Do Realtors Recommend Inspections???

[fqp25]

This question has been brewing for a while now. Do Realtors recommend inspections? Or is it the client themselves who ask about an inspection.

I've been talking to some inspectors lately, both seasoned veterans, and newbies, and it seems like they are are just unsure about this.

Now I have a couple of close family friends, who are realtors and they claim they almost always recommend their clients to have an inspection. "ALMOST ALWAYS"- How should you take that? But I get this feeling that Realtors in general still consider Inspectors as Deal-Breakers.

At least for me, Realtors are my main source for leads, so I shouldn't generalize all of them, as Inspector Haters, but I'm wondering if anyone else had some more insight.

[Darren]

Most realtors won't recommend an inspection on a new house; why, I don't know. I find lots of problems (ie code issues) on EVERY new house I inspect.

When I inspect a 2 year old house and find those same code issues, it's "but it's a brand new house, I was told I didn't need an inspection."

The new phase lately is: "I told my buyers not to get an inspection, the house is being sold as-is and the seller won't fix anything..." DUH

In other words, the realtor is telling us 'don't blow this deal for me'.

Darren

www.aboutthehouseinspections.com

[hausdok]

Hi,

Around here, they're pretty sophisticated about it. They all recommend inspections, but it's how they do it that's the key. They'll typically hand the client a list of several names and will place their favorite on the head of that list, their next favorite second and the next third, etc..

Most who like the kind of inspector who is half blind and willing to overlook a certain amount of stuff, in order to ensure that he/she continues to garner future referrals, put the names of toadies who's reports will be full of inspector speak on that list. If they are serious about having their clients get a good inspection, the list will contain the names of competent inspectors who write decent reports.

Some who want a minimalist inspection are more clever than that. They tell their clients, "All inspectors are alike, so don't waste your money on an expensive inspector." They know full well that competent inspectors aren't charging bottom feeder prices and that if the client goes with someone who's extremely cheap that the odds are weighted strongly that the inspector will be inexperience and very malleable, because he or she will be hungry for future referrals.

Some offices keep lists of inspectors and forbid their agents to recommend anyone that is not on that list. I know, because some agents who refer clients to me repeatedly ignore that and have told me about it.

Personally, I think it's the inspectors who should keep a set of lists. I think we need one list for realtors who try and manipulate or minimize our findings in some way and the other of those who don't expect favors and don't try and manipulate or minimize our findings. Then, when someone calls to schedule an appointment and we learn that it's someone on the 'zoid list, we should tell the caller that we don't accept referrals from that agent for ethical reasons, and hang up.

I bet if every inspector in a city did that for a few months, that agents would soon learn to change their ways.

ONE TEAM - ONE FIGHT!!!

Mike

[randynavarro]

Originally posted by fqp25

This question has been brewing for a while now. Do Realtors recommend inspections? Or is it the client themselves who ask about an inspection.

My experience is both.

Consumers are simply too informed these days not to think about getting one.

Agents are also informed and urge their clients to get one.

There's also liability issues. I've been told numerous times the agents' exposure is reduced if an inspection is performed. If there's lawsuits down the road, then the inspector insuarance company can be included in the party!!

[rjw]

We're a big liability wall for agents, I don't know any who don't recommmned an inspection on everything

Mike I like that idea (although I'd be a little concerned about legal issues - nothjing definite - but its the sort of thing that raises old, rusty alarm bells

[Les]

Hud, FHA, VA and any gov't agency recommends a property inspection. Most mid-western banks will also strongly encourage one and there are states where the insurance company will strongly recommend an inspection.

All real estate agents and Realtors are not vile slippery people. NAR has an official position on this, but I don't have that link at the moment.

[hausdok]

Hi Rob,

I kind of figured you'd warn me about that. I think to avoid liablility, such a list would have to be inspector specific, wherein the inspector carefully documents every aspect of the keystone event that convinces him that a certain agent belongs on his manipulator list.

That way, when the agent calls up yelling and threatening a lawsuit for defamation or slander, he can specifically point to that incident as his basis for his own decision that the agent had crossed the ethical line.

If the keystone event stinks so badly that it's sure to fail the smell test with the real estate board, I think the inspector would be safe and the agent might find himself motivated to change his ways.

That's me though. I don't have a law degree and I tend to go off in directions that land me in hot water. That's why it's so good to have you here!

