Getting Started – BPOs

This was a 3-part blog post, I have combined all 3 posts into one page here. I give you the basics about how to sign up and get started with BPO companies.


For the most part, getting started is very easy. Most agents are pleasantly surprised with the ease of the process. As an example, an agent friend of mine got signed up with one company and started receiving emails for BPO assignments THAT SAME DAY! She was very excited.

This is certainly not the case with all BPO companies, but the possibility is there. You can find BPO companies by doing a simple Google search. I typed in “bpo companies” and found some links that should help. Another search term you should try is “asset management companies” (AMC).

Also, I have a list of companies I can send you via email, just leave me a comment below and I’ll send it to you.

Once you have found a few BPO companies that you’d like to sign up with, you will need to get a copy of their application. Sometimes it’s available to download on the BPO company’s website, other times you’ll need to call or email the company for this information. Either way, you’ll need to fill out their application and send it back to them along with a copy of your real estate license and proof of your E&O Insurance. Also, they will need you to fill out a W9 for tax purposes. (Need a blank W9? Just go to http://www.irs.gov/pub/irs-pdf/fw9.pdf and download one for free).

If your real estate agency requires you to fill out their company name on the BPO application, instead of your personal name, that means the agency will likely split your earnings with you. You will be paid by your broker.

If you fill out the W9 with your personal information, the BPO company will cut the check directly to you. Check with your agency to find out which way they want you to fill this out. Some agencies don’t care, others do.

You can sign up for as many BPO companies as you like. The more you sign up for, the more BPO opportunities you will receive. I am not aware of any BPO companies that require a fee to sign up, they should all be free (REOs, that’s a different story!).

Remember, some BPO companies may have a lot of BPO work in your area, and some companies may have NO BPO work in your area. It depends on which lenders/clients the BPO services – for example, if a BPO company has a contract with a regional bank in the Midwest, and you are in Florida, it is possible that the bulk of their BPO work will be in the Midwest. You’ll need to sign up with as many BPO companies as you can to give yourself the best chance at receiving BPO work.

Depending on the company, there’s different ways you’ll be notified of a new BPO order. Some companies send out an automated email to all agents within a certain radius of the property. Some companies require you to log in to their website to check for new orders. Other companies physically call around and ask agents to accept their orders. And some companies just “drop” the order into your queue, assuming you’ll complete it. In most cases, the BPOs are “first-come, first-served”. Each company has a different process, so you’ll have to be flexible and learn the process for each BPO Company to give yourself the most chances at new orders.

Also, each company has a certain process to actually ACCEPT the BPO order. Most BPO Companies have an actual website where you’ll need to log in and accept the order. Again, each company has a different process which you’ll have to learn once you sign up with them.

Ok – so now you have accepted a new BPO order, what’s next? You’ll want to read over the order instructions carefully to be sure you know what the BPO Company requires of you to complete the BPO order. Don’t just rush out and take your pictures, make sure you understand what’s needed on the order. Do they need photos of the “for sale” sign out front? Do they need photos of the major mechanicals? Do they even NEED photos? (see Retro BPOs)… If it’s an interior BPO, how do you get inside? Who’s your contact person?

Once you know exactly what’s needed, double-check the due date to be sure you complete the BPO within the required timeframe. If it’s a rush, make sure you give yourself enough time to submit the order early and (if needed) have corrections made.

Now, look up the location on a map. I like Google maps because in urban areas, it gives you a Street View map, which shows you what the house looks like, along with the ability to look around the neighborhood. A GPS navigation system is very helpful in this business as well.

Now drive out to the property and take the required photos. Make sure you take all the photos you need, or else you will need to make another trip out to the property once a reviewer/auditor looks at your order. If it’s an exterior BPO, you’ll only need to take a few photos and you won’t need to go inside. If it’s an interior BPO, you’ll need to go inside the property to take some photos, according to the original order instructions you received.

While at the property, you’ll get a sense of what type of neighborhood the property is in, and also the condition of the property itself. Make sure you take pictures of any major damage you see. Also, if you’re new, it’s not a bad idea to take a notepad with you and jot down notes about the property. This will help you formulate your comments when you’re filling out the BPO form later.

