Any suggestions on how to determine if my area could/should support another home inspection business?
- What area?
- How many home inspectors in said area?
- How many home sales in area annually?
- Do you know the income you need annually to live?
- Are you looking to go it alone, franchise, multi-inspector?
I’m in Maine.
Google search for Home Inspectors within the area listed about 15 different companies.
And according to Zillow (not sure on accuracy) shows around 7,000 residential sales in the past 12 months.
I plan to go it alone and have no delusions of getting rich quick, however, by the end of year 2 need to be profiting $40,000+ annually.
I highly doubt you can find any solid numbers. Your local board of Realtors can provide number of homes sold in the area, but as Maine has no HI licensing, it would be difficult to tell just how many HI are in your area.
But it doesn’t matter.
If you don’t absolutely love it, you’ll lose interest and stop.
If you do absolutely love it, you can find a way to succeed even in a crowded market.
Supply and demand always reach equilibrium. If you require to be inside some freak, brief time where demand outstrips supply to succeed… you won’t make it.
And it wouldn’t last very long anyway.
If it comes down to my desire and work ethic, I’m confident that I will be successful.
I just started a home inspection business with myself and a business partner as a multi-inspector firm. We are in Southern Coastal Maine and it is an extremely competitive home inspection market. If you love it and don’t want to do anything else, go for it. Be the best in the business and you will succeed. It’s hard starting out and we’ve only been in business for a couple of weeks, so we don’t have a great picture of what it looks like, but there are enough home inspections that have to be done to support what you need. It’s not about if there’s enough market demand, it’s about if you feel like you can get the market that’s already there. People buy and sell houses all the time, there’s always enough work for 1 home inspection business and that’s all I’m running. As long as we can be the company that people use, we won’t have a problem staying busy.
Read the book “How to Run a Successful Home Inspection Business” and decide for yourself if that’s what you want to do. Starting any business is tough, I’m in a sink or swim situation and still don’t know which one will happen; but if I sink it’s not going to be because there wasn’t a market or that I didn’t put the work in.
I’m in an area where we have over 140 inspectors that I can see.
Somebody is always going belly up, BUT no matter how slow the market if you’re soft enough and cheap enough you’ll always survive AND get the REA’s to promote you.
What about you will make you succeed? this is an important question, what have you got other than a desire to make 40,000 per year 2 years in which according to what everyone on this message board says is hard to do.