What is a BPO?

A Broker Price Opinion (BPO) is a real estate professional's estimate of a property's likely selling price, created by a licensed real estate broker or agent. This valuation is typically less formal than a certified appraisal and is based on an analysis of the property's characteristics and the local market, including recent sales of similar properties​​.

BPOs are often used by lenders, investors, or real estate professionals when a detailed appraisal is unnecessary, impractical, or costly, especially in settings like setting a listing price, evaluating property conditions for distressed properties, or during foreclosure and short sale processes​. It combines elements of market analysis and competitive analysis to provide a price range based on the agent's expertise and market comparables​.

BPOs adhere to certain standards and guidelines to ensure quality and consistency, as outlined by organizations like the National Association of Broker Price Opinion Professionals (NABPOP), emphasizing ethical conduct, accuracy, and competency in executing BPOs​.