Banks need a cost effective way to determine a property's value so that they can make informed and intelligent decisions. Often, it is cost prohibitive to pay for a full appraisal; in these cases a BPO is the perfect solution..
Philadelphia, PA (PRWEB) October 12, 2012
Property Management Philadelphia firm JG Real Estate has recently announced that it will act quickly to take advantage of changes to the current Real Estate licensing and registration Act (RELRA). Through a newsletter addressed to it's members, the Pennsylvania Association of Realtors has said "PAR’s Board of Directors is also recommending allowing licensees to conduct Broker Price Opinions under certain criteria to fulfill a niche in the real estate market, not currently being met by other products. The amendment to RELRA would further define a “comparative market analysis,” which currently exists under the law, to include a “broker price opinion.” A licensee would be able to prepare this written analysis for an existing or potential seller or buyer, a lien holder, or a person making a decision regarding the property."
Currently, it is illegal for a broker or salesperson which is licensed in Pennsylvania to complete a broker price opinion Philadelphia in exchange for a fee. Each state defines it's own real estate licensing laws; some states allow for licensed agents to conduct BPOs without much regulation, others allow for the practice but with severe limitations, and still others consider BPOs to be an appraisal activity and therefore disallow the practice.
JG Real Estate, a Philadelphia property management firm with a rental agent Philadelphia specialty, sees the value of the BPO in the current marketplace. According to Jared Gruber, Broker/Owner of JG Real Estate a Philadelphia Real Estate Brokerage "Banks need a cost effective way to determine a property's value so that they can make informed & intelligent decisions. Often, it is cost prohibitive to pay for a full appraisal; in these cases a BPO is the perfect solution. While BPOs are most often associated with the mortgage & lending industry, consumers also have the ability to take full advantage of a BPO."
To elaborate on Gruber's comment, consumers often want to know the value of their home prior to listing for sale, taking out a new mortgage, at tax time, or out of simple curiosity. Typically the consumer would either A) be forced to rely on a listing agent's assessment of the property which may be biased or B) pay $300-$400 for a full appraisal. In Pennsylvania, there has simply been no middle ground, which is why PAR's recommendation to the state is an important step forward.
JGRE, a firm which already has a wide range of services & offerings; including property management Philadelphia, has positioned itself to offer it's clients a valuable service.