TREC meeting 8-13-18

There is information leaking that suggests TREC gathered a few selected inspectors before the Commissioner meeting started and explained to them how the meeting was going to happen. I don’t know if this violates Open Meetings but a decision on an agenda item before the meeting happens does not seem correct. Added to original post.

The Inspector Committee formed a recommendation about insurance for the Commissioners. They were to present it yesterday.

TREC staff disagreed with the Inspector Committee and issued an unusual opposition statement within the 10-day Commissioner meeting notice.

About 60 to 70 inspectors showed up at the TREC meeting in Austin.

TREC Commissioners apologized to the Inspector Committee for a procedural error that did not allow the Inspector Committee to discuss staff opinion, although that opinion was already known.

The Commissioners then sent the topic back to Inspector Committee and did not allow any of the inspectors who traveled to Austin to speak.

If you want to provide your opinion it is best to send them to

Stand tall friends. No matter what TREC does inspectors will adapt.

John, do you think that perhaps the Commissioners realized what a lousy idea the proposals were and sent them back to the Inspector Committee to sweep the whole thing under the rug?

Bill, That is possible. [New edit. I doubt this will be tabled. I predict insurance will increase and limits of liability modified if not eliminated] I am so used to boxing with these people that after 33 years I fall into that mode automatically. I agree there may be something to your idea. Lets let it sit and see what happens. Thank Dr. Valium

Do we have bad inspectors?

Texas A&M Real Estate Center. From August 2013 to June 2018 (5 years) there were 1,556,119 homes sold in Texas.

TREC web site. From June 2013 to August 2018 (5 years) there were 79 TREC Enforcement actions against inspectors.

79 enforcement actions for 1,556,119 homes sold. 1 complaint for every 19,697 homes sold.

25 of the 79 were for using the wrong form.

25 were inspection reporting errors and none seemed to be adverse and material.

25 inspection reporting errors over 5 years and 1.5 million home sold is great public service. I was heartfelt proud of those guys in that room yesterday. I stayed to the rear and left early.

Are there any accurate stats on the number of claims both attempted and paid against Inspector E&O in Texas? Forcing E&O on Inspectors also can result in lower complaints to TREC. After all that’s why E&O was forced onto Inspectors wasn’t it? :wink:

John, years ago I did a similar analysis of inspector complaints versus REA complaints and found a 15:1 ratio. REA/Brokers had 15x the number of complaints, per capita, as inspectors did. Wonder what that ratio is these days?

No specific stats on insurance but a few companies did testify their average claim is less than 15K.

I suspect the same or more. Overall complaints are low compared to homes sold. I did hear on the grapevine that property condition lawsuits are being more directed towards the agents than inspectors.

I expect increases.

As I’ve stated before (and elsewhere) … don’t even begin to trust Mr. Oldmixon or TREC Legal/Staff.

TREC is not done with this.

They are just batting the ball about the cage until they get things so very clouded and confusing and then “all of a sudden” there will be new rules and far larger targets on our backs.

I feel very confident that they already have everything in queue to go to the Texas State Legislature (if necessary) and ready to slide through without any opposition … for items that require legislative action.

I feel the strong presence by inspectors took the Commission by surprise and it does not surprise me if TREC gave ‘select’ inspectors a head’s up as John noted as a possibility.

However … now TREC will position things (going forward) in such a way that will make it even more onerous for inspectors to be able to be heard.

Even IF we are “heard” … they will NOT “listen”.

Yes, I’m damn cynical and do not trust TREC in the least.

Had to smile at your post. You made the statement above then signed off with Cheers.

Stakeholder = Someone who holds a sharp stick for a bureaucrat while they drive it through the holder’s chest.

I suppose its validation why inspectors should not be regulated by real estate brokers.

We will make it work. Onward.