1.Never Accept a Referral for a Sole Home Inspector From Your Real Estate Agent
A financial conflict of interest exists between every buyer and their real estate agent. The agent is focused on making a sales commission, and the bigger the commission the greater the conflict of interest. Even if your agent wants to be your best friend, smiles, and gives you a list of three inspectors, you are not safe. In Orange County CA, there are only a few properly certified inspectors. When your agent says “we use him all the time” and “he is the best”, they mean “best” at giving a simple inspection that ensures a sales commission. This is the biggest dirty little secret in real estate. It is absolutely true and very unfortunate.
But think of the pressure; agents spend thousands of dollars in advertising, thousands on offices and vehicles, hundreds of hours arranging showings, negotiating contracts, working with sellers, lawyers, other agents, title companies, licensing and continuing education, and each needs to make house payments, car payments, fees for medical care, children, schooling, daily bills, etc.
Now, do you really think after months of working for a client and no income, they are going to risk a commission at the end of the process by referring you to a skillful, knowledgeable, honest inspector who will identify problems that can cause you to cancel your contract, or negotiate a lower price and spoil their commission and income?
On the same topic, did you know that after mortgage crisis in 2008, our US congress finally woke up and made it illegal for mortgage lenders to refer property appraisers. Before that, every appraiser was beholden to mortgage brokers for referrals. In exchange, every appraiser made sure their “appraisal” met the contracted sales price so the lender could approve the loan and earn a commission on the mortgage. And what happened? House values kept going up and up until it all collapsed. Unfortunately, when congress made it illegal for mortgage lenders to refer appraiser, they failed to stop real estate agents from referring home inspectors.
This leaves many buyers stuck with homes they wish they never bought; full of Chinese Drywall, mold, water intrusion, shoddy construction, and failed permits; all due to poor quality inspections.
2. A Home Inspector Title Means Nothing in California
There are no requirements in California to call yourself a home inspector. For a meaningful, quality inspection, only hire an inspector who is an American Society of Home Inspectors (ASHI) “Certified Inspector” (ACI). Visit www.ASHI.org, and see item #4 below.
HOME INSPECTION - BUYER BEWARE!
Checklist for hiring a professional home inspector:
- Verify they are an ASHI Certified Inspector, not just an associate - visit www.ASHI.org
- Confirm they have insurance.
- If mold services offered, verify inspectors Mold Services that they are certified by ACAC; visit ACAC.org
- Confirm he is not a franchise owner or employee
- Confirm he is a certified pool inspector (not subcontracted to others)
- Confirm he provides narrative electronic report with color photographs within 24 hours.
3. Never Hire a Home Inspector Based on a Low Price.
Unfortunately, many buyers think home inspections are a commodity, like buying a gallon of gasoline, and they will save money by choosing a low-price inspector. The premise is entirely false. Cheap inspectors do terrible work. They are not properly trained to identify defects, they offer services for which they are not certified. Most agents love to refer cheap inspectors for those reason to ensure they get a sales commission. The cheap inspector writes a report while they are at the house, instead of actually inspecting. Believe me, it is very easy to make a report that “looks” pretty but is full of holes and oversights.
4. Hire Only an ASHI Certified Inspector (ACI)
Home inspectors who are “Certified Inspectors” by the American Society of Home Inspectors are ethically bound by a rigorous set of Standards and Code of Ethics to protect you, the buyer. They must place a client’s interest first. Inspections must be thorough and meet a rigorous set of standards, reports must be detailed, complete, and kept confidential for you the buyer. Every professional, serious, full-time home inspector is an ASHI-ACI. Go to www.ASHI.org to find a quality inspector, and only hire one who has the ACI credential, not just an associate or member. ASHI is the only national, not-for-profit organization with third-party, independent confirmation of experience, knowledge, and training. And, it is the only organization in the entire U.S. with an accredited certification that is ISO compliant. Beware of the alphabet soup of credential that can be purchased over the internet: NACHI, FABI, NAHI, NABI, etc. For a fee, they all issue a “certification”. Don’t get baffled by acronyms.
