Legal FAQ Video: Should Inspectors Pay Real Estate Agents to Be on a Referral List?

Mark Cohen, InterNACHI® Legal Counsel, explains why home inspectors should not pay real estate agents to be on a referral list.


So are InterNACHI inspectors allowed to pay an adverstising fee such as Keller Williams charges?

You can pay for advertising but not for inspection work.

So as long as it is said differently it is okay. No wonder all the Realtors call pay for play as advertising.

Texas demonstrated this years ago. As a matter of fact Nick was on a news video about the Texas incident decrying the practice. You know what they say “It’s only illegal if you use the wrong words to describe it”. :wink:

We’ve even heard of brokers who call it “Inspection Brochure Management Fees.”

Yeah, and I also paid and learned the hard way that those Realtor brochures (aka: advertising) means absolutely little value as marketing. Most Realtors often have their preferred inspector.


It is called pay to play , Some inspectors will fall for it . It is better to work on a good inspection service rather than to cuddle up to agents . There are good agents out there just like any profession . Keller Williams may have some of the high pressure sales people i ever seen . Some use very questionable techniques . I personally will not advertise on anything from them .