In a time of uncertainty and numerous changes in the housing market, property valuations continue to be a hot topic. There have been several discussions around how to prevent foreclosure. All of which require the servicer to order a valuation of the property.  Last October at the Mortgage Bankers Conference, the focus was on loan modifications, primarily the Home Affordable Modification Program (HAMP). Almost one year after the program was introduced; the results are disappointing with temporary to permanent modifications falling far below the expectations.  Out of Treasury’s estimate of 1.8 million troubled home owners, only 170,000 modifications were made permanent.

Many critics of the HAMP program suggest the Net Present Value (NPV) test was responsible for several denials.  In many cases, a negative NPV result concluded the loan ineligible for HAMP. NPV criteria included entering a property’s current value.  The following are the approved valuation methods: Appraisal, Broker Price Opinion (BPO), or AVM-generated property valuation. Although other measures are necessary to perform the test, homeowners were not in agreement with values servicers placed on their property. So the question remains which method is most accurate?  While there is no fool proof way to ensure accuracy, emphasis should be placed on raising the bar of the entire valuation industry.

With the negative results of HAMP, the industry is now focused on short sales and deeds-in-lieu of foreclosure. The Treasury department has determined the use of BPOs is an acceptable pricing tool. Technology, if properly used, has greatly enhanced the ability for BPO companies to consistently deliver a more accurate opinion.  It is important to note that a BPO will never replace the position of an appraisal; however, they have become an important part of the lending industries common practices.

The first challenge with any valuation is to gather the most accurate/complete and pertinent information. The second challenge is to be able to verify the information received is accurate and the best data available on the market. BrokerPriceOpinion.com has overcome both of these challenges through innovative technology solutions; and by incorporating local market data from a unique source which prevents fraud at the field level. For example, if there was comp that was a model match next door and the agent didn’t use it, we will follow up with the agent to ask why it was not used.

As an industry, valuation providers should focus on the needs of the lending industry. It is imperative for the users to be able to choose what option best fits their requirements.  AVMs, BPOs, APOs, CVRs, Appraisals and other valuation solutions are all useful products.

No matter the choice, servicers must be able to rely on accurate and consistent values.

WESTMINSTER, Colo., Feb. 10 /PRNewswire/ — BrokerPriceOpinion.com launches their “Next Generation BPO (V3)” platform, capable of evaluating data quickly through the use of progressive technology and current local market information.

For nearly two decades, BrokerPriceOpinion.com has delivered critical valuation data with industry-leading Broker Price Opinions and Appraisals. In today’s rapidly changing marketplace, BrokerPriceOpinion.com is focused on supporting client decisions by providing accurate and reliable information. The (V3) platform represents a fundamental shift in philosophy behind information systems of its type; the focus is primarily on data analysis rather than data capture and delivery. The system offers capabilities and features unmatched in the industry, allowing users to easily configure and enforce a virtually unlimited combination of calculations, business rules, and scoring weights.

“At BrokerPriceOpinion.com, using the latest technology means designing, building, growing, and maintaining a state of the art valuation platform,” said Walt Coats, President, BrokerPriceOpinion.com. “Our software automatically evaluates and scores all comp sale and listing data provided by the broker. It was designed to analyze the data for accuracy and/or fraud, and to provide immediate feedback for brokers and analysts.” As a result, clients can expect the same high-quality reports and industry-leading turn-times even as the company meets the demands of a growing client base and significantly higher order volumes.

Phase II (V3) is expected to launch in the second quarter of 2010. Scheduled enhancements developed in house by BrokerPriceOpinion.com will access local market data and incorporate it into both new and existing products. Clients will be able to gain valuable insight into local markets and make better, more informed business decisions, adding to increased profitability.

Technology is the enabling force that powers our ability to perform work with increased efficiency and accuracy.  Innovative technology means designing, building, growing and maintaining a state of the art valuation platform.  Our IT staff of professionals developed a custom software package that encompasses all phases of the valuation product lifecycle, from receiving and processing orders to quality control review and final product delivery. 

BrokerPriceOpinion.com incorporates leading edge technologies in collecting, organizing, translating and providing property valuation information in the form of both standardized and client-specific forms and reports.

BrokerPriceOpinion.com’s information systems allow for automated delivery of data and information products in a variety of methods and formats. Data can be delivered via XML web services, spreadsheets, Access database tables and CSV files. Completed reports are typically delivered in the form of PDF documents, although they have also been delivered as JPEG and TIFF files in the past. Any combination of data and reports can be shipped on CD-ROM or DVD, or transferred electronically via email, fax, FTP or HTTP. Secure transfer is also available. 

Our IT team is committed to finding the best-in-class technology on which to build our systems.  Current technologies such as Microsoft .NET Framework 4.0 and ASP.NET MVC provide many of the latest tools and components used in our systems. 

BrokerPriceOpinion.com has the ability to integrate with any other platform. For example, the company implemented a system to deliver white-label products through the Alltel Mortgage PhD™ website via a secure HTTP connection, allowing authenticated users of the Unix-based Mortgage PhD™ system to seamlessly interact with BrokerPriceOpinion.com’s order placement, tracking, and fulfillment processes; all of which run on the Microsoft Windows platform. Cross-platform communication and synchronization of key data elements such as the user’s company profile and billing information was accomplished by allowing both systems to send and receive XML data streams over a secure connection.

