In the greater seattle area. Many people are waiving inspections or do walk through to try and be competitive in there offers. Many deals are 5,6,or 7 offers within 48 hours and sellers take the highest bid. Last summer it was not uncommon to see a house sell for 20k more than asking price because low inventory is driving up the rates. I think the market has slowed a little, in the sense of above asking offers. However this has been common around here for several years now. Agents already are encouraging buyers to forgo a inspection otherwise there offer wont get accepted in many cases. Pre-Offer consultations are becoming more and more popular at about half the price of a standard inspection (is my understanding)
Following the line of thinking for question 1. These inspections would be performed by Nachi Certified Inspectors with a buy back guarantee. Why would the agent or the buyer not trust that? Unless I am not understanding something correctly.
I understand the concept. Trying to put the inspector in touch to the clients earlier in the process and flip the tables on the realtors.
I am truly trying to understand how the whole thing would work and effect the market in the Washington area.
I like the concept. I will wait for more details on the final launch before making a decision.
jdeoliveira2
(John Paul de Oliveira, GB-2 #86934 / AB #44580)
82
Isaac,
With those conditions, any written inspection would be better than none. I would think that the Buyer would still have a pre consultation walk through.
Listing inspections are done to market the home. The ones I have seen have been fluff pieces. I can specifically think of a local ASHI guy that produces garbage.
J.P. with all due respect, you’re speaking on a subject you haven’t experienced firsthand and therefore your statements are not only incorrect but invalid. You’d have to experience the Seattle market for the last 3-5 years to understand.
jdeoliveira2
(John Paul de Oliveira, GB-2 #86934 / AB #44580)
84
I have a little experience regarding inspecting and real estate, and the reply would apply no matter how low the housing inventory is, whenever, wherever. I doubt Seattle has experienced what the Phoenix area went through 14 years ago. BTW Seattle is a great city.
If you have 2 homes for sale in present day Seattle, one with a pre listing inspection, one without, and everything else being equal, the feeding frenzy on the one with the inspection is going to be more intense, generating an even high price point for the Seller.
And it would not change the fact that Buyers AND Realtors do not fully trust Pre Listing Inspections, though it does help with establishing a minimum level of trust. Your mention of consultations is an example of Realtors doing what they can to limit their liability exposure, while still finding their clients a home in a difficult market.
This market too, will pass.
People have a tendency towards greed. One could easily market Nick’s new program by promoting the legal advantages to Realtors, peace of mind to the Buyer, and the fractionally higher sales price to the Seller.
What’s 4 % of $500k? Is it worth plunking down $400 for that? ROI? Insert whatever the local market prices are.
Consumers who open their wallet and buy access to an inspection report before they are even under contract or often before they’ve even see the home are they types of consumers who definitely insist on their own inspection. They are believers in inspections.
Furthermore, our download agreement reminds them to get their own inspections and why.
Furthermore, they get the “We’ll Buy Your Home Back” Guarantee if they get their own inspection.
Furthermore, the program upsells ancillary inspections, something not included in the pre-listing inspection.
Furthermore, the consumer has no standing with anyone except their own inspector.
No agent would do that. Agents have contractual duties to their client, a fiduciary duty to their client, and are bound by a code of ethics that all prohibit them from suggesting their client forfeit all their rights, standing, and opportunity to have a home inspection. Any agent who would recommend not getting an inspection would then be liable for the damages resulting from such absurd advice.
jdeoliveira2
(John Paul de Oliveira, GB-2 #86934 / AB #44580)
86
Well said Nick.
The only quibble would be ‘no Realtor’.
No ethical Realtor, or no Realtor that wants to build a successful referral (business) base. There will always be a few deficient individuals in any group.
Geff, I still think there would be the pre consultations, though there might be less of them. If the inspections are half price, an extra $10 or $40 is not going to dent the wallet too much. Good (most) Realtors are still going to recommend the Buyer get their own inspection.
The inspectors in this area are already dealing with this. I’m talking from experience, not hypothetically.
This isn’t something I “think” “might” “could” happen. This is happening. All of my statements are from experience. In the current market.
jdeoliveira2
(John Paul de Oliveira, GB-2 #86934 / AB #44580)
88
Oh, InterNACHI is running the beta version in Seattle and it has already citywide impacted everyone’s, including yours, business. Did not know that.
That was quick.
But as you said you know first hand from experience as it is currently happening.
Those 3-10 pre consultations are all wiped out. Wow that has got to be a suckie experience, no more inspections in Seattle. All those Realtors ignoring the Code of Ethics and their state wide real estate regulations designed to protect the consumers. Then there would be possible criminal cases, and can not forget the civil cases. All 4 avenues of seeking recourse out the window; they do not care, Realtors as criminals, hooligans and agents of chaos.
My poor little brain can not comprehend this statement: “We have alot of new guys getting in that think the industry is hot because the market is. It’s actually the opposite.”
Double subject opposite, or single opposite? I tried the differing combinations, and it does not make sense to me. What is your definition of hot? If I change the definition of hot, it is semi logical.
