That’s what I thought.
I’m not rephrasing anything except to make it cleaner. That was my rough copy. Deal with it big boy.
I have a zillion friends who are real estate agents. I don’t know any who would want an inspector to miss defects intentionally. Not one.
That’s all I’m saying.
Yes, when you find a major defect, the agent might get concerned, even bummed if it wrecks that particular one deal. But they are all aware that the consequences of missing a major defect could wreck their future referrals from that client forever… and those referrals are outrageously valuable to an agent.
The rift between many agents who are struggling in their markets and inspectors is an unfortunate reality.
Some inspectors suck. Others will intentionally kill the first deal, like the con man, who relies on the perception of having saved the client fro thousands of dollars worth of defects, all but ensures they get the next inspection.
Agents who have been in Wheel Estate, and have driven 1000 miles with a buyer to finally find a home, does NOT want anything to go wrong.
I teach realtors for their CE credits. We start the courses with me having them call me “Deal Killer”. They all laugh.
Then I call them “Used House Salesmen”. They laugh even harder. We acknowledge the good and bad in our industries. We even speak of “preferred vendor lists”. Most think they suck.
To Nick’s point… many agents do not care. To my point… many agents DO care. Many office managers also care.
It’s all about the money. Despite Juan’s mathematical calculations, at the end of the day the agent’s loss dwarfs that of what the inspector stands to make.
It’s a fact.
I guess CA agents are smarter than those in the rest of the country.
In most cases, the agents don’t do a “price reduction” to cover the cost of repairs, but rather, they credit the buyer through escrow.
Therefore, the sales price doesn’t change, so the commission doesn’t change, and the buyer gets a check through escrow so they have the funds to make the repairs 
Jeff is correct.
And even if they did a price reduction for a $5,000.00 repair of a defect the inspector discovered, the 1/4th of 6% of $5,000 is only $75, less taxes (about $50) ding to the agent’s commission.
It is preposterous to assert that an agent would intentionally harm his/her own client and risk losing those future referrals for a $50 gain.
As far as I know, it’s nearly impossible to get a check at escrow for repairs in Virginia. Clients ask, and Realtors always say that’s not how it works.
They don’t really make price reductions either. Price reductions don’t help fund repairs. The seller fixes it or not, and the buyer can stay or walk.
I was just making a point that no agent would consider every a defect a ding to their paycheck considering the minute affect it has on their pay check, and huge affect it has on their reputation.
That’s a given.
Illegal in Minnesota.
I wish
I never had … or heard of … a sales agent worried that a report might reduce their commission.
I have had … and have heard of … numerous occasions where the sale agent winked and said “I need this one to go smoothly” or “We don’t want to scare these first time buyers with too many issues” or “The buyers are pretty nervous so I hope you will not alarm them”.
Sounds like bedside manner advice, not instructions to overlook defects.
These are a few of the more common ways to soften a home inspection report. There are others. Some might refer to these methods as “bedside manner”, too.
One of the funniest things I have head Nick say in a long time.
It’s NEVER an instruction to overlook defects. For some agents, it’s an UNDERSTANDING, that if you want to keep getting referrals, you’d better not screw with my deal.
Zactly.
I knew it would only be a matter of time until common sense prevailed here.
Thanks for the clarity Joe.
Nick,
If they could, how many REAs do you think would completely eliminate the home inspection process from their transaction if they had the chance? Be honest.
Seriously, you need to get a clue.
I’ll ask you.
If they could, how many REAs do you think would completely eliminate the home inspection process from their transaction if they had the chance? Be honest.
On second thought, nevermind, it’s no secret that “honesty” is not on of your strong points.