A broker in Miami receives a request from a mortgage company to prepare a Broker Price Opinion (BPO) on a property in foreclosure. The broker has an active Florida real estate license and is familiar with the area. What should the broker do before accepting this assignment?
Correct Answer
C) Confirm that preparing BPOs is permitted under their employing broker's policies
Correct: Brokers must ensure their employing broker permits BPO activities and that proper procedures are followed. Why not A: Competing listings don't prohibit BPO preparation. Why not B: BPOs are not appraisals and don't require USPAP compliance. Why not D: Licensed real estate brokers can prepare BPOs without an appraisal license.
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Previous Question
A Florida real estate licensee is preparing a Comparative Market Analysis (CMA) for a seller in Tampa. The licensee includes three comparable properties, market trends, and days on market data. However, the licensee titles the document 'Property Appraisal Report' and charges a separate $500 fee for the analysis. What issue exists with this scenario?
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Under Florida law, all of the following are requirements for a valid CMA EXCEPT: