am fully aware that your markets are not what they were. Be careful W. when you utter that I have "NO CLUE" to what is now transpiring in the Continental U.S. Real Estate Markets. You are DEAD WRONG! We have television, telephones and computers in third world markets! By your tone I guess that you expect that I live in a lean-to on the beach with a thatched roof.

In anything I do I value my time. What is your time worth to you?? Ever had a bad listing that took up all your time and didn't sell??? and/or they switched brokers??? How much time did you waste?? Did you learn anything from this??

I believe when you consider that you need a vehicle, gasoline ($3.00 P/G), computer, camera, printer, paper, ink, MLS fees, Realtor fees and other related expenses to do a BPO and your fee is $0--125 or $174.99 in my case, you are selling yourself short, not to mention your expertise. Please, because there are prostitutes out there doesn't mean you must become one!!! I am sorry if you may not like my analogy but those are the cold hard facts. That is my feeling and I have the right to express my opinion!! You on the other hand must do what you must do!

Now, I began all of this to help other brokers make money! That was and still is the reason for my posting.

I received direct e-mails from two brokers, 1 in FL and 1 in CA to whom I sent some info... I wish you both luck and be positive always. Shoot for the moon, you can always settle for a star..

My very best wishes to all,

Jackie

[truquality]

Hey Jackie
I gues there might of been a little confusion. I didn't say I only did the BPO's to be expecting a listing, but when I do the BPO's, I usually do get a listing from them, and when I do the BPO's I also hand out flyers to the area around , why not, i'm in the area, and from those I've gotten a couple listings here and there. I guess I should have explained myself better.
I know there are peaks and valleys in the Real Estate world, I actually enjoy doing BPO's. When I said I have a family to feed, well there again, should have chosen a better choice of words. I'm not broke. I keep busy. I see every oportunity as a new experience, learn something new everyday. In other words, I see my glass 1/2 full, not 1/2 empty.
My husband is a Loan Officer and I get quite a bit of leads from him.
Anyway, sorry for the confusion. You need to charge what you feel you need to charge for a BPO, I fully understand that, and the ones you don't take, well those go to someone who needs the money, I guess, which is a blessing to them that you turned it down. I just think that the "stupid" is what got me. We all have our opinions
Take Care
DFW Realtor

I have tried my Best to get into the REO Market. Can anyone give any tips on doing that.

[Jackie]

Truquality, I have not been offered an REO as a listing, probably because the local banks that service these mtgs already have local people here, but don't go by me on that issue. Living here in the V.I. is a totally different game and I was born in the U.S. Usually the insiders at the banks give them to people who were born here and are their friends . Nothing I can do about that so I just do the BPOs. Maybe one day I will get one or two, who knows.

In the meantime I know my game. I have only been doing BPOs for 1 1/2 years. I get $175-$200 for each one. Some brokers get even more.

My income (selling) over the last 3 years has been very good. This year I was ill for a while (better now) and lost my continuity so the BPOs came in handy. If you like I can give you the phone numbers for First American. They are the only ones I do business with currently. Most of their BPOs come from Countrywide Credit, probably the largest lender in the U.S. I oftentimes do the same BPO 2 or 3 times in a matter of months.

In May I did 8 BPOs all @ $175. You can do the math. Takes me approx. 2 hours per BPO including the photos. Doing BPOs will not make you rich but fills in some slow times and helps a bit. I do not like to be idle. E-mail me at jcapusvi@islands.vi if you like and I will e-mail you the phone number to call but if you like go to their website farvv.com and fill out their application. It may take a while because they may have people in your area but one day when they can't find those people they will probably call you.

Will Peterson who has done some good posting here seems to know that market well and possibly he can help you better than I. I am in an unusual market as I stated earlier.

DFW Realtor seems to be astute in getting REOs also. She may be able to help you.

If there is one thing I like about posting here is that almost everybody tries to help the other parties. That is very good and the only reason I posted in the first place.

Good luck and if I can help contact me,

Jackie

[SGREEN44]

Jackie,


You Say You Are Trying To Help?! No You Are Trying To "showoff" And Make Us Envious Of You. You Are Implying That You Are A Smart And Skilled Negotiator. So, Let Me Set You Straight!
Once Again, It Depends On Your Competition. The More "hungry" Agents There Are, The Less They Are Willing To Accept Which Brings The Numbers Down.

Maybe Another Agent From The Virgin Islands Will See This And Sign Up With First American And Clear Capital And Undercut You Know That You Have Advertised What You Make Per Bpo. It Serves You Right For Bragging And Belittling Those Of Us Who Have No Choice On Fees B/c Of The Supply And Demand Factor.