Drive by BPO on a renovated home, how to determine as is value

[Sam Tright]

I'm rehabbing a home that I plan to sell on owner finance. Of 5 note investors I've spoken to, 3 use drive by BPOs to determine As-Is value on the house (One has some internal process, and the final one wants an appraisal).

I don't believe my improvements will be captured by a drive by BPO. This is an issue because I invest in Saint Louis where a "rental property" may sell for 50k if imperfect in places, 85k rent ready, or $100-115k as a full rehab with updates all around.

1. Is my concern above valid if I'm trying to maximize value on the note sale?

2. Would supplying before and after pics help support a higher As Is value than the driveby BPO alone or is this a longshot?

[David Ramirez]

I wouldn't stress too much about that. Let them do whatever they need to. If they don't meet your asking price, move on to the next one. I believe you should put it on the market. I think you could find retail buyers who would be willing to pay your asking price without requiring any appraisals or BPOs, especially considering the current interest rates. If you don't hold a Real Estate License you could just do a $150 Flat MLS listing.

Good luck!