Can you make $100k/year doing BPOs?

money tree


It’s hard to know what to believe on the internet. People tend to exaggerate their earnings/results. This happens in all industries, not just real estate. You’ve seen the ads: “How I made $65,000 working from the comfort of my home”…or “$109,000 in 30 days from a stock trading rookie!”…things along those lines.

Well, I have also seen claims from agents that they are making over $100,000 a year in purely BPO income. Is this true, or is this an exaggeration?

Breaking it down

I’m a numbers guy, and I like to get down to the simple math of it. Let’s break it down in terms of numbers to see if this is even possible first:

To make $100,000 a year, you would need to make $2,000 per week for 50 weeks (assuming you are taking 2 weeks for vacation every year).

To make $2,000 per week doing BPOs, you’ll have to do:

  • 33-34 BPOs per week at $60 average apiece
  • 40 BPOs per week at $50 average apiece
  • 50 BPOs per week at $40 average apiece

Granted some agents get more than this ($80, $100, $150 even) but the volume at these levels usually isn’t high enough to get enough work. If you’re in an area where you can get $100 apiece for BPOs, and you can do 20 a week, then obviously it’ll be even easier to reach this $100,000 goal. Also consider yourself fortunate. But for the most part, if you’re getting a higher fee, you’re also getting a lower order count.

A few years ago, the fees for BPOs were significantly higher. But over the past 2 years, the BPO fees have dropped as more & more competition fills the marketplace. Today, if I had to estimate, I would say the average you’ll get (overall, exterior and interior included) is around $50.

Let’s use $50 apiece

Using the $50 average as an example, you can see above that you’ll have to do 40 BPOs a week to hit $100,000 for the year. Let’s break THAT down now:

40 BPOs a week at 1/2 hour each = 20 hours
40 BPOs a week at 1 hour each = 40 hours
40 BPOs a week at 1.5 hours each = 60 hours

So as you can see, it comes down to how long it takes you to complete your BPOs. When you’re first starting, one BPO might take you as much as 4 or 5 hours as you are developing your personal style, and learning the different companies’ websites. Once you’re more experienced, you’ll get faster and faster and you’ll learn how to shave off time here & there.

Can it be done?

I have personally worked with agents who can crank out QUALITY BPOs in under 30 minutes. It’s all about setting up a system. (by the way, if any of the agents reading this have a great system set up, contact me and I’d like to see if we can get a new blog post done on this).

Also, having a GPS is a big key to doing fast, quality, efficient work. That is, if you’re doing a lot of volume. You have to plot out your driving routes so that you aren’t driving around all day wasting time. Pick the most efficient route and get it done in the least amount of time. This alone will help you complete more BPOs.

To answer the question above, YES it can be done. But not in all areas of the country. Some areas receive more BPO work than others. Sorry, that’s just the way it is. But if you’re in a busy market, and you sign up with enough BPO companies, and you work hard, yes it is possible.

Side note: if you need a list of BPO companies, leave me a comment below and I’ll send it out to you.

Most people do not make it to this level just because the actual volume isn’t there. But, if you can make an extra $50,000 a year, or even $20,000, most people would be happy with that to supplement their regular real estate income.

One added bonus to doing all that BPO work: you have the possibility of getting REO work. If you’re making $100,000 doing BPOs, you are likely getting REO listings as well. (if you want them!). Some agents are happy just doing BPOs. They don’t like the hassle involved in REO listings. That’s fine! Everybody has their own opinions/goals.


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categories Reports/Case Studies | June 25, 2010

149 Comments to “Can you make $100k/year doing BPOs?”

  1. By RobH, December 27, 2010 @ 11:14 pm

    Jeff K – I would say it’s more normal to make adjustments any more – in the past, the BPO forms didn’t have adjustments but the forms have become more & more sophisticated. The BPOs are much more similar to an appraisal now, than they were in the past. Glad you’re enjoying the information.

  2. By RobH, December 27, 2010 @ 11:46 pm

    Hi everybody, sorry for the delay – all bpo lists have been sent out, please let me know if you didn’t receive it!

  3. By Jeffrey Gordon, December 29, 2010 @ 6:19 am

    Hi, can you please send me a list of bpo companies?
    Thanks,
    Jeffrey Gordon

  4. By RobH, December 30, 2010 @ 10:13 pm

    Coming over right now Jeffrey, thanks for checking out my blog!

  5. By matthew Sausman, March 1, 2011 @ 11:40 pm

    Hi, can you please send me a list of bpo companies?

    Matthew Sausman

  6. By Frank C, March 22, 2011 @ 4:10 pm

    Hi, can you please send me a list of BPO companies?
    Thanks,
    Frank C.

