Its getting more and more ridiculous with these BPO companies and their low fees. They keep lowering the fees and yet increase the amount of info required, i.e MLS sheets for each listing, more uploads and more pictures. I will not get in my car for $40 for an exterior. Why are agents so willing to work for peanuts. Do the math folks, it isn't worth your time for $40. If you stop accepting these, the companies will be forced to increase their payments!!! Oh one more thing then they QC you to death on little items that they want you to change to suite their clients. Then why hire me to give an accurate BPO when you want values changed?

No, the order will just go to one of the many agents that will accept it at that price.

Its just economics 101, basic supply and demand. The supply of agents is high, the demand for BPOs not growing. As they lower prices, people like your self will fall out of the supply, and an equilibrium point is reached.

Its not going to get any better. And I expect to see further price drops so long as the real estate sales market remains weak and the unemployment rate remains high.

You are absolutely right!
I have figured it why this is happening.
Companies are competing for BPO business and they lower they initial fees to get more business like FARVV did.
Then they pass that to us and try us to do it cheaper.
You are right,once they have nobody to do them they will give you more.
They get anywhere form $95 to $125 for exterior but try to squeeze you for $40 !Let THEM MAKE $30 AND GIVE YOU $65!
I already been witness that things will only go up and not down as I refuse to do it for less .
Also those newbies will get into business this way but not for very long.

I've stopped working for peanuts for the most part. I recently told a company that needed mls sheets that it would cost them extra. They choose to reassign it and thats fine.
With EML at $40 now I never accept them and if I have time I decline it with comments on the low fee. I realize nobody even looks at it most likely.
Another company called me about a $15 pcr that sounded urgent and I asked for $50 and got it. It was out a ways though.
Got another call on a bpo for a company I rarely work for and I told him I was kinda busy so he asked how much to get it done. In a moment of weakness I said $75 and he was good with it. I should of asked for more maybe.
Yes, I understand that they have other options as I do.
I just bought another fixer upper where I'll hope to clear $40k after resale in six months. Let me see - how many bpos would that be? Granted I'm in a position to invest in these houses but it is work too.

the lenders and big players in the real estate industry exploit people...it's what they do...and they can do it because they control the industry. they can always find a newbie to take it up the rear.

Yeah, I stopped doing the $40 BPOs and only worked with the comanies that paid $50 and up. My volume dropped by about 40-50% because so many companies have gone to $40. I need some cash now, so I'm picking them up at $40 again and my volume is probably a little bit better than it was before I stopped doing them. Last week was perhaps my busiest ever, but at $40.

The thing is, many agents look at it as a $10 hit I think. I look at it as a $1,000 or $1,500 hit every month if all my BPOs go to $40. But if I don't accept the $40 orders, I lose even more....it sucks. Not sure what the answer is, it is just basic supply and demand as was mentioned. I could really use that extra $1,000/month though.

Absolutely agreed with Alwaysthenewbie. It's better to make money with $40 orders than sit around and make nothing. I used to reject orders that were below $50, and I found myself with only few companies who were willing to pay $50. When I called others who used to send me tons of work, they responded that my fees are too high and they have agents who work for slightly less fees. So, I decided to reduce my fee by $4, and within last 2 weeks I am receiving a decent amount of work and not to far from my office.
Lesson learned, but I had to dive into my savings while trying to figure out why I was not getting orders :-((

Who are you to tell people what they should and should not work for? Joe Blow is sitting at his table listening to his wife yell and his kids scream for food. You want to sit down there and tell them why he should not work for $40? I do not do $40 orders. I am in a better position than many and can afford to be a bit selective. But, I understand the plight of many in this economy. I sympathise with those that have to make ends meet and fully understand their urgency to make coin in order to do so. Sorry, I can make decisions on what I will work for, but I am certainly in no position to tell others how to run their business.

Everyone has their own income needs. There are those that would say someone is nuts for doing a 40 buck BPO. There are also those that would say someone else is nuts for doing BPOs at any price. And there are even those that will not accept any listing under a half million bucks. So who are we to judge each other?
There's a sage old comment about not judging another until you've walked a mile in their shoes.
That gives you a mile head start and they're chasing you in bare feet. Had to add my wise a-- comment, just couldn't stop myself.
The needs of each vary widely.

