I am trying to find out what makes agents refer one home inspector over another.
What do you like to see from a HI that would make you refer his/her services over another?

Do you mind referring "new" inspectors to your clients?
Is price a factor?
Is the type of report a factor?

Do you mind getting email newsletters, brochures in the mail from HI's or do they wind up mostly in the circular file?

Would you rather have a face to face meeting with them before recommending their services?

I thought I would go directly to the souce and ask these types of questions and figured this would be the perfect place to get some sort of concensus.

Any of your thoughts would be helpful and appreciated.

Kevin McMahon

I like to see some tangible evidence of competency, i.e. currently registered engineer, architect, or comparable experience.

I would have no problems referring a "new" home inspector to clients as long as I was comfortable with his or her ability to do the job required.

Price would not be a factor if it was competitive with others. Type of report would not be important as long as we could get it quickly; at worst within 24 hours if not on the spot after the inspection.

The following might be of some interest to you if you're trying to get established.

In my association of Realtors the education folks encourage "sponsors" for educational and speaking events. These are typically mortgage bankers, exterminators, home inspectors, etc., who furnish light refreshments, i.e. juice and pastries, coffee and cookies, etc., in exchange for getting to give a 5 minute or so 'plug' for their services before the event begins.

The obvious benefit is that you get a captive audience of anywhere from 20-200 Realtors who are in a position to recommend your services.

Good question! Having used all types (ASHI, Independents etc.) of inspectors, some seem more detail oriented than others (I think it's an individual trait). I give my buyers business cards of 3 inspectors I think will do a good job for them. It is their choice to select any or none of them.
My problem is, the 23 years I spent in Civ. Eng. and construction inspection try to get in the way. (well, I know better)

We have one home inspector we truly love to work with, but have quite a few others who we feel perfectly comfortable with referring and working with.

Our biggest issue is that the home inspector be honest and CALM. We cannot tolerate the alarmists, and very much appreciate the inspectors that are very forthcoming but educational in their time at the home with the buyer. For example, instead of an alarmist-type freaking the buyer out over the age of the windows, for example, our most respected inspectors tell the buyer the truth about the age, what should/could be done, etc. Basically letting them clearly know what is maintenance and to be "expected", and what is hazardous and dangerous.

Thank you very much for the insights. Keep them coming.
I've only been in this business 1 year and I am trying to get established. I do have over 20 years of construction experience and a degree in construction.
I do the normal things, and drop off brochures, cards, and some coupons to the agents around my area, but this doesn't seem to have much effectiveness. They are resisting trying me for one reason or another. All I want is an opportunity. My clients all give me good reviews with their feedback on my services, which is a good sign. I always ask them for comments to improve my services on an ongoing basis.
I have resisted meeting with them for one reason or another to beg for referrals. I'm not very good speaking publicly, but one on one I don't really have a problem with.
Just wondering if you like meeting them one on one before recommending them?
Anyway, thanks for the advice and keep it coming!

Kevin

In most medium to large real estate markets there is usually some sort of flyer service that delivers property for sale flyers, announcements, and that sort of thing to real estate offices.

You might try delivering a coupon for a substantial discount, i.e. $100 or $200 off your normal inspection fee if you're trying to get your foot in the door of some area real estate offices.

Delivering a quality product at a fair price is good but everyone wants to save a few bucks if possible and this should be good for some word of mouth.

You also might consider an ad, with or without the coupon idea in local real estate publications if they accept ads of other than houses for sale.

I doubt I could afford to give away $100 or $200 gift certificates, but frequently give out $20 certificates to agents. I've passed out 500 or so and have gotten 5 back. 5 more than I would have without them, but still, I would have expected at least 10%.

Thanks again for the ideas and thoughts.

Kevin,
Find an agent that wants to do a first-time home buyers seminar and offer to split the cost with the agent and lender. Print up some brochures, pass out some business cards and give a little talk to those that attend explaining the inspection process and give each attendee a gift certificates for $25 off their home inspection.

