Charge More and Survive

http://www.inspectorhome.co.uk/shop.htm
why are the Brits so able to charge so much more then the North American inspector
Exchange rate 1.0 (X1.196) (x1.385)
Houses: Euro £ Us Canadian
1Bed £ 295:00…=$352:82 …$480:58
2 bed £325;00 … =$388:70…$450:13
3 bed £440:00 … =$526;24…$609:40
4 bed £475:00 .=$568:71…$657:88
5 bed £525:00 =$627:90…$727:13
6+bed £600:00 =$717:60…$831:00
In my area we have inspectors charging $225:00 and have a huge turn over and they do not last…
It looks to me like we have to start and charge more Realestate in the UK charges 1.5%.
Realestate in Canada charges 6%. The agents here when we raise our prices get upset and many inspectors listen to them.
The market has increased every year for some time at about 10% so agents have been getting more every year.
We get new Inspectors and when they are told to charge more we are told no way I need to make a living .
They can not seem to understand that x number of homes are going to be inspected and charging less does not mean more homes get inspected all it means is the homes are inspected for less money.
Most new inspectors do not last three years because they do not make a living.
We need to get them to understand if they hope to last in this industry they should not give their services away.

Roy Cooke . R.H.I… Royshomeinspection.com

Roy

That is very interesting. I charge more than my competitors. I make more and do less work.

As to pricing for inspections in England, I think you will also find that housing prices are much higher because Toronto area housing is still very under priced in comparison with world prices. Toronto homes at least in the posh neighbourhoods are still a steal as compared to London, New York, Geneva, Paris, et ceteras.

I just did an inspection today of a new two story 2045 Sq ft. of living area and full basement, three bedrooms, 2 1/2 baths and two car attached garage. the list price is 315,000.00. This is in Edmonton, Ab. the same house in Calgary sells for 450,000 to 500,000 depending on location. I charged 350.00 plus GST.

What do you guys think of this rate?

I think I’m in the middle of the price range but have not surveyed the market other then ask my clients how my price compares.

My minimum is $400 for upto 2K square feet. I am well above my competition. If the house is really small I will charge less $350-375.
Quite frankly I have not had any opposition to my prices. Clients write the cheques and I don’t see them rolling their eyes or gasps.

Higher prices equate with professionalism. If you are low balling at $225-300 you are sending a subliminal message as to your experience.

If we all put our prices up we would be helping everyone in the biz.

At $350 I think you are on the mark. But with all the money out West, I bet you could charge a little more and no one would say diddly. You can also put your prices up $5-10 per month. By the end of the year you have raised prices $60-120 per inspection. Cha ching, cha ching.

This has been a bad week for dealing with price shoppers. I’ve had several calls where the client has challenged my rate as being above others that they’ve called. I only managed to book two of those with my usual silver tongued dialog about value and paying for quality, etc. Here in the Dallas/Ft. Worth area we have a glut of inspectors and a bunch seem to be taking the Wal-Mart approach to pricing. It’s hard keeping my prices up when others are playing the lowball game.

http://www.nachi.org/convert.htm

Ronald said…

You can say that again. There is a glut up here in Ontario too.

Unfortunatly most of those who charge less do not stay in business long enough to make a living .

You seldome see the more sucesfull inspectors reducing their rates .

I started of higher then all other inspectors and have never been behind.
Worked for me.

Roy Cooke … R.H.I. Royshomeinspection.com… CAHPI-ON.

Your fees are what your clients are willing to pay. Under promise and over deliver wins kudos every time. It works for me.

You should try discussing rates with the population market I have here in the south western corner of British Columbia.
The majority are various Asian ethnic back grounds.
And yes there is also a glut of untrained inspectors here too.
I used to be very busy.
Now
Iam busy staying home.
larry

Hi larry.
What do you think the reason you are busy at home?
Last year my Yellow pages ad was at the top dead center of the page and I was getting lots of calls. The year before I was at the bottom center of the page and almost starved to death. This year the yellow pages were supposed to be delivered by the end of March and I still do not have my copy yet. I tracked down a copy and found my ad is again at the bottom of the page. Hopefully my repeat and referral business carries me through the year. I think it is going to be slow. What are you doing to get that all important first call?