BPO

[Howard Klahr]

It's not about the assignment being USPAP compliant, it;s about the workfile (and any statements made by appraiser ) being USPAP compliant.

This is not accurate at all. Have you reviewed standard 2 in USPAP? As I know you are aware, it addresses reporting requirements which would be applicable to an appraiser performing a BPO

 

[J Grant]

Howard can you read for context? I said what is USPAP compliant is what the appraiser does, such as the appraiser's work file statements, content, not an assignment name such as BPO , or a client stating a form or assignment is "USPAP Compliant , workfile, statements, rather than assignment claiming to be USPAP compliant or having a name such as BPO.

 

[Howard Klahr]

JG - An appraiser, especially in Florida, performing an appraisal report, because they can not do BPOs with an appraisal license calling an appraisal report a BPO would not exactly be conforming to USPAP now would it? Regardless of what "statements " are contained in the workfile.

 

[J Grant]

Who said statements in the workfile? I said a workfile, with statements in report.

USPAP says a verbal sentence, or a restricted report is an appraisal which can be USPAP compliant as long as the content of work file is sufficient to produce /perform an appraisal.

Where does USPAP specifically say an appraiser can not do a BPO? An appraiser can't be misleading about their role when acting as an appraiser

 

[Howard Klahr]

Where does USPAP specifically say an appraiser can not do a BPO? An appraiser can't be misleading about their role when acting as an appraiser

I never aid USPAP prohibited you from doing a BPO. However, why don't you take that one up with FREAB and see how far you get.

a restricted report is an appraisal

Oh, and a BPO is not a restricted appraisal report.

Do you want to go again? Three tries for a quarter

 

[J Grant]

Nowhere to go we are saying much the same thing.

I have no interest in doing BPO's at present time,,,,if an appraiser does a PBO , and signs as an appraiser it is an appraisal no matter what they are called. BPO or any other name they want to give them.

 

[Tru Red]

Real Estate Broker and Certified Appraiser here also. I used to do them from 2006 to 2010 for listings when I was active as an agent. I've done maybe 4 or 5 BPO's in the past few years for private individuals. I typically charge anywhere from $150 to $250 with the stipulation that the photos used are MLS photos. I only place my broker license and identify myself as such. In no way, shape or form are BPO's USPAP compliant and you should state that in the BPO. Disclose everything you can think of and also state the BPO should NOT be used in the place of an appraisal report for any reason. Just my humble opinions.

 

[JTip]

Judy, unless you are a broker (in NJ), I wouldn't be doing a BPO in your state as a CR.

http://bfy.tw/8SwI

 

[Deleted member 130081]

In my state, and I believe many others, BPOs are only legal if the Broker has an interest in marketing the property. In this vein, our state has legalized BPOs as "appraisals" that do not have to meet USPAP and other appraisal standards. The problem is that banks are using them for all sorts of things, for instance HELOC loans (my HELOC was approved based on a BPO). While it may not be illegal for the bank to make a loan based on a BPO, it is illegal for a broker to perform a BPO in an instance when there is zero chance they will ever get the listing (in my state anyways). As an appraiser, I would not even consider performing a BPO because I am not a broker. I would question the rationale of any appraiser who thinks that's ok, if they are also not a broker. After all, its called a Broker Price Opinion, not Appraiser Price Opinion. Pretty sure USPAP covers this (cant remember where off-hand exactly), but it has to do with not misrepresenting yourself to the client. If I was asked to do a BPO, I would simply say fine, but not on a form that was named BPO, rather on a form that said Appraisal. Not for $50 bucks either. I have no idea how they do it that cheap. I charge more than that just for inspecting the property.