Should I bring the listing agent to the BPO

Question

I am investor working on a short sale. I gave Homeq all my contact information to call for the BPO. today the listing agent called to inform that he have scheduled a bpo on the property. I was very choke, when i call homeq, they said they dont have the bpo agent info yet nor know why he/she didnt contact me as instructed. Have anyone come accross to that yet and how to deal with the situation?
Thanks

Scott Hubbard · Answer

That is how I learned... Good luck!

Scott Hubbard · Answer

1. Listing agent, unless they represent you, have only a responsibility to the seller. 2. The BPO agent has only a responsibility to the lender. This is very common to see the BPO agent trying to get in and out the property as quickly as possible. After all, they make like a Net $40.00 per BPO. You should be there to meet the BPO agent because they do not have an interest in seeing you succeed. Their interest strictly lies in how quickly they can complete the BPO and get to the next one. Why leave your fate in their hands? You should always have a back-up strategy. No matter where the BPO comes in at, you can still get a discount if your able to challenge its results. I NEVER solely depend on influencing the BPO. The reason is it is not consisently effective. Some BPO agents, insist on doing their own thing and mostly you will have little impact at all. If your only strategy is to influence the BPO, then your better off going to a roulettte table causee you will have better odds in Vegas than making money in short sales. So, assume the BPO will come in higher than you want. How can you show the lender your offer will improve their net proceeds over a foreclosure? Being able to prove your offer is in their best interests is the key to a successful short sale.

Dee Xixi · Answer

Thanks for the great response Scott. This is my first shortsale so i am learning also and doing.

Dee Xixi · Answer

But Scott, should I even bother go during the BPO? I ended call the BPO agent to find out why she did not call me, her response was I did what was right which is call the listing agent. I am not sure what is the right thing to do now, i did argue with her over the phone also. Thanks

Scott Hubbard · Answer

Unfortunately, this is one of the reasons it is difficult to work short sales when the listing agent is between you and the seller. It falls under the prequisite YOU MUST CONTROL THE TRANSACTION. Since influencing the BPO is one of the most critical points of a successful short sale, I recommend you get ready to contest the BPO valuation.

Maryann L. · Answer

Dee, It's likely the BPO agent had NO idea you were even involved in the short sale transaction. If the bank called the listing agent and the listing agent called the BPO agent, the BPO agent has no idea who you are. My gut reaction is PASS on this property. Most likely you won't get the price you need to make any $$. You can take a chance and call the lender to find out what the BPO came in at (not that they need to give you that information or will) but once you figure out, you'll know if you can still make money on this deal. In my area BPO agents have told me they have 48 hours to submit back to the bank.

Maryann L. · Answer

I would make sure you and the listing agent are on the same page. Basically that the listing agent realizes you're trying to buy this property at a deep discount and can back you up in that. If they aren't on board, it will make this BPO very difficult if the listing agent goes to the property. I think the listing agent was called because the bank maybe didn't get clear information that you're in charge of negotiating (are you?) - If that's the case I would call the lender and cancel the BPO agent and reschedule. I'm not sure what you mean by "use it against them" - If you don't show up at the scheduled BPO, how are you going to use that against them? THey are doing their job. They need clear instruction that YOU are the one to be the contact and that you'll be the contact for the BPO.

Dee Xixi · Answer

I just contacted Homeq, and the person said may be that the BPO agent just make a property address search then call the contact agent. Yea it kinda force to explain the RE agaent more things now. The home owner listed the property with him but I contact the owner too then it authorize to work the shortsale.I am thinking not showing up then use against the BPO if it ends up to high of my asking price. Any thought

Maryann L. · Answer

Something sounds strange. Can the listing agent give you the BPO info? I've definitely called lenders though and the left hand didn't know what the right was doing.