Consistent quality is what we deliver to you. At BrokerPriceOpinion.com we understand the crucial importance of accurate and reliable data for making loan decisions.  That is why we have re-defined the meaning of quality. Our V3 Platform represents a fundamental shift in philosophy behind information systems of its type.  The focus is primarily on data analysis rather than data capture and delivery.  Quality means being able to analyze data (at the agent level) for accuracy and/or fraud, while providing immediate feedback for brokers and analysts. Our system offers quality measures unmatched in the industry with configurable features that are easily enforced.  There is virtually an unlimited combination of calculations, business rules, and scoring weights. 

In addition to building our software solutions designed to meet the quality specification of our clients, we have implemented our own standards.  This will ensure the ongoing consistent quality and caliber of our work-product.  We have an on-site quality control department managed by an MIA certified appraiser and staffed with experienced, licensed Appraisers and Realtors.  Our Quality Control department reviews each valuation to ensure our clients will receive a complete and accurate product every time. 

Every property goes through automated and manual quality control checks.  Quality control requirements are based on each of our client’s specific needs and specifications. 

During the quality control process the information received goes through two separate validation steps.  The first is completed by the computer system software based on configurable rules set by the business.  The system may prompt for additional questions to be answered when certain fields fail these system checks.  The second piece of validation occurs manually.  Our experienced Quality Control department reads and verifies 100% of the valuations we complete. 

Our network of over 95,000 professionals consists of licensed real estate agents/brokers, as well as appraisers.  Our appraiser base ranges from licensed, certified residential, certified general, MAI, FHA and SRA certified. These professionals are qualified by our Quality Control Management based on but not limited to the number of years in their career, listing/selling of similar properties over the last year, and how long they have serviced the area the property is located in. Many of our appraisers and real estate professionals have been in the business for more than ten years and are very familiar with the industry and area. 

Along with utilizing our monitoring system, our Operations Call Center call center is required to complete a live conversation with each value provider to verify they understand the requirements outlined by the client on every order placed with BrokerPriceOpinion.com. 

Broker/Appraiser Rating Calculation: 

Our network of Brokers/Appraisers are selected, monitored and rated in our custom tracking and reporting system.  Ratings are based on the quality, accuracy and timeliness of completed assignments, as well as experience and market knowledge.

At BrokerPriceOpinion.com our foundation was built upon consistency and dependability.  Trust is critical which is why we have re-defined quality.  The result is greater timeliness and accurate information, leading to more posed, prudent decision making for you.

• Commitment to Quality.  Quality is what drives us, inside and out. You can depend on quality control at each level, on every product we deliver to you.  In addition, we offer customized solutions to meet QC requirements, per department, at the agent level with the largest nationwide network of licensed realtors/appraisers. 

• State-of-the art Technology Platform.  Reliable values and consistent quality minimize credit risk.  Our dedicated team of staff engineers and industry professionals are specialized in working with valuation data, across all platform types, enabling us to develop proprietary technology solutions quickly, accurately, and specific to your specifications.

• Customer Centered Approach.  BrokerPriceOpinion.com begins every client relationship by thoroughly understanding your unique needs.  We take that understanding   and develop customized solutions designed to work for you.  It is standard to expect decrease turnaround times and several interface connections along with electronic delivery options and reports.  BPO reports are delivered within three to five days.  (Average drive by turn-time 3.23 days)
  • 24 Hour Rush & 48 Hour Rush orders available.
  • Nationwide coverage.  You’ll have access to our network of more than 95,000 Realtors and appraisers.  Our extensive network is reviewed and rated daily to ensure turn times, quality and customer guidelines are met.
  • All 50 States – Puerto Rico – Guam – Virgin Islands

“This partnership with American Title, Inc. combines our correspondent sets of technology and commercial objectives, allowing us to protect financial institutions against an actual financial loss due to a variance in collateral value,” said Walt Coats, CEO of BrokerPriceOpinion.com. “We are excited about the potential this partnership brings and the ability to better meet our customers’ needs as we move forward.”

American Title, Inc. has been a leader in the real estate information industry for the last 15 years because of its willingness to listen to client needs and create solutions. In the past year, American Title, Inc. has consistently heard concerns from financial institutions about the quality of the valuation products they use. In response to such concerns, American Title, Inc. created a product that provides coverage for potential losses due to incorrect collateral valuation. “BrokerPriceOpinion.com’s reputation speaks for itself; we are very excited to partner with an expert in the industry to provide financial institutions with the Collateral Valuation Warranty,” said Mike Mackintosh, executive vice president of American Title, Inc.

BrokerPriceOpinon.com’s enhanced technology platform and industry expertise coupled with American Title, Inc.’s reputation and national presence is the foundation of what makes this partnership attractive and valuable for both companies. The mutual goal is to improve unbiased residential values backed by an insurance policy in the most cost effective and timely manner.

About BrokerPriceOpinion.com

BrokerPriceOpinion.com offers accurate and reliable financial data through a broad range of products and services that enable our customers to manage risk and capitalize on market opportunities. Our company uses leading-edge technology coupled with an extensive network of licensed Realtors and Appraisers to provide cost-effective, targeted solutions to lending institutions, securities and investment companies. Our complete array of products will assist in determining accurate price opinions and quantify collateral risk while saving you time, effort and cost.

About American Title, Inc.

American Title, Inc. is a nationwide provider of title, settlement services, and warranty products to the real estate industry for over 15 years. American Title, Inc. has set the standard for quality and customer service in the industry, and continues to work to provide leading solutions for the developing market.