  7. By Frank C, March 22, 2011 @ 4:14 pm

    Hi, can you please send me a list of bpo companies?
    Thanks,
    Frank

  8. By RobH, May 5, 2011 @ 7:51 am

    Frank C, it’s coming your way now.

  9. By John Pursley, May 13, 2011 @ 9:32 pm

    Rob Please do some research on Evaluation Solutions and warn all these hard working REALTORS out here about this Garbage company…..Notice the BBB rankings and the long list of disgruntled REALTORS in need of pay for there work! I am currently seeking over$1,200 in back pay because I did not do my research on the front in! Thanks for all your hard work on this Blog what a great resource!

  10. By RobH, May 21, 2011 @ 1:05 am

    Thanks John. Yes I do the same thing as you, research on BBB as they are a great resource for looking up a company’s reputation. Word of mouth is another thing that helps, and I hope this blog is bringing awareness to the current situation with this company.

  11. By LisaB, May 24, 2011 @ 11:53 pm

    Would you please send me a list of BPO companies. I am a newbie and I would like to sign up with as many BPO companies as possible.

    Thank you in advance.

  12. By George C, May 28, 2011 @ 1:45 am

    Hey, just found your blog. I find it very straight forward and enjoyable. Can you send me a list of BPO companies.

    Thanks,
    George

  13. By Chad B., May 30, 2011 @ 11:58 am

    Hi, can you please send me a list of BPO companies?

  14. By First Stop, June 4, 2011 @ 9:46 am

    Hi Rob,

    I am very hungry to get started with BPOs….Your Blogs have been a great source of information which I will refer back to again & again.

    I would be very grateful to recive a copy of your BPO list.

    Do you have any advise/recommendations for a new BPOer with regard to software systems to enable more efficency.

    Many thanks in advance

  15. By RobH, June 4, 2011 @ 4:10 pm

    Hi LisaB, I just sent this out to you – good luck in your new career!

  16. By RobH, June 4, 2011 @ 4:14 pm

    George C, thanks for the compliment. That’s exactly what I was aiming for, a straight-forward and enjoyable blog that helps agents in this industry. I just sent you your list, thanks for reading!

  17. By RobH, June 4, 2011 @ 4:14 pm

    Sure Chad, I just sent your list. Thanks for reading!

  18. By RobH, June 4, 2011 @ 4:29 pm

    First Stop, I just sent your list – let me know if you didn’t receive it. As far as software, really all you need is to set up a system (create folders for each property on your computer, set up a spreadsheet or something similar to keep track of your BPOs, and set up wording templates which you can use over & over again in your BPOs). Different BPO companies have different BPO input forms so you just have to learn them from experience.

  19. By Steffi, June 7, 2011 @ 12:47 pm

    Hi,
    Can you send me the list of BPO companies? Thanks!
    Steffi

  20. By craig, June 11, 2011 @ 12:13 am

    Rob, my friend suggested that I do BPO’s for a company he used to work with-Landsafe. I’ve attempted to sign up with them, but haven’t had much luck. I’d use my buddy’s name, but he told me that he was essentially fired for some reason. he claims that they didn’t tell him why so he doesn’t know what he did to cause him to not use him any more. Whatever he did he certainly regrets not working for them. What is the best way to have them give me a shot at doing a few? And do you have any idea what he might be able to do to re-up with them?

    Also, will you send me a copy of your bpo list? I have one, but it won’t hurt to have another.

    Thanks.

  21. By Earline, June 15, 2011 @ 9:22 am

    Hello:

    Great reading…..Can you send me a copy of your BPO List?
    Thanks

  22. By Joe, June 15, 2011 @ 12:40 pm

    Hello,

    Can I also get a list of BPO companies?

    Thanks in Advance

    PS. Nice blog

  23. By Shannon Brink, June 22, 2011 @ 11:09 am

    I would be interested in your bpo company list. I am in a high volume area (Palm Beach County) and the volume is up and down with a few different companies. Some weeks I see maybe 8-12 but other weeks there aren’t any orders. Most BPO companies seem to have “drops” where they take on a large order at one point of the month and once those are done it can be a couple of weeks until they have more.

  24. By RobH, June 22, 2011 @ 7:50 pm

    Steffi, this is coming now – thanks for your patience, hope it helps you!

  25. By RobH, June 22, 2011 @ 7:57 pm

    @Craig – It sounds like he may have gotten on some sort of “exclusion” list. I know these companies keep a ranking of agents based on how they perform their BPOs…sometimes the rankings are built up over time and they become inactive based on repeated issues. Other times it’s one glaring mistake that’s sort of an “unforgiveable” offense. That’s just speculation though so I’m not sure what really happened. As far as you getting orders from them, were you able to confirm they accepted you into their system? If not, I would try to dig and find out whether or not you’re signed up and eligible in their system. If you are already in their system, do you get the notifications of new orders? Lots of unknowns but if everything is set up properly and you’re still not getting orders, you may want to call and talk to someone there to get their input…that’s your best bet. Just sent you your list, enjoy!

