How to Rate Property Condition on a BPO
Condition ratings drive value and reviewer questions. Here is how to rate consistently.
Most BPO forms ask you to rate the subject's condition, and often the condition of each comp too. A consistent, well-supported rating makes the rest of the report hang together.
Use the vendor's scale
Vendors use different scales and definitions. Some use words like good, average and fair; others use a numbered scale. Read the definitions in the form or the vendor's guidelines and apply them as written, not as you would describe a listing.
What to look at from the exterior
- Roof: missing shingles, sagging, patches or tarps.
- Siding and paint: peeling, rot, cracks.
- Windows and doors: broken glass, boarding, missing screens.
- Landscaping and yard: maintained or overgrown.
- Driveway, walkways and fences.
Be consistent across subject and comps
If you rate the subject "average", your comps should be rated using the same yardstick. Listing photos of comps tend to flatter, so read listing remarks carefully for words like "needs TLC" or "fully renovated".
Support the rating with photos
If you rate condition fair or poor, include photos that show why. A reviewer who sees a poor rating with only a pleasant front photo will send it back.
Separate what you saw from what you assume
On an exterior order you cannot see the interior. Say "exterior appears average; interior not inspected" rather than implying a full assessment.
Rating comps you have not seen
You often rate comps from listing photos and remarks rather than in person. Read the remarks for clues such as "original kitchen", "new roof" or "investor special", and look at the dates on any photos. If you only drove by a comp, rate what you could see and say how you rated it. Consistent method matters more than perfect information.
When in doubt, describe
A short description, such as "peeling paint on south side, roof appears serviceable", supports any rating and helps the reviewer agree with you.
Related: BPO adjustments explained.