(Pssst. Don't suppose you'd like to moderate a Legal Issues forum, would you?)

ONE TEAM - ONE FIGHT!!!

Mike

[Les]

Frank, go to www.realtor.org and search home inspections - more stuff than you can read in 8 days!

[Scottpat]

My experience has been that the better agents recommend inspections and some won't sell a home without an inspection. When I say "Better Agents", I'm referring to the 10% of agents that are selling 90% of the homes.

[johnmcda]

Problem I am seeing here in Atlanta is loan officers telling clients that they do not need an inspection - new homes and resales.

Most of the realtors recommend inspections on resales - about 50% on new homes.

[Mark P]

I know one Broaker/Realtor who tells her clients that if it has passed the city inspection don't bother with a HI. Others give the customer 3-4 brochures or a list of names and let the customer pick an inspector, still other realtors say if they want a HI they, the realtor, will schedule it for them and call whoever it is they work with. Not every township around this area has city occupancy inspections. I had to get one recently on a house I'm flipping. The city inspection took 20 minutes and consisted of sticking the 3 prong outlet tester in every single outlet in the house, looking under sinks for leaks and looking inside the main electric panel, that was it. And I know from experiece that not all city inspectors even remove the panel cover. I'm having to get a county occupancy inspection tomorrow on a rental property I have, $100, should be interesting.

[kurt]

Don't forget that the NAR is the largest trade association in the world; at least, it used to be. Lotta morons out there, and the last real estate boom flooded the industry w/morons all looking for the fast buck.

Passing the realtor's licensing exam is easier than passing the NHIE; anyone can do it, so they do. Most of them don't know anything, and I mean that literally; they don't know anything. I am constantly amazed when I'll drop some little tidbit about a building that my 15 year old daughter will know, and the realtor will go "really? I didn't know that...".

I bumped into a realtor the other day who has "been in the business for over 10 years" and who's never heard of problems w/EIFS. These people have less knowledge of the products they sell than a squirrel.

Morons; 99% morons.

[fqp25]

Good insight.

Last November I inspected a house for a couple who was selling their 2-bedroom townhouse, and looking for a 4 bedroom. They were very unhappy with their first agent. They told me, that agent emphasized that an inspection would only slow up the process, especially in their case. (At the time they were expecting twins.)

Long story short; they were very satisfied that they dumped that agent, waited until the delivery of the twins and moved into a house they were interested in the first place. (The house I inspected) The first agent wouldn't even show them that house.

From what they had told me, made me think about this. I can see an agent not up-front making a recommendation for an inspection for a new construction, house for sale "as is", or just lack of knowledge/experience. But recommending "NOT" having an inspection is not in the best interest to anybody (except themselves).

BTW- They were so satisfied, they sent me a Christmas card.

[paul burrell]

Had a couple that was retired from New York and relocating to the good old South near my area. The new home they bought was nice except for the exterior wall cladding was a mess. The house cost over $300,000. The builder was no help and lied to them about the bad condition. They were very stressed about the situation. Anyway to make a short story longer I furnished them with diagnosis of problem and code details to give the builder. The buyer came by my office a couple weeks later to thank me and said the builder was removing the defective siding and replacing it. He gave me a $50 gift certificate to a nice restaurant and a thank you card that said "we have been praying for God to help us and he sent us you". Needless to say on that day I felt like I was in a profession that means something.

Paul B.

PS: They did not get a home inspection before moving in and closing.

[Brian G]

The new tactic around here is to use a contract cooked up by the local realtors association. As I understand it the contract says the seller has to fix anything wrong with a few of the big systems and the buyer has to accept that, basically binding both parties to go through with the deal whether they really like it or not. I'm not sure how that's being presented by different realtors, but I know a lot of people are unpleasantly surprised when they find out they're obligated in spite of the problems. [:-bigeyes

Myself, I have virtually no friendly realtors left. Maybe one or two, at certain times, but most revile me. Strangely, I'm still quite busy. [^]

Brian G.

Probably Going To Hell Anyway, But Not For Screwing People Over For Money [:-dev3]

[kurt]

For the record, the most recent Harris Poll shows realtors @ the bottom of 25 professions for respect & prestige. Stockbrokers are there with them.

Showing signs of intelligence, the most prestige was awarded to firefighters & police officers.