Paul, that is one of the best ideas I've heard.
Thank you.

Kevin

Try getting a quest speaker spot at agent sales meetings. The agents need to get to know you.

I usually have a list of inspectors who are members of inspection associations and are people that I trust. They seem to be fair, honest, and do their jobs well. I tend to really like the ones who carry mobile printers and tablet computers so they can print the reports on the spot and take digital pictures or video of the property. Buyers seem to like these services because they help expedite the process of obtaining a report and can really help if a dispute arises later.

Using that same analogy in reverse, due to all the legal papers involved in a real estate purchase, especially here in California, when I went looking for a Realtor, I should be seeking one with a legal background, a former paralegal or a former attorney, let's say. Yet we all know that, as with home inspectors, Realtors come from a variety of backgrounds with diverse business experiences.

The "currently registered engineer" and "architect" are questionable, at best. Unfortunately, too many people put too much stock in such professions. Remember that there are many types of engineers. They kind of are like doctors and lawyers, having so many specialties that it sometimes gets mind-boggling. Architects have various specialities, as well; many architects have things that they are interested in or specialize in and then leave the details (plumbing, electricity, etc.) to subordinates who are paid "to make it work." The design could be a monstrosity, but those subordinates do get paid to make it work. Typically architects design and then leave it to subordinates or subcontractors to make all the utilities fit.

As with any profession, there are good and bad, as well as good and bad points.

General contractors or general contracting experience is another problem area. In today's world, many general contractors sit in their air-conditioned offices, push paper, make computations, and talk on the phone about why the subcontractors are late, went over budget, charged too much, took too long, etc. Licensing notwithstanding, they may or may not know anything about the ins and outs of the actual construction process. But they are very good at memorizing information, spitting it out on a licensing test, and working with people as, I might add, are many home inspectors. Therefore. . .

I think the best thing that Realtors could do to protect themselves and their Clients would be to (1) hire home inspectors who carry errors & omissions insurance (it is not a requirement, and many home inspector E&O policies have Realtor Indemnification clauses), (2) hire home inspectors who carry general liability insurance in case there is significant damage (not "failed under testing damage") to the property during the inspection (GL insurance also is not required), (3) hire home inspectors who are members of any trade association, state or national (they require continuing education for their members), and (4) hire home inspectors who are members of the BBB (they require conflict resolution for their members).

Spin it any way you want Russel but I find people that have formal training, i.e. college level courses, building trades experience, etc., have more expertise and credability than some retired guy with a clipboard and E&O insurance calling himself a home inspector.

Jim,
Russel makes a good point. This point of view is held by the majority of professional inspectors. Engineers just by their title are not trained to inspect homes. In my area we have an Engineer who is a PE and he does structural inspections. The major problem with this is that he is an Electrical Engineer.

Just another point of view

Another point of view from another home inspector. ;-)

Did you know in Tennessee where I practice real estate you don't even have to be licensed to call yourself a home inspector???

jimlee

The same goes for Florida. Put a sign on your truck and print some cards. Presto you are a home inspector.

Same here in Michigan Jim. There are no licensing requirements here to be a HI. Although, I do agree with you that true experience in the construction field is a plus if you intend to inspect homes. After all, if you have no clue as to how a home goes together, it seems kind of hard to believe that you can give advice on the integrity of a home.

However, I also agree with Russel that there are many home builders that haven't a clue how a home goes together. I guess the bottom line is know your inspectors background. Although I can't agree with him on his theory on how to approach the search for a Realtor. Realtors, atleast here in Michigan, have to know a great deal of information and are required to participate in con-ed yearly. Not to mention, Realtors have supervision, their broker, which can help them cover all the details that go into a transaction as where a HI is usually flying solo.

Not necessarily a unique perspective as I wear many hats, but it's my opinion for what it's worth