inspection rates

Hello I’m a new inspector and i’m trying to figure a price point to be charging for inspections . I live in the Panhandle of Florida any suggestions would be greatly appreciated
Thanks Ghislain “Jess” Royer

Whatever you’re worth…

First you need to know what all of your true actual expenses are. Everything!

When you get that, get back to us.

Just remember on the list of EVERYTHING:

  1. Cost of O&E Insurance (hint, it’s cheaper than what the client will sue you for)
  2. Cost of equiptment
  3. Cost of website
  4. Cost of phone plan
  5. Cost of software
  6. Cost of maintenance on vehicle (oil changes, tires, tire rotation, brakes, fuel)
  7. Cost of “widgets” you offer
  8. Cost of marketing
  9. Cost of staying home and not getting a job

I KNOW there’s more, but I’m busy with a report right now, just stopped by while my brain took a breather.

Which is why we see so many Inspectors here quoting so low!

Also your location and competitors price, I am located in Hattiesburg, Ms and we have the lowest prices in the state due to a few reason I won’t name right now. The best starting point is as mentioned above, your expense cost, then start seeing what others are charging.

…thus going out-of-business in 1-3 years!

…thus going out-of-business in 1-3 years! They need to learn their profession, (in it’s entirety), including operating a profitable business, if they have any hopes of not just ‘surviving’ but succeeding in this (or any) industry! IMO, very few Inspectors have a clue how to operate a business. Those Holiday Inn Express commercials we all love are more “on point” that most care to admit!

I agree with the other inspectors comments but would add, “charge as much as your area market will allow”.

The higher the price, the greater the perceived value…

They flourish here by doing 2 and 3 crap inspections a day!

There are a lot of things that go into setting price. Many have shared a piece here.

  • Consider what your time is worth - time away from family, time you could be working 9-5. Be realistic, what are you willing to work for, and not willing to work for
  • Shop your competition, call them, look online, see what others in your area a charging, try to determine what the market expects
  • Check their schedule (when you can) try to find out who is busy and how long they have been in business - you’re competing against their experience and presence.
  • Evaluate your cost, consider fixed cost, but they will diminish with every inspection, find out what your cost per job is (supplies, lab fees, reporting software….
  • Consider your hook, do you have something that will set you apart
  • Consider your market focus and that will help determine your advertising cost. You will have advertising cost, may be as little as business cards, or as big as advanced SEO

Once you know these things you can determine what you need to make per job, and what a realistic market will expect. Then…

Then determine your product/service mix. Not all your revenue needs to come from inspections. What other services can you offer (key core services, you’re not a big box store). I make 40% of my revenue from Pest and Radon. Determine how often you will be able to sell these services, what your sales approach is and how that will influence your service mix so you can be competitive.

Jess…Call me I can help you out…
I’m in N. Florida as well.
Look at my sig line then go to my site and call me…OK?