Why do BPO companies ask for so many comments? You stated in the report that the comps used were “the best comps available” so why did the report get sent back to you again? If there were better comparables available, you would have used them, right? Well, here is a little peek into the minds of the reviewers and companies that order these reports:
The quick answer is that the reviewers and customers do not understand the market as well as you do! Each report has a set of guidelines in the Special Instructions that explains what the customer expects of the comparables. These guidelines are laid out for you in order for the customer to be confident that your value conclusion is solidly supported. Many times these requests are impossible to meet, and we need to know why the comparables chosen do not fit the requirements. Even more importantly, what is it about the comparables you have chosen that helped you derive an accurate value conclusion?
If the comparables in the report are dissimilar to the subject in some way, or sold several months ago, what is your logic behind the analysis of the subject’s value as compared to these properties? Address each variance from the instructions in terms of how it affects value and to what extent. The more detail the better! In order for the end-user to fully understand the report, we need to get into your head and see the property as you see it. Once the report has been explained in a logical way, there should be no need for many more major questions about your report.
This may seem like a bit of extra work up front, but in the end, these reports should just flow through to the customers without much more hassle or time spent on your end…it’s a win-win!
InsideValuation 
My BPO’s contain addendum’s, like my narrative valuations do.
Explaining all the differences and choices for utilizing certain properties and
defining my parameters for doing so. YET, I still usually get reports kicked back.
It’s because most reviewers have zero background in valuation. As most realtors do.
There is a reason why appraiser have to complete 2500 to 3000 hours to sit for the state exams. it’s not something you learn in day or two or by watching a webinar. I have found that BPO’s vendors can be their own worst enemies at times.
Thank you for your opinion!
Our reports do require additional comments and clarification from time to time. This is by no means the fault of the reviewer or lack of experience or training. The end user of these reports (employees of mortgage companies, hedge funds, etc.) are not always licensed appraisers and do not have the same intimate knowledge of individual market areas as you, the valuation professional does.
Our reviewers are charged with the task of ensuring that all of the clients’ requests have been met or explained in layman’s terms. Many clients have specific concerns that have been requested of each report. We understand that this can be frustrating to a seasoned valuation expert, but the additional time taken to explain clearly and tangibly why a requirement or instruction was not met or followed is a task that we all are obligated to perform in order to ensure we are providing the most comprehensive reports that are legible and meaningful to all end users.