What I do; First I find out if home is occupied or vacant. If it is vacant, there is a very good chance one or more of the utilities are shut off (usually the gas). On vacant properties I Specifically notify the Buyer and Their Agent to make sure ALL utilities are turned on (don’t just rely on wording buried in a PIA, that hardly anyone reads).
If I show up to do the inspection and find one or more of the utilities off, the first thing I do is call the listing agent on the sign and let them know They need to do their Job (in a nice way). And also inform them their will be re-inspection fee of ($85 minimum, more if much travel is involved). I then inspect what I can, and charge the full price for the inspection. Then it is up to the buyer if they want me to return, and inform them that The Seller is liable for the inspection fee, since they are to have the property FULLY available for the inspection. I many times will deliver the report with the disclaimers and then upload an edited report after the re-inspection.
A re inspection will take at least two hours of extra time so be sure you get paid for it! (from the seller or seller’s agent) in most cases the seller’s agent will directly pay me so they are that much closer to their 3-6%.
So I have taken everyone’s input on this topic into consideration. Policy changes will be taking place on my part. However I still don’t like charging my client for what ultimately is out of their control. So I did a little digging with the utility companies in my area (southern Virginia). I spoke with Dominion Energy and Virginia Natural Gas. Virginia Natural gas was very helpful. They told me to call their emergency number (+1 (877) 572-3342 option #1) and they would be happy to assist me. I gave them an address and they said YES, gas service was connected TODAY. Perfect that’s all the information I need as an inspector. Dominion Energy was not much of a help but I’m still waiting for some call backs from them. I usually don’t just take no for an answer just because the person I speak with doesn’t know the answers. KEEP CLIMBING THE CHAIN. The lady I spoke with did state of there is no power present then there can be no gas service. So with that said you can assume (In my area) if gas is on electric is on. Our local water company will also give you the yes or no answer if you reach the right operator. First operator told me she could not give me the information and sent me to automated billing when I asked for a supervisor. I promptly call back, explaining my situation and like Virginia Natural Gas, I gave her an address and she said YES. service is on. EASY ENOUGH. This does put a bit more work on me but I can with a clear conscience charge for that. Just may be something that works for some inspection companies instead of dealing with the frustration associated with showing up to a home with no utilities. Thank you all for your inputs and I hope my digging helps some of you as well.
I agree with Dan above. I’m not a CMI yet, but I have years under my belt doing a few different things. Years ago, I worked for a northern VA public utility (water) and on a few different occasions, had turned off water service to a residence only to return later that same day, if possible, to turn it back on again for inspections and on moving days. We would not, under any circumstances, discuss any information about an account with anyone other than the account owner or property owner and their identity had to be established somehow. So that tactic may not work everywhere. Additionally, like Dan said, that’s a lot of extra work and time spent on your behalf that isn’t your responsibility.
I inspect the property as-is upon my arrival at the appointment date/time. If the utilities are not on, or there is an access issue, I disclaim it in the report and make sure the client and their agent are aware. I offer to return in order to complete the inspection after the issue has been resolved, but for an additional fee that is based on how much time I will have to spend there again and how much distance I have to travel. I always recommend that they negotiate with the seller and seller’s agent to recover any additional fees incurred and since I invoice the re-inspection separate from the first, it makes it easier for them to settle at closing if they desire. I have yet to have an issue with this in several years.
Our time is worth money. Our fees aren’t based on the time we spend with one particular client, our fees are based on all of our time and experience inspecting, so our clients are getting a great value. Don’t sell yourself short.
Hay Nick, I appreciate the response but I now have all my local utility providers on board. They all tell me if the service is on or off. That’s all I ask them. No account information. It takes me about 20 minutes for three utility provider calls (give or take) and I charge accordingly. Way easier than (AGAIN) charging a client for something that is out of their control.
In addition to my inspection agreement, I issue a pre-inspection checklist (agreement) to be completed by the listing agent or seller which includes among other things making certain that utilities are on. The form requires signature and return to me for review 36 hours prior to the inspection appointment or the inspection is canceled according to the cancellation clause in my agreement. I have not had any issues with this to date.
Walter-You want to be honest and fair, including fair to yourself. Time is the most precious commodity on earth, because your time is limited. You need to be firm with your clients, fair but firm. Seasoned inspectors have had alot of time wasted in the name of “good customer service”, i.e. going back to the house for no charge when it isn’t their fault, changing appointments last minute, and otherwise going above and beyond more times than they should. You should be accommodating, but you also need to have ground rules/policies about payment, your return trip when it isn’t your fault, what to do when clients “forgot their checkbook because they were in a hurry this morning”, etc. Set policies and stick to them. Your clients and the realtors will respect you if you stand up for yourself. You are running a business that needs to be profitable to survive in the long term and part of that survival involves efficient time and money management.
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mauger
(Mike Auger, CMI - RI 43685, RMC-142, RMB-096)
29
I inspect whatever I can and do the full report inspection day, and charge the fee. I do tell the client to ensure utilities are on. If they are off and we need to return, we chard $200 minimum for a second visit. Its not a bad practice, of course no one wants to pay twice buy we can t just drive all over for free either… I’ve had buyers get the seller to pay the extra fee.
Walter - Being FAIR to the client is great BUT being FAIR to yourself should be your 1st PRIORITY. Time is MONEY and your the most precious commodity, because your time is limited.
We all realize its NOT the clients fault, BUT its sure NOT your fault. IF any utility is NOT on you inspect what you can, EXCLUDE and DISCLAIM the rest. THEN charge your FULL fee and EXPLAIN that IF they have YOU come back there will be another FEE and RECOMMEND they get it from the seller or Listing Agent.
You can be accommodating, but when it isn’t your fault, ITS NOT YOUR PROBLEM
You are running a business that needs to be profitable to survive.
If you are LOSING it, that’s another story… haha