  26. By RobH, June 22, 2011 @ 7:59 pm

    Sure thing Earline, coming now!

  27. By RobH, June 22, 2011 @ 8:00 pm

    Thanks Joe. Just sent your list, let me know if you need anything else.

  28. By RobH, June 22, 2011 @ 8:03 pm

    I hear you Shannon, that’s how it goes – like a roller coaster up & down all the time. Hope the list is helpful, I just sent it out. Thanks for reading!

  29. By RENEE MELDER, June 23, 2011 @ 10:19 am

    please send me the BPO list. Thanks

  30. By RobH, June 28, 2011 @ 8:30 am

    @Renee – just sent it out, thanks for reading!

  31. By Jake, June 30, 2011 @ 10:56 pm

    I am very happy to have found your blog. Thank you very much. Please send a list of BPO companies if you could. Thank You!

  32. By Barbs, July 5, 2011 @ 11:56 am

    Great information, could you please send me a copy of your list.

    Thanks

  33. By DebbieW, July 8, 2011 @ 8:49 am

    This is a great blog!!!!! PLease send me a list =))) Thanks so much the information this is so helpful. How long would you say it takes to get set up say with 10 BPO’s a week? Once you apply is the process slow or quick? Thanks for your feedback/comments

  34. By RobH, July 11, 2011 @ 10:53 pm

    Glad you found me too Jake! I just sent out your list, let me know if you have any questions.

  35. By RobH, July 11, 2011 @ 10:54 pm

    Check your email Barbs, it’s coming over now.

  36. By RobH, July 11, 2011 @ 10:56 pm

    Thanks Debbie! It’s really impossible to tell you an answer to your question, there are “hot” parts of the country and sometimes a lender just has a lot of properties in a certain area. It all depends on the lender’s foreclosure and REO inventory. The actual process is usually fairly quick, except for a few companies that are backed up with applications but for the most part, you should have an approval within several days to weeks at the most. Also I just sent your list, thanks for reading!

  37. By KellyP, July 19, 2011 @ 3:43 pm

    Wow, this is really good Rob! Thanks for all this info!
    Can I get your BPO list as well?

    Thanks and you’re awesome!
    KP

  38. By RobH, July 19, 2011 @ 9:22 pm

    KellyP, thanks for the kinds words – you should have the list, check your email and thanks for reading!

  39. By James Lyons, August 4, 2011 @ 12:03 pm

    Great blog. Is it possible to blog with agents in Colorado? Please send the BPO companies list.

    James

  40. By Loretta, August 13, 2011 @ 3:06 pm

    Rob, just found this blog, great source of info on BPO. Could you send me a list of BPO companies as well, thanks.

  41. By Andrew, August 15, 2011 @ 12:39 pm

    Hey Rob,

    Your website is very informative. I believe i will be coming here quite a bit.

    I am kind of new to real estate (less than 2 years licensed) and am looking for a way to learn about the market. would you say BPOs are a good way?

    Also, could I get a list of BPO companies too? i just got BPO certified by NAR, and signed up for some companies, but haven’t gotten any response yet.

    thanks!

  42. By Ally, August 18, 2011 @ 11:40 am

    Would you kindly send over the BPO list thanks much! INFORMATIVE BLOG.

  43. By Michael M, September 1, 2011 @ 11:31 am

    Hey ROb, Thanks for all the insight and valuable information! I was interested in receiving your BPO list of companies, and sent an email but have not heard back. Additionally I tried signing up for your newsletter and got a bad link to confirm my request. Help!!

  44. By Tiffany, September 13, 2011 @ 10:46 am

    Thanks, great info! The only bpos I ever did in 30 min. were the old landsafe bpos. I am looking for new companies too, if you don’t mind sending list. Really miss the BofA…no longer getting them here in TX.though.

  45. By RobH, September 13, 2011 @ 10:18 pm

    Sure anybody can blog James – check your email, you should have your list!

  46. By RobH, September 13, 2011 @ 10:42 pm

    Andrew, I would say BPOs are one of the BEST ways to learn the market – agents who do BPOs are much more in-tune with the prices and trends than other agents. They are constantly analyzing fresh data and up-to-date information. Check your email, you should have your list.

  47. By RobH, September 13, 2011 @ 10:51 pm

    Sorry Michael it should be fixed now! Check your email, your list should be there now. thanks for reading!

  48. By RobH, September 13, 2011 @ 10:54 pm

    Thanks Tiffany I’ve heard they changed their form so it takes longer…hope this list helps you!

  1. BPOs as a Main Source of Income | BPO/REO blog — June 22, 2011 @ 1:24 pm

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