I think the lowest pay now is RRR. What do you think?

RRR exterior BPO is $40 and PCV interior BPO is $60

I think 40 is low for an exterior. As you know, it'a alot of work..

What was that company that paid 32.50 for a BPO? Even I agreed that was too low.

If you ask for $10 more from 99% of these companies you will get it most of the time. If they call from India the way they work is that they have a set amount that they have get the BPO done and they try to get the lowest possible. Just ask for $5 or $10 more on each of them and you will normally get it as they don't want to bother calling 10 more agents to try to get the job assigned.

When I get a call, when they ask me if I can do a BPO, I immediately ask what is the address, the fee and the due date. After they tell me I always say for me to meet that due date for a BPO that far away (regardless of distance) I need $X, which is $10 more than what they offered. I get it 99% of the time.

An additional $10 on 150 or so BPO's a month ends up being significant denario.

What I would like to know (and maybe MSVJ can expound on it), is how much does the mill get for the order?

Not to put MSVJ on the spot, I will use EML as an example. They pay $40 for a drive-by with the $10 extra pay if you turn in the report on time. How much are they collecting? $100, $125? I would really like to know.

Mills have expenses, which is something I appreciate. Two that come to mind are payroll and web site maintenance costs. Naturally they also want to make a profit! However from the outside looking in, I would hope that "their end" is somewhere near 50%. Meaning if EML is dishing out $50, their take is $100. I have no idea if that is realistic or reasonable. As long as I get my $50 for a drive-by, I'm OK with that personally. If its a rush, that something different.

Lastly, what intrigues me is BOA/CW. There is no "third party" to pay. Their expenses must be low, as their QC dept is virtually non existent. So the $55/$85 they pay must come from bank operating expenses? With that being said, why does BOA/CW outsource to FIRVV when they have their own evaluation dept???

I love the BPO buiz, as it took me decades to find my nitch in life. The lower fees are something that I think is temporary (1-3 years), as when the market improves less people will be doing BPOs. I think that alone will cause fees to increase, with the demand being relatively the same as HELOCs, PMI removals and standard purchases will be ordered.

I am a hold out for them. I stick to my fees, $49 and $75. Obviously, I don't do as much for them as I used to. But they still come a knockin.

I agree. $5 is a sure bet. But I always ask the questions Gig em wrote and then come back with my limitations to make my case. If they hold firm, let them find another sucker, I mean agent, to do the order.

Sorry but I have to add a note to the bpo providers....You get what you pay for.

I second that!!

Sometimes, I cannot help it.. I can make BPO's alot harder than they are.. but there are sometimes that I have to just tell myself it isnt like its a $400 BPO. Why am I stressing myself out over it?? The BPO usually turns out ok anyway. lol so I usually stress over nothing in the end.

If it is within a few miles I make an exception.

ORT....in my area $35 drive by $50 interior. 2 TAT, Always get calls to do the interiors that sit there & ask for $75 they approve. Wish others in the area would hold out


I Do exteriors for RRR $40 but they have a long TAT, no comp photos, simple forms, pay quickly. Don't do the quick turn arounds for that much, they will also up the fee when asked.

Seems like lately tho, RRR has been asking me for comp photos with Ext. Their forms are easy so I do some of them, but I am really choosy with them. I dont want to do many $40 BPO's IF I can help it. Im not against it, its where I got started so I am forever grateful but when u find companies that just simply pay better and keep you busy, what are you logically supposed to do??

I see the ORT orders at the same prices KoDa mentioned a few posts above. I usually ignore them. But someone is taking them, since they seldom call

I get $35 exterior BPOs for ORT too. That's the lowest I've seen from any company.

I talked to a gal at RRR once who had an agent in my area doing orders for 17 or 19, I dont recall.

just accepted a ORT int. for $50.00 aaahhhhhggg, thought it was just a drive by. sent them a e-mail, doubt will get more pay, but will treat the order just like any other as i accepted it.

35 is ok because it doesn't even take 1 hr to a order but 17 or 19 is crazy. I would do it for 20 if I could use a MLS photo. That would take like 20 mins so 20 dollars for 20 mins worth of work is good money. I always think about it Time vs Money. It's too many working normal jobs that make that kind of money in that little bit of time. In 2006 I was a correction officer and made 50k.Ok money. In 2007 I start doing REO and BPO's and I made 50k in about 6 month so I'm greatful for all the orders I get. Just think we could have to punch a clock everyday and get a check every 2 week instead all most everyday.

2 good points I agree with.

Brad,
Interesting tidbit for you. In doing REOs I often look up what the final judgement amount for a foreclosure is in the county records.

There is a seperate line item for a BPO with a price of $375.00. Do not have any idea how it is split up but, it looks like after the $35 they offer for the BPO itself there are a few markups. The appraisal is $425.