And is it 3 inspections per transaction, or 10? Or should it be averaged to 6.5 consultations per transaction? Is there hard data on this? Would 6.5 consultations per transaction be considered hot? Or Not?
For some reason, I feel I have entered Robert land. Do you feel that way?
I never said anything about Internachi’s Beta testing. There’s a company that’s been doing this for 3 years. There’s a bunch about my market that you’re unaware of. But by all means, feel free to keep telling me about it.
I need to clarify my statements about this. Obviously not all realtors are doing this in the Seattle market. However, it was not uncommon this last year to see many offers waiving the inspections to try and close a deal on the house. So why a agent may not recommend they skip the inspection, there are agents that are not encouraging them either. It has been a popular thing around here to skip inspections so that your offer may get accepted.
So while a agent may have code of ethics to abide by. They most definitely are writing up offers after buyers have chosen to not get a inspection, without encouraging the buyer to rethink their position on that. This has been happening on a regular basis for several years now in the greater Seattle market.
bbarbour1
(Brad Barbour, CMI Wa. State Lic.#1226--W.S.D.A. License#87852)
92
Buyers waiving home inspections at the realtors influence are absolutely happening in Seattle, they are happening here as well, I’m doing one next week.
The Realtors are using a shorter window to sweeten the offer to win on multiple offer situations.
The Realtors have the client sign a statement that they advise them to have a home inspection, while at the same time insinuating they may lose out on the offer if they have to wait for a home Inspection…Soo they have a walk through consultation or no inspection at all.
But if there is a** recent ** Prelisting inspection WITH a Buy your home back guarantee available for much cheaper…oh yeah! they’ll be all over that!..with the signed statement that they waive the home inspection and they will feel much cleaner.
Ask yourself…why are you now seeing on this board that realtor’s would never do this, and they have their clients best interest in mind? not a response I’m used to seeing from home inspectors.
I never saw an answer to #3
The realtors aren’t doing it, the buyers are insisting on it after they realize the market and have lost out on previous homes due to their desire for a home inspection and the realtor explaining why they lost out on them, sooo the agents says OK, if that’s what you want to do…sign here…good news though…there is a pre-inspection on this house with a Buy Your Home Back Guarantee.
Again, I ask an answer to the question:
bbarbour1
(Brad Barbour, CMI Wa. State Lic.#1226--W.S.D.A. License#87852)
93
The Buy Back Guarantee is only valid if the buyer has their own inspection.
jdeoliveira2
(John Paul de Oliveira, GB-2 #86934 / AB #44580)
95
Finally an inspector who has an understanding of what Realtors go through, and happens to be located near Seattle, as if that made a nit of difference.
Thanks Brad for your answer, that is exactly what I was thinking on how it is contractually handled. Knew it had to be, because NAR does not allow exceptions to it’s COE.
Somebody needs to get a grip on how near peers conduct business, instead of making non factual assumptions.
The important point is that, even in Seattle, this program will generate more inspections.
jdeoliveira2
(John Paul de Oliveira, GB-2 #86934 / AB #44580)
96
“But if there is a** recent ** Prelisting inspection WITH a Buy your home back guarantee available for much cheaper…oh yeah! they’ll be all over that!..with the signed statement that they waive the home inspection and they will feel much cleaner.”
“The realtors aren’t doing it, the buyers are insisting on it after they realize the market and have lost out on previous homes due to their desire for a home inspection and the realtor explaining why they lost out on them, sooo the agents says OK, if that’s what you want to do…sign here…good news though…there is a pre-inspection on this house with a Buy Your Home Back Guarantee.”
You’re commenting on a market that you’ve never experienced. The top of the 2006 bubble in New Mexico doesn’t even come close to what Seattle is now. That makes you the only one making non factual assumptions. But by all means, keep running your mouth.
The program will not provide more inspections in Seattle. It will provide less. It’s already happening from a tech company hiring multiple inspection companies. It’s already happening from inspection companies doing their own program. There is no time for a buyer to do their own inspection also if they put in an inspection contingency, they don’t get the house.
But, heck, WTF do I know, right?
jdeoliveira2
(John Paul de Oliveira, GB-2 #86934 / AB #44580)
98
It is pointless to argue with some one who has trouble with rational logic. Constantly changing the subject(s) is so childish.
I think it is an amazing opportunity, in any permutation or combination of markets that is covered by NAR, which is the totality of the US.
Nick and InterNACH are doing the heavy lifting, and all one needs to do is hop on board. Those on the ship can briefly wave to the people stuck on the shore, then focus on the journey:nachi:
Yup, just as every agent has their clients best interest in mind 100% of the time, the Seattle market will experience an inspectors utopia with this program. Just like your put downs and assumptions are a reasonable method of getting your point across.:roll:
jdeoliveira2
(John Paul de Oliveira, GB-2 #86934 / AB #44580)
100
Too bad 100 % of the inspectors in Seattle can not keep a train of thought, or remember what someone else has posted.