Detroit Real Estate

Here is an explanation of what a BPO is a broker price opinion.  A BPO (broker price opinion) is when a bank or lender hires a real estate professional or appraiser to look at a property and to give their opinion of price.  It is the real estate brokers opinion of price based on recent sold homes in the area, the condition of the property, and the size and style of home.

Banks use BPOs (broker price opinions)to set foreclosure list prices.  Banks use BPOs to figure out what to sell a short sale home for.  BPO's are just an opinion.  Many times they are off.  They can vary on what the house is really worth.  It boils down to what comparables the real estate agent or appraiser is using.   Real estate agents usually get paid $50 to a $100 to do a broker price opinion (BPO).  A BPO is the major factor on how the bank sets price for the property.

I hope this explains what a BPO is.