broker price opinion

Broker Price Opinion

An estimation of the value of a property by a real estate broker. A broker price opinion may take into account the quality of the property, values of surrounding properties and market conditions in the area. However, the estimation is not as detailed or as definitive as a full appraisal. A BPO may be done at the request of a bank when the owner of the property is attempting to refinance a loan or when it is attempting to find an alternative to foreclosure. It also may be done to help a seller determine the best asking price for his/her property.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved

broker price opinion (BPO)

In most states, only a licensed appraiser is authorized to offer a professional opinion as to the value of a property. Often, though, a real estate broker will be asked to offer an opinion regarding the price to ask when marketing a property.This is a fine distinction, but perfectly legal,as long as labeled as such.BPOs are frequently obtained by out-of-state lenders seeking to work out a sale of a distressed property.

The Complete Real Estate Encyclopedia by Denise L. Evans, JD & O. William Evans, JD. Copyright © 2007 by The McGraw-Hill Companies, Inc.
References in periodicals archive ?
This can be done with an appraisal, but is often done with a less expensive broker price opinion, or BPO.
At that point, I began a BPO (Broker Price Opinion) business from 2006-present.
Three days before the trial, the Partnership submitted a broker price opinion, which was prepared by a licensed appraiser and broker and valued the property at $280,000.
* In some cases, if a significantly large variance between the AVM and the prior valuation was found, the buyer would elect to "bump" to a broker price opinion (BPO) or desk review.
According to the company, AVPOs are not appraisals, but rather expert opinions that provide a second level of review for broker price opinion users, without the need to build in-house review functions.
Ray is also certified in The Broker Price Opinion Resource (BPOR).
Her experience combined with the knowledge she gained from earning the Broker Price Opinion Resource designation has made her an authority on local property values.
2551, legislation that would have significantly expanded the ability of the state's real estate professionals to provide broker price opinion and comparative market analysis services.
She says real estate agents are frequently involved; they either work with the "investor" to create a low-ball broker price opinion by concealing higher offers from the seller's lender and putting a low-ball price in the Multiple Listing Service (MLS), or by marking the property in the MLS as being under contract when in reality it's only under an "option purchase contract," which gives the investor exclusive rights to buy the home for a year at a specific price.