BPO's in NJ

[ezradams]

Serena,

They wrote a letter to the Real Estate Commission informing them of their decision. I'll be attending the April Board meeting as well. I'll see what I can do about getting a copy. It may also be posted on line.....I'll check tonight.

Dan

 

[dobie]

Just an update on this issue. I was at the March Real Estate Appraisal Board meeting in Newark. They have agreed to prosecute agents that perform BPO's for anything other than listing purposes.

Just out of curiosity was someone from the Attorney General's office there? Is that who has agreed to prosecute? Any other details of how they propose to single these guys out?

 

[ezradams]

Dobie, Yes, Susan Carboni from the Attorney General's office was there and it was her letter that was sent the Real Estate Commission. In order for them (the Appraisal Board) to take action against an agent, it will be necessary for somebody to file a complaint.

So, keep you eyes out for any BPO's that might cross your path....I'm looking!

 

[dobie]

Dobie, Yes, Susan Carboni from the Attorney General's office was there and it was her letter that was sent the Real Estate Commission. In order for them (the Appraisal Board) to take action against an agent, it will be necessary for somebody to file a complaint.

So, keep you eyes out for any BPO's that might cross your path....I'm looking!

I'm filing complaints today with both the RE Board and the Dept of Banking and Insurance (they regulate realtors) and I'm going to cite the blatant adverttising of BPO's by non appraisers. We'll see what happens.

I'll keep you posted.

 

[ezradams]

Dobie,

I called the company on your link earlier today and informed him that any agent doing BPO's in NJ could be prosecuted...he said he'd look into it and get back to me!

 

[ezradams]

Dobie, If we're able to stop this illegal BPO activity it should open some doors for additional appraisal work with attorneys and banks. They may be surprised, however, by the new fees required to perform the work properly. The latest issue of "Valuation" from The Institute arrived yesterday with an article regarding BPO's. Do you have any experience with their form #200.03?

I'd like to be competitive and at the same time be thorough. What is your opinion on this.

Dan

 

[Walter Kirk]

What is needed is a law that allows BPO providers to be prosecuted in municipal courts just as unlicensed plumbers can be. It would also be great if a law could be enacted making it illegal to hire an unlicensed person to perform an appraisal.

Does anyone know what members of the state assembly and senate deal with these matters?

 

[dobie]

I just finished writing up my complaint to the NJ Dept of Banking and Insurance. I'm sending a copy to Susan Carboni at the State Board.

My fear is that the realtors are not going to let go of this easily. Too much money is involved.

 

[ezradams]

Walter,

By the way, thanks for the info you sent me a couple months back......that's part of what got me up to the last board meeting in Newark. I'm going again this month to follow up on the BPO issue and the model legislation for AMC's.

They made it clear at the last meeting that prosecution needs to happen in Newark since the illegal activity would be "acting as an unlicensed appraiser." Enforcement is lacking, so it would take some additional "push" from us in the event we uncover an agent that's acted illegally. What I would like to see happen is attorneys being forced to stop using agents. Same with banks. There are tons of these things being used presently and I'd like the business! How do we get the word out to the lawyers, bankers, and judges that this needs to change? Any ideas would be appreciated.

Dan

 

[dobie]

Dobie, If we're able to stop this illegal BPO activity it should open some doors for additional appraisal work with attorneys and banks. They may be surprised, however, by the new fees required to perform the work properly. The latest issue of "Valuation" from The Institute arrived yesterday with an article regarding BPO's. Do you have any experience with their form #200.03?

I'd like to be competitive and at the same time be thorough. What is your opinion on this.

Dan

I looked at that form briefly. Realtors are doing these BPO's for $40-50 so it's hard to compete with that no matter what form you're using. BTW the banks know exactly what they're saving by using BPO's. This is a going to be a very tough habit to break and there are a lot of forces aligned in keeping the status quo.