5. Confirm Your Home Inspector Carries Insurance
No California law, requires a home inspector to be insured for errors & omissions and general liability for “Home Inspections”. Be sure to confirm this with your potential inspector and be sure their insurance policy actually lists coverage for “Home Inspections”, and not something else like construction, roofing, painting, or other types of contracting. If an inspector balks at your request or fails to provide a copy of their insurance certificate to you, then you know they do not have insurance coverage. It is a huge risk to you if your inspector is not properly insured. According to California law and the text of every real estate purchase contracts: “buyer is responsible for the actions of the home inspector they hire”. If your inspector gets electrocuted, injured, or causes damage to a home, you are liable! Be sure the inspector you hire is not only insured for home inspections, but also each of these additional specific services, which every insurance policy disclaims unless listed specifically as an added coverage:
|
|
|
6. Avoid Franchise Inspectors
Do not hire a franchise person for your inspection. In the U.S. there are dozens of companies that offer “home inspection” franchises. The price for a franchise ranges from five to thirty-thousand dollars; most are around $15,000. The sole objective of those companies is to make money selling franchises, not ensuring owners are competent. Avoid being a victim; be sure you verify the name and speak with the person who will actually provide your inspection. Be sure to talk with him directly before signing any inspection agreement. Confirm their ASHI-ACI certification, experience, and insurance.
7. Confirm Authorization to Provide Radon Testing
Radon gas is the number 1 cause of lung cancer in non-smokers. A tester must by registered with the CA department of health.
8. Verify Qualifications for Pool Inspections
There is no state law or regulation that defines who may or may not inspect residential pool bodies or that states what must be included as part of a pool inspection. Most home inspectors have no idea what to look for or how to interpret various issues, like shell/deck cracks, safety requirements, primary drain hazards, filter conditions, etc. For a meaningful pool inspection, be sure to only hire a trained professional who is certified, knowledgeable and insured for pool inspections.
9. Mold Testing Does not Require Any Certification in California
Be sure that they are certified by ACAC, at ACAC.org.
10. Verify Quality of Reports
Second in importance, only to a home inspector’s knowledge and experience, is the quality of the written report a home inspector provides their client. Before you hire a home inspector, request a copy of a sample report A high-quality, professional report should be narrative (not a check list), comprehensive, and include all findings with color photographs. A quality inspection generally takes two to four hours of actual inspecting; testing utilities, hiking around a ladder, climbing on the roof and through the attic, etc. Professional inspectors provide a digital report via email by the end of the same business day. A typical single-family home will have a report that is about 30 to 60 pages in length including a summary of key items, color photographs, etc. Also, a quality inspector will make themselves available for follow-up questions and phone calls.
About Steve Zivolich and Guaranteed Property Inspections: www.gpinspect.com
Steve Zivolich, M.A., the owner/operator of Guaranteed Property Inspection and Mold Investigation Inc. has been providing property and environmental inspections for over 13 years in Orange County and Southern California.
Steve Z. has performed over 6,000 home inspections, mold, energy and environmental inspections and is fully certified and insured to meet all your inspection needs. He personally provides all field inspection services and as a result is able to maintain the highest Better Business Bureau rating of A+.
Steve has extensive training and years of experience as a home, mold, energy and environmental inspector that will guarantee that you receive the most thorough, state of the art and comprehensive inspection that follows current industry standards of practice and codes of ethics, a true value and education at a fair price. He conducts every inspection, as if he were moving his own family into the property. Steve also backs up every home inspection with a 90 day warranty, that is purchased on your behalf from American Home Warranty Association.
Unlike other home inspection companies, who will need to refer you to an environmental and/or energy audit contractor, Steve is a nationally certified expert that can handle the job without making you jump through hoops to hire additional people before the end of your inspection period, including the areas of: mold, asbestos, allergens, child safety, radon, formaldehyde, energy, EMF, water quality, and VOC's. As a result of his advanced training, he is able to offer a FREE energy audit and FREE mold investigation as well, with each home inspection.
.
Please take the time to read through Steve's home inspector credentials and qualifications as this is so important when hiring an inspector. Don't focus on price alone, focus on value, quality, experience and professionalism. When you hire an inspector, any inspector, you are hiring their individual knowledge, experience and qualifications so make sure you hire the best, not just the cheapest. We are confident that you will be Steve's next satisfied customer.
No comments:
Post a Comment