How much should an inspection cost? (posted by John Smith)

Actually -

For my math guru’s out there - if for example, you use a $300-$350 for a sample inspection (I’ve heard a bunch of you banty that figure around).

Once you consider the time on site doing the inspection, the time writing the report (some on site - some off site), drive time (there and back), marketing costs and time, taxes, insurance, phones, answering & scheduling service, the truck or car lease or payment, GAS, etc.

I think it comes down to about $38.50 or less p/hr

I was quite sure you were talking net there, as you have now stated, which others apparently didn’t pick up on.

As a “home inspector” with a “home inspection” company, I was quite happy with a net of $25 per hour. As a “property consultant,” it looks like I can get the net up there into the $100-$300 per hour range, which is why I’m changing directions. No written report, no written report liability (i.e., no E&O insurance premiums), no employees other than me (i.e., no employee salaries, no bonuses, no perks, no meals, no margaritas, etc.), and much, much more time to spend that net.

RR -

Exactamondo …

Russel,

Out of curiousity (because I’ve been thinking the same thing apparently), what is your definition of a property consultant?

Bruce

Someone who is not a home inspector but still knows something about everything and everything about nothing when it comes to real estate. There are, however, specialists in the Property consulting field: commercial Property consultants and residential Property consultants. I am a residential Property consultant. I don’t want to get involved with the 1.5-million-square-feet shopping mall, the McDonald’s restaurant, or anything similar.

Since there are no Property consultant trade associations, one basically is on one’s own (albeit still working with one’s business counselors–attorneys, insurance providers, etc.) in developing one’s business and consulting Protocols, as well as what kind of “reports” one will provide as part of those Protocols.

In my case, I provide no “home inspection” report, so I can’t be a “home inspector.” Since I provide no “home inspection” report, that “home inspection” report that doesn’t exist doesn’t need to meet any trade association SOPs. Since I have no need to abide by any “home inspector” trade association SOPs, so I’m not be a “home inspector.” I’m not defined as a “home inspector” under the California Business and Professions Code, so I don’t need to practice the “duty of care” that a “home inspector” would need to provide. Since I have no “home inspection” report, I have no 5½ years worth of liability for that “home inspection” report that I don’t provide. Since I have no “home inspection” reports, and thus no 5½ years of liability, I also have no need for expensive errors & omissions insurance for that 5½ years of liability on “home inspection” reports that I don’t provide.

As with any consultant anywhere, I can tell you a lot, and guide you, but it’s under my business’s “rules and regulations” concerning those business Protocols.

The really nice thing is that since my WALK inspections are for Property investors, who typically buy, fix, and sell within 2-6 months, any “evidence” is destroyed in the process of fixing, and selling, except in the rarest of circumstances, then typically ends any and all liability whatsoever. As a “home inspector,” my goal was to gross $100 per hour. As a “Property consultant,” my goal is to gross $200 per hour. Long-time readers knowledgeable about my posts should, by now, know that I don’t set unrealistic, unattainable, unreachable goals. So by charging less (WALK inspections START AT $49), I’m making more Per hour. And if I make more Per hour, Mr SPock believes that it is only logical that I will make more Per week (probably not Per day since I only have 17 Clients at this Point), more Per month, and more Per year.

Ahhhhh…the Power of P!!!