Tips and Tricks for Photography and Outdoor BPO
1. Order of operations
In general, you should complete the Exterior Broker Price Opinion portion of the report after taking pictures of the home. Implementing this method will result in a more accurate current value if you personally observe the home and neighborhood before reporting. In addition, the inspection will also be fresh in your memory.
2. Avoid confrontation
The bank may have ordered a BPO on an occupied property, but chances are people don’t know you’ll be taking pictures of their home. Any typical homeowner or renter would be suspicious if they notice you taking pictures. To minimize confrontation, you should remain discreet and remain in the vehicle unless approached. If this is still not an option, the best thing to do is simply explain who you are and what you are doing to alleviate any concerns. If you ever feel you are in a threatening situation, please leave the property immediately.
3. Bring business cards
It is impossible to carry out every foreign BPO without confrontation from the curious. It’s just going to happen. The business card doubles as a get out of jail card. If you hand it over while explaining that you’re doing an external BPO for the bank, that’s usually the beginning and end of the conversation. Most homeowners don’t have a clue what an outside BPO is anyway.
4. Buy a quality camera
A camera or smartphone that has at least 30x zoom (3x optical and 10x digital) should be optimal. This will allow you to zoom in on a home address. Any home that sits on a deep lot will also be easier to photograph. If the photo is too small or unclear, the appraisal company will request that a new photo be taken at your expense and time. Save yourself the trouble.
5. Don’t take photos of people
Appraisal companies consider this unprofessional and will request new photos or Photoshop editing. The people in the image could present racial, religious or gender bias when determining home value, which is illegal.
6. Take note of visible damage
Boarded up windows, outdated roofs, and peeling paint are a few examples. An outside BPO can usually pass quality checks without needing to identify repairs. However, the lender will want to see that the report reflects what is seen in the pictures. Repairs will ultimately affect the current value of the exterior BPO, so they should be added when necessary.
7. Selection of comparables
To complete an exterior BPO report, you must search for six comparable houses (comps) in the immediate area of the subject. Three comps must be dirty comps; the other three should be listing comps. The selection of compositions is determined using a variety of similarities to the property in question. These similarities can include size, age, and location, to name a few. Price is the only stat not taken into account when choosing comps. Defaulting to a value is unwise as it would create a biased report.
Following these simple steps will help you go from being a Broker Price Opinion aficionado to an expert in no time.