C.quinones, Home Buyer in Frederick, MD

Can anyone tell me what happens after the bank does a BPO?

Asked by C.quinones, Frederick, MD Thu Sep 27, 2012

What if the BPO is a lot lower than my offer?

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4
Liz Burrow, Agent, Frederick, MD
Fri Sep 28, 2012
The BPO is designed to guide the bank as to whether or not the offer is reasonable. If as you ask, the BPO comes in a lot lower than the offer, the bank may either chose to counter, or reject the offer. Banks typically have rigid guidelines setup which will dictate how they respond. Unfortunately they all differ so a definitive answer very difficult to give.
1 vote
Richard Iaro…, Agent, Gambrills, MD
Thu Sep 27, 2012
The bank will share the results of the BPO with the investor who owns the loan on the property. The investor will direct the bank what to do with the results. There are only three options, accept, reject, or counter.

How long this takes is always a challenge in this industry.

Your agent can keep you informed on the progress of the transaction.
1 vote
jspivey818, Agent, Frederick, MD
Thu Sep 27, 2012
The bank is trying to obtain value on the property. Typically, the bank will accept or counter the contract after they get the BPO back. This would probably happen within 45-60 days.
Joanne Spivey, CDPE, The Buyer's Best Realtors, 301.874.5100
1 vote
Hi Joanne, Thanks for the response. What if the value that the bank obtains is a lot lower that our offer?
Flag Thu Sep 27, 2012
Akil Walker, Agent, Upper Marlboro, MD
Tue Feb 12, 2013
The BPO is normally sent to the bank/investor for analysis to make a final determination of value on a property. If your offer is higher then the BPO suggest, that is definite plus, but does not always translate to quick response or approval of a short sale.

good luck in your property purchase.
0 votes
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