So far I am the only Washington inspector that has commented yet you have ignored my questions. It is difficult to give you good advice without the information needed to put it together. There have been comments from many others but I can tell you that Florida is nothing like Washington. Homes on the east coast have little in common with the construction styles here in Washington.
The business advice and attitudes that are being shared are good, but they must also be melded with the reality of the types of homes and requirements of the state when performing your inspections.
It sounds like you are in Eastern Washington but I could be wrong. That is a completely different world than Western Washington. Desert vs. Rains. Radon is an issue in some areas of EW, not so in WW except for a small pocket. The WDO’s are different in EW than in WW. There area also fewer big cities in EW.
Most inspectors wont last 3 years. Are you “most”? I spent about 14k my first year with training, licensing, equipment, ect (5k was a truck). I completed about 12 paid inspections from mid- July when i actually got my license through December. can you afford to do that?
Robert has it right, the majority of small businesses fail within a year and one of the main reasons is under capitalization and wishful thinking. It is a very hard business to get a foothold in as there is “generally speaking” a lot of entrenched competition and realtors aren’t very interested in hiring the new guy.
However, you are starting at a better point in time than I did, when the market was really in the dumps. That was 3+ years ago and each year has gotten better but I still have much growth ahead of me I hope.
Someone suggested keeping your day job and I think thats a good idea for now. Weekends and evenings perhaps you can get your feet wet.
I would start by doing the math. Start by finding the population within an hours drive of your house. Talk to some realtors, bankers, other inspectors to get a feel for how may houses are for sale in this 1-hour drive radius. Divide the number of houses for sale by the number of home inspectors that work within your driving radius. That would give you a ballpark number of potential inspections if you got your fair share. To be realistic not all those house will sell within the next 12 months, starting out you will not likely be able to compete with the more established inspectors for your full share of available inspections. Also factor in not all home buyers get an inspection. Also doing two inspections a day with a “good” full narrative report with photos will be difficult for a new inspector. One of the other big factors mentioned before, are your people skills and you ability to at least appear to know what your talking about when clients ask questions. This business is built on reputation so choose you battles wisely. I had an old man say, “You can paint a 1000 pictures and never be call an artist, but screw up once and your screwed for life.” (I clean this quote up for the message board, the actual quote is much better.)
Be cheap, around $150. Write soft reports, usually no more than three defects. Take as few pictures as possible. Do not take more than an hour at the inspection. Take at least 48 hours to deliver the report, so the RE has time to negotiate before they get the report. Wear good smelling cologne. Learn where to get free food and shelter.
The most I ever got was ten minutes in office meetings. If you know how to get 30 minutes, just let me know.
I could get you probably 30 minutes with the local Board of Realtors, it would probably take a year or so to get you accepted. The only way I could see getting an earlier appointment is you submitting yourself as an affiliate member of that board, which would cost a few hundred dollars. They usually will allow new affiliate members to hold one class, which does not have to go through the board of education.
Just how it is here. I will not stoop to that level, and starting an HI business, well, you will have to decide which way you want to go. Here in the midwest, it is all ASHI, who contributes to RE associations and promotes these soft, basic HI laws and reports. I have seen them. It surprises me that more ASHI members do not get sued everyday. Getting into RE meetings is virtually impossible here in Kansas or Missouri, unless you get “married” to one of these offices. Pay to play is alive and well. Free stuff doesn’t get it, either.
There are very few RE’s in the midwest who know the true definition of the word ethics.
You do understand, there is no large cities around Steve nor me? The average real estate office has only 5-20 Realtors, my local board only has a little over 200 Realtors all together and most of them are part time. I will email you and bring Steve in on our conversation because his area has the most potential because of the upscale cliential buying vacation homes.
There are several 200 RE member offices around KC. After 10 years in business and being a CMI, etc. I should be hiring HI’s to help me. Lucky that I did 220 inspections last year here in KC. I hear the average kick-back to RE offices is $50 per inspection. I do not participate in that scheme.
I have property in the Ozarks, and do almost no inspections that way. RE’s just do not push them. IMO, they should be mandatory. Just think of the jobs that would be created, and the more $$$ you could get for a home after our suggested repairs are made.
Sad that lawmakers, RE’s and office RE brokers have it all back-ASHI-wards.
Here’s the challenge. Figure out the average price for a HI in you area. With you revenue goal in mind you will know how many inspections you have to do.
To attract buyers you will need a great website. In the beginning, advertising to the general public will be too expensive otherwise.
So you will HAVE TO appeal to agents for referrals. I know this will cause acid reflux among many, but it is a fact.
Now, if the average agent sells 4 houses a year, a good agent may sell 1 a month, and a few rock star agents sell 24 or more per year.
So you see the challenge. If you want 30 inspections per month (30 x $315=$9,450 per month ) you will need 30-45 realtors willing to refer business to you. Actually triple that because some buyers will find their own inspector, some agents will have other HI’s, and some agents won’t deliver 1 sale a month.
So go get 100-150 agents to like you and feel comfortable giving you business. That is you challenge.
Although we are considering our first year extremely successful, my gross income would probably make you rethink becoming an inspector. It’s not a get rich quick thing.
