Originally Posted By: Senthil Puliyadi This post was automatically imported from our archived forum.
Dear NACHI People,
I am Senthil Puliyadi (29 years) with a Masters Degree in Civil engineering and license to practice Civil Engineering in almost all States except California (I took my special CA seismic and surveying exams two weeks ago).
I have done enough research and decided to give a whole-hearted try to become a Home Inspector. I attended ASHI, CREIA meetings in the last 4 months to get a general feeling about home inspection. I could not attend NorCal-NACHI meeting on November 6 due to unavoidable circumstances.
OK...Granted that I want to be a Home Inspector. Now, I want to look into the financial side of the business. I want to know the "truth" regarding how much Home Inspectors make, in the midst of sales pitch like "MAKE $200,000 A YEAR" by some home inspection book writers.
I did my own research to verify truth of such sales pitch and I was pleasantly surprised that it could be true. I found out from Internet that the number of houses sold in San Francisco bay area in 2003 was approximately 100,000 (I need to double check this number). Assuming that 70% of the homes are inspected, the number of houses inspected turns out to be 70,000. I have found that there are approximately 100 active home inspectors (from ASHI, CREIA and NACHI website) in SF bay area. Assuming an average of $400 per inspection, the "theoretical" money made by each inspector in SF bay area in 2003 turns out to be (70,000x$400)/ 100 Inspectors = $280,000 per inspector! WOW!!!
I understand that to make $280,000 per year, you have to inspect 700 homes in a year. Is it realistic?
Please enlighten me if I made any miscalculation because of my over-enthusiasm. I might have over-estimated the number of houses sold and/or inspection fee or I might have under-estimated the number of Inspectors. Please advise.
Also, please advise about the pros and cons regarding commercial property inspection.
Originally Posted By: gbeaumont This post was automatically imported from our archived forum.
Hi to all,
Senthil, not to want to dampen your obvious enthusiasm too much, but I think you need to look again at your statistics The SF bay area has a lot more than 100 inspectors, and if a new inspector running his own business did 100 inspections in his first year that would be a major achievement. Most inspectors would probably be doing 200 to 300 per year, that is still a decent living but none of us are becoming millionaires from it.
Originally Posted By: jhagarty This post was automatically imported from our archived forum.
Senthil:
The earnings potential is there. Much of it is dependant upon the RE Market, the Demographics of your particular area and your personal ability to Market your services.
Slightly less than your $280,000 would be an attainable goal after 2 years in business.
Originally Posted By: dharris This post was automatically imported from our archived forum.
jhagarty wrote:
Dan:
Gross Revenues on Business or Inspector Net income?
Gross Revenues,
that's a good question, if you read some of the HI schools marketing they state that you can make 100,000 plus a year, some how they forget to mention the 40% plus operating expense plus tax liabilities, not to mention 20,000 plus start up costs and starving for a year if your depending on this business as your only income
Originally Posted By: dharris This post was automatically imported from our archived forum.
jhagarty wrote:
Dan:
Sole Proprietor
Is this your experience, or have you been talking to Mike Crow??
OK I just did some calculations, I'm on course to do 450 insp this year, to gross 280,000 according to my trusty calculator I need to average 622.22 per insp.
unfortunately it ain't happening here, there are guys still doing inspections on homes up to 2000' with discount coupons for 150.00
Wheres that darn guy from southern ca that gave some of these guys the coupon idea
Originally Posted By: ekartal This post was automatically imported from our archived forum.
I do have a Chicago inspector buddy that wouldn’t inspect a one bedroom condo for less than $400 - and he’s very busy. He works almost 100% on referrals now, which of course means clients seek him.
Originally Posted By: dharris This post was automatically imported from our archived forum.
ekartal wrote:
I do have a Chicago inspector buddy that wouldn't inspect a one bedroom condo for less than $400 - and he's very busy. He works almost 100% on referrals now, which of course means clients seek him.
Erol Kartal
There are a couple of guys here in the same position, but it took them 10 plus years to get to that point,
Originally Posted By: ekartal This post was automatically imported from our archived forum.
That’s very true Dan. 15+ years HI experience. Has a land cruiser for a company vehicle. Does apartment buildings too for thousands a pop. But inspectors like this are rare indeed.