Once you get more experience performing BPOs, you’ll learn ways to become more efficient.

Now that you have accepted the order and gathered info/taken your pictures, it’s time to input you data into the BPO form. Several years ago, the form itself was a paper form, you literally had to print out the form on paper, fill out the form by hand (or typewriter) and add the photos manually.

Now, everything is electronic. It would seem to be easier, but there’s still many different websites & platforms to learn. Some companies still have you fill out a blank pdf form (see sample Freddie Mac form here).

Other companies have their own online software, where you input your data and your bpo is automatically created by their software.

Whichever method you have to use, here’s the basics you’ll need to know. Most companies need 3 comparable sales and 3 competitive listings, along with your pictures of the subject property. General guidelines you’ll want to follow (these vary by BPO Company):

  • All comps should be within 1 mile if urban, 3 miles if suburban, 5 miles if rural. (again, this varies throughout the industry)
  • All comps should be roughly the same age as the subject property
  • All comps should be the same style of home, if possible
  • All comps should be within 20-25% of the gross living area (GLA) of the subject property
  • For sold comps, you should go back a maximum of 6 months (this varies)

So when you jump into your MLS system, you should plug in these criteria and/or others you may have been told to use by the BPO Company. This will give you a get a list of properties you can use for your comps. Now every market is different, so it’s hard to put a general guideline on which comps to choose, but usually, you’ll want to use the properties that are MOST SIMILAR to the subject property. An exact model match is ideal. Generally, you should try to stay close to the subject’s age, square footage, and bedroom count. If you get stuck, especially for your first few orders, it’s a good idea to call your BPO Company and ask to speak to an auditor/reviewer, to go over your concerns. Who better to help you than the person who will be reviewing your work?

Now that you have your data, it’s simply a matter of inputting your data into the online form. I say “simply” but there’s so many different forms/websites, there’s nothing really simple about it. They all have their different nuances and quirks. Unfortunately, that’s all part of the learning curve but once you are used to the different online forms, you’ll get faster & faster.


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By March 26, 2010

273 Comments to “Getting Started – BPOs”

  1. By Benjamin, December 9, 2010 @ 2:34 pm

    Hey Rob,

    You’ve laid out the basics in this blog, and it looks great. I had to learn all this on my own over the past few years doing BPOs. You hit it right on the head when saying you’ll learn how to be more efficient over time :) I work with a handful of asset managers, and would sure like to take a look at your BPO list. If you know of some companies who have big contracts in AZ, I would appreciate that as well.

    Thanks!

  2. By Jennifer, December 11, 2010 @ 11:37 am

    Hi Rob,
    Do all compnaies require E&O? What if you are only doing BPO’s not listings, still need E&O? Just wondering, it’s so expensive and business is so slow. Will you please send me your list. Thanks :-)

  3. By Josh, December 13, 2010 @ 11:33 am

    Great Blog. I just got my license 3 months ago and want to get some of these names. Please send me the list.
    thanks.

  4. By Anna, December 13, 2010 @ 1:20 pm

    Rob… Just getting started … hoping BPO’s will be my mainstay….Thank you for your information and yes I would like your list… TX A

  5. By Monon Eggers, December 16, 2010 @ 3:39 pm

    Hey Rob,

    good blog – wished I would have found it earlier! Could you please send me your list of BPO’s?
    Keep up the good work!

    Regards,
    Monon

  6. By RobH, December 27, 2010 @ 11:08 pm

    Hi Jennifer, I believe most companies do require E&O, I’m sure there’s a few out there that may be an exception to the rule but any of the big companies will require it. Some brokers provide this free of charge to all their agents, some don’t so maybe you could check around in your area to find out which brokers pay for it. Thanks for reading!

  7. 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!

  8. By mpg100, January 8, 2011 @ 2:46 pm

    Hi Rob,

    Great info! Could you please send me the list of BPO and asset management companies I can email to receive BPOs? I have done alot for my broker and now am looking to do my own, hoping you have some good companies in the Boston area.

