subject: Program Hr 3648 | The #1 Myth About Short Sales [print this page] Program HR 3648 | Despite the common myth that the short sale approval is a result of a good negotiating effort with the lender, the reality is, it is the BPO (Broker Price Opinion) that has the power to bring the short sale to a positive conclusion with smiles for everyone involved.
The fact that Program HR 3648 has chosen to bust this myth is based on the fact that we know that a BPO value will no longer be an ominous, scary element in the short sale world if its importance is understood. We cannot, however, make the same promise about black cats, walking under ladders or looking at cracked mirrors.
Through years of experience with short sales, those at Program HR 3648 have learned that the important truth is the negotiator who decides the success of your short sale isn't the person behind the lender's desk or even an experienced "negotiating" or "processing" company such as Program HR 3648. It is the BPO agent standing on the property doing the BPO! For all intents and purposes, the BPO agent is the real negotiator on each and every short sale he or she sets the value and the lender uses that value to determine whether an offer on the property is acceptable or not. The BPO, not the balance on the loan, moves the short sale forward. It is the fulcrum point upon which the short sale rests.
The accuracy of that BPO assists the seller's agent because he or she knows what the offer amount should be, or that the offer they have on the property is in line. It assists the buyer(s) and the buyer's agent because the appraisal by the buyer's lender as the closing approaches will most likely also be in line with the offer. The lender will be able to more quickly and efficiently to approve a short sale when the BPO value and the offer mesh, and there will be less chance that the closing will be postponed to renegotiate the approval documents/payoff or not take place at all because the property appraises for far less than the BPO.
Program HR 3648 greatly assists real estate agents and homeowners with the time-consuming and paperwork-laden process of completing a successful short sale for all involved.
The lender, agent and processor should not be viewed as sitting on opposite sides of the table. They are on the same side or should be.
Here at Program HR 3648, we understand the importance of that concept. The best way to ensure that that happens is for the selling agent to be actively involved in every step of the BPO effort. The lender is motivated to work with the Program HR 3648 or agent when the offer and the BPO value are similar. If the offer is low because of property or neighborhood conditions, an agent must be able to support that offer with estimates, photos, inspection reports, etc. Those supporting documents should be given to the real "negotiator" in the short sale process--the BPO agent, especially since the BPO agent will determine the parameters in which the lender can approve a short sale by setting the value of the property, at least setting the value in the world that lenders live in.
Program HR 3648's most successful agents understand the importance of the BPO in the short sale process and do what it takes to help ensure the BPO agent turns in a BPO value that is commensurate with the true value their property in its as-is condition. These top producing Program HR 3648 representatives have great and consistent success getting approvals and closings more quickly and with less effort and energy spent rather than pushing the proverbial boulder up the hill with every short sale.
At Program HR 3648, we have learned that, for those who work short sales, making the BPO the number one focus will change not only the amount of time spent, but also the approval success rate, and you will find that this small effort, to ensure an accurate BPO for a property being sold "as is", will yield you and all the homeowners you serve big dividends.
For more information about Program HR 3648, visit http://www.programhr3648.org.
