Looking at HI in TX...seeking advice

Originally Posted By: James Smith
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Hello all…been visiting the NACHI website for a little while and have just started reading the boards…good stuff. Thanks to all who support this board with informative postings. I do have a few questions as I am SERIOUSLY looking at this field as a career change and have been investigating the various organizations and schools offered.


First, The ITA course looks to be the best, and with licensing in TX, they seem to have the appropriate coursework required.

Is anyone on this board operating in TX?

If so, have you taken the ITA course?

How well did it prepare you for the business and the licensing requirements in the state?

Second, my original aspirations have been in the real estate investing and I don't plan to give up on that. But then I found HI and I am now equally if not more interested in it. I see the home inspection field not only as a good career opportunity, but also as a springboard into "safe" real estate investing. In other words, I hope that long term I can do both HI and real estate investing. I have questions about this as I would not want to jeapordize one for the other.

Is it in any way considered a conflict to use ones HI expertise for the purposes of making sound decisions on real estate investments, i.e. inspecting homes that are potential investment opportunities?

Are any of you doing the same?

Are there known conflicts with either the TX laws or the HI associations codes of conduct? I could not find any that stood out.

Regards,
James


Originally Posted By: lewens
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James


The way I understand it, as a home inspector you cannot do a home inspection “for a fee” if you have any interest in the property you are inspecting. So unless you are going to charge the investment company to do the work as a home inspector and claim it as a business expense I would have to say no conflict. This would be a" code of ethics" violation.


Just my 12.5 cents


Larry



Just my usual 12.5 cents


From The Great White North Eh?
NACHI-CAN
www.aciss-brant.com
www.certifiedadulttrainingservices.com/

Originally Posted By: five.five
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Where are you located?


There are a few options of where to get your State required education to become a HI.


Texas has strict rules and ethics regarding conflicts of interest.


One would be being the principle buyer and inspector for the same property.


You can visit the T.R.E.C. website for more information.


Good luck,
Darren Davenport
Texan Inspection
T.R.E.C.# 8126


Originally Posted By: dbowers
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James -


In some areas the ITA course is good in other areas its not so good. About 2 years ago I recommended one of their specialty classes to a newbie inspector because I knew the instructor was top drawer.

I don't remember the exact happening, but the instructor they said was teaching the class ended up not teaching the class. The newbie told me the guy that ended up teaching the class was just barely ahead of himself in hands-on experience and knowledge. But he was a past ITA student.


Originally Posted By: mboyett
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Quote:
One would be being the principle buyer and inspector for the same property.
Darren said he thought there would be a conflict with the scenario you described. I'm not so sure. I agree there would be a conflict if you were inspecting a home for a client and that client subsequently decided to not purchase the home based on your inspection report then you turned around and bought the property. There's no conflict if you are looking at buying a home and act as your own inspector.

Check my website and send me an e-mail or give me a call & I'll share everything I've experienced getting into the business over the last 18 months or so.


--
Mike Boyett
Capital City Inspections
Austin, Tx
www.capcityinspections.com

Originally Posted By: pdacey
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James,


I invest in real estate as well as being a full time inspector. Doing your own inspections for properties you may purchase is no conflict of interest. You just couldn't inspect the property for a prospective buyer when you are trying to resell the property or pass off your report to the buyer to try to dissuade them from getting their own inspection.

Or.... purposely dissuade one of your clients from purchasing a property so that you could have a chance to buy it.

Inspecting and flipping properties go well with one another. At least for me.


--
Slainte!

Patrick Dacey
swi@satx.rr.com
TREC # 6636
www.southwestinspections.com

Originally Posted By: pdacey
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five.five wrote:
Texas has strict rules and ethics regarding conflicts of interest.
One would be being the principle buyer and inspector for the same property.


I don't see how this is a conflict of interest. Now if you were the seller and inspector... that's a different story.


--
Slainte!

Patrick Dacey
swi@satx.rr.com
TREC # 6636
www.southwestinspections.com

Originally Posted By: five.five
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I see what you guys are saying,… but for instance, as a HI. you are a inspecting a home that you plan on purchasing, and you, the HI, mark on your report several things as in need of repair, and you use those items in need of repair to negotiate the final price of the property, and the items you marked are NOT in need of repair, I would see that as a potential conflict of interest.


Originally Posted By: mboyett
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Darren, your scenario certainly has it's risks but it's not against Texas COE or laws as long as you disclose that you are both the buyer and the inspector.


--
Mike Boyett
Capital City Inspections
Austin, Tx
www.capcityinspections.com

Originally Posted By: five.five
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bowing down , again. thanks for clearing that up


I knew we went over that in class, I guess that is where I got my scenerio, If I add enough "what if's" it would turn into a conflict of interest. ![icon_wink.gif](upload://ssT9V5t45yjlgXqiFRXL04eXtqw.gif)
undisclosed is the key word.

Good discussion though ! thanks.

Respectfully,
Darren[/i]


Originally Posted By: A.B. Shelton
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Where are you located in Texas? There is an upcoming NACHI chapter meeting in Grapevine I believe, later this month. Would be a good place to get your questions answered. I will gladly answer any questions in a private email.



Andy Shelton


BNR Inspection Services


Denton,TX

Originally Posted By: lewens
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Mike


Just for my own clarification. Is it mandatory to have an inspection in Texas? If not there can not be a conflict of interest if he doesn’t charge himself for the inspection.



Just my usual 12.5 cents


From The Great White North Eh?
NACHI-CAN
www.aciss-brant.com
www.certifiedadulttrainingservices.com/

Originally Posted By: mboyett
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Nope, inspections are not mandatory here in Texas.



Mike Boyett


Capital City Inspections


Austin, Tx


www.capcityinspections.com

Originally Posted By: James Smith
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Quite a dialog going on…exactly what I was hoping for. Thanks everyone for the helpful insight. Mike, I may take you up on the offer of further insight.


The ITA course is offered through Leonard-Hawes:
http://www.home-inspect.com/campuses/texas/index.asp
http://www.dearborn.com/lh/home.asp

In any potential transaction, up front disclosure that I am the potential buyer will always be a must...so there would never be an issue of undisclosed principal.

Andy: I am in DFW and will try to make the meeting in Grapevine. Thanks for the tip.

five.five: The scenario you gave could be a problem, I think. My mind does not even think that way, so I never would have thought it myself...not that yours would. I know you're playing devil's advocate ![icon_biggrin.gif](upload://iKNGSw3qcRIEmXySa8gItY6Gczg.gif)

Thanks again everyone!

Regards,
James


Originally Posted By: mboyett
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James,


Looks like the ITA website explanation of their Texas courses is more up to date than the TREC site. I do remember now why I didn’t go with ITA…$$$$. Looks like it will cost between $2,400 to $3,300 to get the courses you will need. I had the luxury of being able to attend San Antonio College last year and get the training I needed at a cost of about $600 including books. Since you live in DFW area then you may have some other choices as well. Again, the TREC site lists all the approved vendors so be sure to price the ones that are applicable to you.



Mike Boyett


Capital City Inspections


Austin, Tx


www.capcityinspections.com