  9. By Peter Graham, January 9, 2011 @ 10:26 pm

    Hi Rob,
    Just getting back in the business and planning on focusing on BPO and REOs. I’m finding your blog to be very helpful. Please send me a copy of your list. Thanks :)

    Peter Graham

  10. By RobH, January 9, 2011 @ 10:46 pm

    mpg100, your list is coming now – thanks for reading!

  11. By RobH, January 9, 2011 @ 10:47 pm

    Glad you enjoy the blog Peter – check your email.

  12. By SteveBlogBPO, January 14, 2011 @ 2:41 am

    I work in Manatee and Sarasota counties doing BPOs. I have been a realtor for 12 years and have been doing BPOs since 2007. I know how to do a little programming and I have been using the automated software, iMacros by IOPUS to fill out BPO forms. I am not a professional programmer but have been trying to “massage” the data that comes from our MLS to get it to conform to the different formats of the different BPO companies and their forms. Is there anyone out there that is using iMacros (or BPO-Automation, or BPO5000, etc: Which are 3rd party licensees to the iMacro software that sell the program under their name.).

    I would like to talk about solutions that I have and that you may have in making this software able to do more than what I have accomplished so far. Here are some topics I would like to discuss with you all:

    1) Autogenerate distance in miles of comps from the subject property.

    2) Automatically upload comp and subject pictures.

    3) Overcoming difficulties with some of the new forms that some of the BPO companies are beginning to use.

    4) Auto-accept software.

    If you don’t want to share your “secrets” with realtors who may be in your area. Contact me at jiawho(at)yahoo.com
    NOTE: Replace (at) with @

    Looking forward to some shop talk! – SteveBlogBPO

  13. By Michael Borner, January 15, 2011 @ 11:40 pm

    Rob, I recently moved to Portland, OR from Wyoming. Where can I look to find out what the adjustment values are in this area when I’m completing a BPO? Thanks.

  14. By RobH, January 16, 2011 @ 12:18 am

    Thanks for your post Steve – hopefully it generates some good discussion.

  15. By RobH, January 16, 2011 @ 12:29 am

    Michael – there’s nowhere that I’m aware of that has standard adjustment values. Your best places to start (since you’re not familiar with your new market) is to find a local “expert” in your area. This could be an appraiser, a contractor, or maybe even another agent (REO agent) in your new office who can help with these costs. There’s also online resources/estimators and of course the Marshal & Swift guide which can give you solid numbers. Just remember, it’s a broker price opinion (not an appraisal) so the adjustments are all estimates, they don’t have to be exact. Hope that helps.

  16. By Ken, January 20, 2011 @ 10:12 pm

    Great post Rob thanks for sharing
    Yes I would like a list of the REO companies you have

    Ken

  17. By Tracy P, January 25, 2011 @ 11:49 pm

    Rob,
    Great blog. Is it possible to get a copy of the BPO list? Thanks!

  18. By RobH, January 26, 2011 @ 11:27 pm

    Thanks Ken – I just sent you your list, let me know if you have any questions. Thanks for reading!

  19. By RobH, January 26, 2011 @ 11:31 pm

    Just sent it out Tracy, check your email. Thanks for reading!

  20. By a.c., February 1, 2011 @ 5:23 pm

    Hello Rob, thanks for the great blog post. Can I possibly get a copy of the BPO list? Thanks!

  21. By chris, February 1, 2011 @ 5:36 pm

    Hey Rob, thanks for sharing. Could you send me that list? Thank you

  22. By Gary, February 2, 2011 @ 12:03 am

    Hi Rob,

    Great Blog… Thank you for sharing the information! I would like to get a copy of your BPO & REO List…

    Thank You!!!
    Gary

  23. By Elizabeth, February 3, 2011 @ 6:48 pm

    Hi, Rob,
    I will like a copy of your BPO list
    Thanks in advance,

  24. By Susan, February 5, 2011 @ 5:58 pm

    Hi Rob,

    Could I please have a copy of your BPO list? Also, in regards to the E & O question; I have had great success in explaining to companies that E & O isn’t required to complete BPO’s in my state so I don’t carry it. I am currently signed up with 30+ companies and have only had 1 company tell me that it was needed to complete BPO’s for them.

