It is imperative for a home inspector to perform as a non invasive service. Its not very wise thinking to probe into a wall where not required, similarly over stepping and damaging thorough attic floor. The idea is to provide a non invasive inspection service with a thorough report on the property.
Part of a wind mitigation inspection is to report as to whether the hurricane panels are Miami-Dade approved. To a home buyer this is a very important aspect of the inspection due to the potential insurance discount for having hurricane rated panels. My hypothetical situation would be a buyer who ask me to report the panels as hurricane rated for them to receive the discount. I would explain the reporting methods and documentation requirements i.e. photo of the stamped Miami-Dade approval rating on the hurricane panel itself. I would explain the insurance companies just do not take an inspectors word as proof. The report description must be backed up with photos. I would then offer to come back free of charge to reinspect once the purchase and approved hurricane panels.
A successful inspection business , like most , can be made by client referrals. Real estate agents and brokers are substantial referral clientele network , the inspector may often be faced with the possibility of potentially losing the sale for the realtor based on report findings, the integrity of the inspector and industry can not be swayed.
I have been in the construction and renovation business for 25 years , when I started that business I wish I had a resource such as InterNACHI ,
as well as the web, to use for guidance . Many extremely hard and costly lessons have been learned regarding solid contracts in writing that cover every possible angle of possible misunderstanding, scope, cost and so on. I had at one time thought that being an inspector would be less problematic then the construction industry, I now know that not likely the case. Im thankful for the available information and support of InterNACHI and other inspector support and resource organizations
A real estate agents arrive at the inspection site and offer the home inspector steady home inspection jobs with commissions on the basis that the reports would benefit the seller sales. As the inspector I would decline the agent offer and refers the agent to the information sent to his firm prior to the home inspection that states according to the Code of Entices the InterNACHI member the inspector shall not accept commissions form real estate agents, brokers, or any third parties having financial interest in the sale of the property.
There is a time where a home inspector can miss something on the day of the home inspection that raises the concern of liability. There are tools to educate the clients by referring them to InterNACHI’s “New Clients” is a web page links to inspection contract, “Systems Excluded” pages and writing method as SOP in the appropriate section of the inspection report.
Continuing to educate is a must for the inspector’s inspection skills by reading the real-life experiences of other inspectors in the InterNACHI’s message boards.
Earn your client’s respect. A great inspector will admit the wrong in his/her inspection report and making it right with the client may save the integrity of the home inspector that could provide new clients in the future.
One more golden rule, get it in writing. An online Agreement System that allows clients to acknowledge that they understand all that is involved then sign and return electronically.
There may be an implied assumption of home inspectors that realtors may not refer them for as many opportunities if inspectors consistently submit deal-breaking reports…causing us to be perceived as deal breakers. The inspector can either do his very best…or do his very best, and if all inspectors adhered to this we would raise the bar for excellence industry wide and provide a great service to potential residents/homeowners.
A real estate agent in desperate need to close a sale tries to persuade the inspector to, “make sure everything looks good in the final report and I’ll give you a piece of my commission. I really need to close this deal and if they see more that one fault with this place they will walk.”
This is a tough situation for any person living on 100% commission earnings, but the service to the client is the most important things to uphold. They deserve an accurate view of a potential major purchase. The inspector, if hired, would perform as normal ensure that all material defects of the home are noted and the buyers is properly informed.
Inspectors, while sought out for a general expertise in observing the condition of a home, are still human. Humans are subject to make mistakes every once and awhile. As an inspector it is very important to create a system of observation that is consistent and thorough. Along with that it is an inspector’s job to educate all clients on what to expect from the inspection. This can eliminate any future ‘bad blood’ that could form from misunderstandings. All in all if a mistake is made the most important thing is to own up to it, make it right and move forward with a lesson learned.
Here is an example of making a decision based on ethics:
While performing a home inspection for a seller, who is on site, I discover the infrared garage door sensor desn’t work. The client explains that he has a new sensor to replace it and asks that I don’t mention it in my report. As part of my branding I like to thoroughly explain safety hazards so I tell the client if he can make the repair immediately I can finish the rest of the inspection then re-inspect the garage door last. If the repair cannot be made I will have to describe the issue in my report.
