How does the Bank Value the Note amount?

[Dale T.]

Hi all, If I were to buy a note directly from the bank, Then how do I figure what to offer. Does the bank do a BPO? Or are they taking the value from the amount owed on the note. If the Value of the House is not near what the House used to be worth, then is the bank going out and appraising the property before they sell the note? I am used to doing Short Sales and they always do a BPO to see the current value is. Is this done with Notes also? Thanks