Clearly there's more than one point of view on this topic. I certainly have compassion for those less fortunate than me. I have friends & family who are struggling and / or out of work. I know it's tough out there.
And I don't care if others choose to do a bpo for a buck frankly or free even, unless it effects me which it does. I feel that others who are accepting these underpaying orders are preventing me from making a "fair" wage for the work provided. Am I being selfish? Maybe.
I sense that many of these agents working for nearly nothing are in their circumstance as a result of their own actions or inactions. Seriously. Probably years of living beyond their own means, keeping up with the Joneses, too many new cars, too many charge cards, bad money management, etc. I'm not saying all, but many I suspect.
I'm sure plenty of yous will disagree with my point of view, so be it.

I made 3 figures last year doing $40 BPOS. Combined with my auto fill software that I wrote my own codes for, I worked about 9-6 hours a day.

So basically, its not peanuts to me. Sorry if it is to others.

Well, of course it effects you. It also effects every laborer at McDonalds that someone else will work there for $6/hr when they'd like to make $10/hr. This is no different. The guy who wants $10 can sit around and wait until McD's decides to pay him that, but the number of people who have the skills necessary to do the job are plentiful, which means there are a number of people who will do it for $6.

While fewer people possess the skills to do a BPO than work at McDs, it's more plentiful now than it was 3 years ago. It's not like there's a huge barrier to entry for gaining these skills and doing the work either.

I know 5 years ago, when I started doing BPOs, I found out about them from another agent who worked for my Mom's company who thought it was crazy to do work for $50. It wasn't worth it to her. So many agents looked down at it. I, however, just left a corporate job and figured, if I did 10 a month it would be an extra $500 in spending money. How things changed and now I do up to 90 a month while selling commercial full time.

Now, I go to short sales and all the agents say, "How many do you do a month? How can I get into this? Do you need any help?" Some of them will take my bread away from me, others will stay wondering how it happened. I never answer their questions with all the info - no need to help the competition, but it really comes down to me being willing to do something that they weren't that got me into this position, which is better than some. Now, there's others who are willing to things I'm not. That's life.

How is this any different then cutting your commission? If you choose to list at 5% thats up to you. I turned down a listing a seller wanted to list at $350 because it wasn't worth it. Sholuld be listed at $310. Another agent took it and he still has it 8 months later. I did not want to deal with the drama, but another agent did, his choice. If a BPO company wants to pay $40 and agent takes it, then its their choice. I still get them at $50, did two yesterday that were on my way to a rekey I had to do. Off set my gas and then some. I have two more due Tuesday, both at $50 each and they are on my way to my office, which I have to go in on Monday anyway. I do not think that agents taking bpos at $40 is bad, I do think if you get a call asking you to do one, you should try to up your fee. Heck, I still get calls from Ocwen, they have a state broker here, so I turn them down, since I only do BPOs for companies that list reos. They blast 10-15 BPOs a day, and agents pick them up at $39 a pop, but my phone still rings. I have had them offer $100 for an exterior due in 48 hours, but no amount of money would get me to work for them. We all can set our own fees, which is part of being our own boss. I agree with the posts above that talk about how reo agents were looked at years ago, and now we get calls from agents asking us how we did it. Everyone thought I was a nut 10 years ago, and now they all want this business. I turn down business now that I would not have turned down when I first started. If other agents need it, take it, fine with me. I remember when I first started, I had to decide how I was gonna pay my bills. I had to call my mortgage company and tell them I couldn't make my payment. I called a freind of mine who was a manager at Wells and he helped me make a buisness plan, which I followed. The most important question he asked me to answer was what was my niche. I chose to focus on reo even though I had only ever sold one. I sold real estate flat out to anyone who would listen and I caught up in two months. Before you judge anyone, think about having to put your head down on your pillow knowing that you are deep in debt, wtih no income. The irony is I now sell reo, to pay my bills.

Here's my $40 worth, or should I say $39. A year ago at this time I was coming off a slow summer, a dead September and a not promising Oct., worst period in 11 years. Currently coming off an OK summer, a "good" September and now into a promising October, largely on the backs of companies that are not highly regarded on this forum.

Along the way I have automated input, we can kick around how you do it, but if you don't do it, you are limiting your profitability per order.

My experience has been to deliver for the "not highly regarded" and receive volume and "perk" orders and preferred pricing, IE rush orders, distance orders and individually negotiated pricing that comes with $10 to $40 dollar price upgrades. As a rule I do avoid slow payers and I use the forum to avoid no payers.

It can work, but you do have to be flexible and adaptable.

3 figures?