Finding the right people to add to our team has become time consuming and dreadful. The last three we hired did not meet our expectations which caused a back log of work. After returning to the field and cleaning up these jobs myself I decided to change my process by having all new field personnel work along side the guys I currently have and trust. Well that should good but the problem we face now are getting people to show up from their interviews. I hired two guys this past month that couldn’t even show up on the first day. We have a great program in place but can’t get people to work.
The article I read was Avoiding Lawsuits, excellent articles. You can avoid lawsuits by clients from knowing you SOPs like the back of your hand .Reading and watching videos on Home Inspections can really further educate yourself and you will be able to proform a high quality inspection. Knowledge is a very powerful thing . Never claim that you are a expert in anything , that can come back and bite you . Make sure your client signs a pre - Inspection Agreement so they are a where of what you will be doing on your home inspection.
I approached the steps of a home and the realestate agent approaches ,“let’s get started and maybe we could skip the siding”, she says .
Not due to just the Code of Ethics but my character would not let me participate in fraud and I’d assure the agent that the siding would be examined . Then telling the agent to never approach me like that again.
Avoiding lawsuits a Home inspector can avoid lawsuits by always having a signed agreement, always having a warning sign for dangerous areas and by never calling yourself a expert . Are just a few of many ways to protect yourself from lawsuits as a home inspector.
I witnessed a home inspection for insurance on a house I rented once it took about 30 minutes and I kept saying to myself there is no way they could have possibly accessed all required areas in that little bit of time for a house over 1500 square feet. Afterwards I requested information about the report but was told that it wasn’t detailed it was for landlord insurance as opposed to homeowners so a lot of valuable information wasn’t noted. I found out a month later from an Electrician that the breaker needed repair which is why the inspector was hired to gather information and pictures for a temporary fix to enable the landlord to get insurance. I guess ethically I would have performed a thorough inspection of the property then noted any things that needed attention in my report.
SITUATION: Selling Realtor requests a favorable inspection report to ensure the sale of the property closes on time.
ACTIONS: Inform listing Realtor that this is an unethical request and that the condition of the property will determine the contents of the inspection report. Also, inform them that we are all working for our clients and it is in the best interest of the client (buyer) to be well informed on the condition of their largest investment.
Home Inspector Ethics: Why Not Pay to Be on Brokers’ Lists?.. This is an ethics violation due to the perception and possible legal implications. Brokers and Realtors should be recommending an inspector’s services to a client based on the services provided, quality and timeliness of those services and thoroughness. If a client hires an inspector merely because the inspector paid for preference, there is no indication of the quality of the product and therefore the client may receive a poor report or a report which may not be honest and objective.
I read the article titled “Easy Steps That Help Home Inspectors Avoid Lawsuits”, and I found it to be very knowledgeable. One of the things they referenced was creating an LLC which allows an inspector limited liability and can be extremely helpful when assuming financial and legal responsibility. I plan to work for myself upon completion so this was definitely resourceful for me. Never referring to yourself as an expert because although someone can have a wealth of knowledge in an area classifying one self as an expert puts a higher standard on to an inspector so I will definitely keep this in mind. Using a contract when hiring help to avoid future conflicts with problems that may arise with the clients or helper. Last but not least writing accurate reports to avoid safety issues in the future for the client.
A Real Estate Agent contacts a Home Inspector and collaborates on a plan in which for every property inspection performed, the Home Inspector will provide to the Agent a percentage of the inspection fee in return for client recommendations to use that specific inspector exclusively.
The Home Inspector shall not enter such agreement and should report that behavior to InterNACHI and the Real Estate Agency. If the agent is the owner of the Agency then working with InterNACHI exclusively would be the best course of action.
In some instances when real estate agents are involved the inspector could be tempted to under report an issue. The agent could continue to give the inspector referrals and the inspector would not protect the client in fear of losing work. The correct action would be to protect the client and report the defects. If the agent quits referring the inspector then its not a person that ethically presents themselves when doing business and should not be avoided.