  25. By RobH, February 5, 2011 @ 7:59 pm

    a.c., I just sent it your way – thanks for reading!

  26. By RobH, February 5, 2011 @ 8:00 pm

    Chris, you’re welcome – check your email, you should have it now.

  27. By RobH, February 5, 2011 @ 8:02 pm

    Sure Gary, I just sent it out, thanks for reading!

  28. By RobH, February 5, 2011 @ 8:05 pm

    Hi Elizabeth, I just sent it out! Thanks for reading.

  29. By RobH, February 5, 2011 @ 8:10 pm

    Susan, I just sent your list. Thanks for the feedback on the E&O insurance, you’re right – some companies require it, some don’t, so it never hurts to ask.

  30. By matt, February 5, 2011 @ 10:47 pm

    I would be very grateful for a copy of your asset manager list

  31. By Louise Taylor, February 6, 2011 @ 9:24 pm

    Hi Rob,
    Please send me the list.

  32. By Brian Y, February 11, 2011 @ 12:44 am

    can you please send me a copy of your bpo list.. this has been the most helpfull information ive come across thank you!

  33. By RobH, February 12, 2011 @ 1:51 am

    Matt, check your email, I just sent it. Thanks!

  34. By RobH, February 12, 2011 @ 1:51 am

    Hello Louise, thanks for checking out my blog. I just sent you the list.

  35. By RobH, February 12, 2011 @ 1:53 am

    Brian, I just sent you your list, let me know if you have any questions. Thanks for the kind remarks.

  36. By Jason, February 12, 2011 @ 4:48 pm

    Hey Rob, Love your blog. I am working for a few companies doing BPOs but I am trying to find other quality companies to work for. Could you send me a list?

    Thanks
    Jason

  37. By JimL, February 14, 2011 @ 10:23 pm

    Rob, I just found your site. Could I start off with your list as I digest all the information available here?

  38. By K White, February 16, 2011 @ 4:56 pm

    Great blog and enjoyed reading the posts. Could send me your list of BPO companies as well.

    Thanks

  39. By Andy B, February 17, 2011 @ 10:38 am

    Hi, could you please send me the list of BPO companies you have available..thankyou

  40. By Louise, February 17, 2011 @ 3:20 pm

    Hi Rob

    Would love a copy of your list. Great Blog!

  41. By Dolores Mendoza, February 21, 2011 @ 4:22 pm

    Thank you for this excellent blog. I would like to have your list.

  42. By Virginia, February 22, 2011 @ 3:30 pm

    Your information was very detailed and understandable. I would like a copy of the BPO list .
    Thanks Virginia

  43. By John Wilson, February 22, 2011 @ 7:24 pm

    Hi Rob,
    I just now found you. Great site! I love WordPress too. I would be very grateful if you could send me your BPO and or AMC list. I will stay in touch on your site. Thanks! John

  44. By Pam, February 24, 2011 @ 2:25 am

    Hi Rob,

    I’m glad I came across your site, thanks for your generosity in sharing knowledge, I enjoy and appreciate it. May I have a copy of your BPO list? Thanks!

  45. By Meredith, February 24, 2011 @ 12:36 pm

    Hi Rob,
    Would you please send me a copy of your list? Thank you, I appreciate it!

  46. By Kamal, February 24, 2011 @ 3:43 pm

    can u please send me the bpo and reo list.

  47. By Julie C, February 26, 2011 @ 2:53 am

    Hi Rob,
    Great reading . I would love a copy of your BPO list.
    Thank You
    Julie

  48. By RobH, March 1, 2011 @ 11:00 pm

    Jason – hopefully you find some quality companies on the list I just sent you – sorry for the delayed response – let me know if you have any questions.

  49. By RobH, March 1, 2011 @ 11:00 pm

    Jim, sorry for the lateness of my response – hopefully you have had time to digest the information :) – check your email for the list I just sent.

  50. By RobH, March 1, 2011 @ 11:01 pm

    Thanks Kevin, glad you enjoy the blog – I just sent the list.

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