Perhaps you BPOers should start thinking about collective bargaining.

Brad.

With out giving you an actual figure I can say for sure there is no way we mills collect what Grampa's figure of a BPO is on here at 375.00 - If we were charging a bank 375 for a bpo - They should just go get an appraisal since appraisals normally only run about 200.00 - 250.00 for an exterior 2055. (depending on the area of course)

J~

I am not quite sure if you are saying that $375 was collected for a BPO or for multiple evaluation services. I think it is safe to assume that several if not many BPOs are ordered on a home from pre-foreclosure to sale. I can't count the number of times I have had to pass on an order because I have done that property during the period of time a repeat is not allowed.

I would just want to clarify if possible the line item you are mentioning and exactly what that includes.

J:

I agree, and as I mentioned earlier in this thread I did not want to put you on the spot regarding mill collection fees. I am feeling that the $375 may be to cover the cost of multiple BPO during a course of time. Perhaps $125 x 3???

Brad,

Depending on the client and the mill that would be more likely. Course if you find clients out there who want to pay 375.00 to a mill for a single BPO. Let me know, I will be happy to sign them up.

J~

MSJV I have a question for you.

I currently do bpo's for a few companies. I know of over 100 residential bpo companies and have been doing bpo's for years. I mainly focus on sales and the bpo companies I work for I do mainly commercial bpo's.

Do you know of any specific companies that do mainly commercial bpo's or where to look? They seem harder to find than the bpo home mills.

Since I list a lot of commercial property and specialize in that is the reason I want to increase my commercial bpo business and add more companies.

Thanks for any help or insight!

what program are you using to do a bpo in 20 minutes if you mind me asking. I know I am not up on the tech as much as alot of you bpo agents, but I'd sure like to find out how to do them that fast. I no longer accept them anymore, but of course have to do them for reo listings. please tell

super realtor, I have done only one commercial bpo, was shocked to get it from IAS, what a headache because their's was so detailed and so many pages. Can you tell me what is the best way to learn to do commercial bpos? Also, as far as your question, in this area we have several banks that specialize in commercial banks, I would contact them individually and ask to be registered as a Vendor for their BPO & REO depts. P.s. are you getting commercials deals closed right now? Despite it is slow I am considering commercial and am seeing some recent buyer interest in that area.

Super,

Most mills won't take commercial properties from clients. Ususally when they are sent the mill sends them back recommending a commercial appraisal be done due to the income potential property. BB outsources theres to their sister company E-appraisit and I know sometimes they order a commercial BPO rather than pay the fee for a full commercial appraisal. We do Mixed use at MSV but not full commercial and CC I think takes some clients commercial due to their contracts but not others.

Since most commercial properties are given loans as a business entity the banks that handle these have different proceedures for their collateral trades. I believe I was informed a while back that banks prefer to hang on to the commercial notes rather than trade them as they are usually more secure than a residential note. They have less to worry about as far as the property being ran into the ground by the owners during occupancy. If I come accros anything I'll let you know.

J~

msjv thanks!

REO bird lady,

Yes I am still getting deals closed. Right now for regular sellers and buyers there is a "bid ask gap" for the past year.

This means sellers are still holding onto "overvalued" pie in the sky prices of 2004-2006 for commercial properties.

Buyers on the other hand are waiting for the commercial market to get pounded like the residential did and it is going to happen. Many purchased in 2004-2007 at 80 to 90 ltv's on balloon notes after a few years.

CMBS's and regular commercial loans will create a tidal wave of defaults. There are cash equity groups,reit's,insurance funds,investors,and developers waiting to scoop these properties up cheap. The sellers are trying to hold on but they can't refinance as new lenders want 40 percent down on the new appraised value.

Example: Seller purchased in 2006 for 1,000,000 and put 100,000 down leaving 900,000 loan balance. He has a loan fixing to shoot way up and adjust. He seeks out to refinance with a new lender.

The seller has lost cash flow since tenants have left or gotten reductions in rent to stay. The new appraisal comes in at 800,000 and the lender wants 40 percent down. Now the seller has to come up with 320,000 down plus say an additional 150,000 to cover payoff of the old loan plus closing costs,fees,late mortgage payments etc.

As you can see almost no seller will have 470,000 to refinance in those situations. Of course this is a very basic example and the seller does have options but in the end their will be a lot of defaults.

I used to get $65-70 from RRR for interiors prior to them switching to the new blast system. Now I just got a blast for a $50 interior! WTF!! Not a chance!!

Reduced fees are just one issue.........On the blasts I received, the turn times were between 2 to 4 days......what happend to the 10 day plan? I've only used RRR for fillers.......with the long turn times, I could always make them work.......short turn times and low fews......the math no longer seems to make sense......just hope the rest of my clients keep sending orders.......hate to have to accept one out of desperation...lol