U.S. CitiesCity-Data Forum Index
Go Back   City-Data Forum > General Forums > Real Estate
 [Register]
Please register to participate in our discussions with 1.5 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
Jump to a detailed profile or search
site with Google Custom Search

Search Forums  (Advanced)
Business Search - 14 Million verified businesses
Search for:  near: 
 
 
Old 04-08-2012, 01:19 AM
 
815 posts, read 584,042 times
Reputation: 735
+1.

It's very common practice, for liabiltiy reduction, to provide a list of 3 or 4 home inspectors. The idea is to provide a list of inspectors whom the agent has had experience with (knows they're good), yet at the same time allowing the buyer to make their choice after they've interviewed the folks on the list, plus any others.

It's really poor practice to recommend just one particular inspector. I'd likely not use that person.

Does your state license home inspectors?
Quick reply to this message

 
Old 04-08-2012, 09:57 AM
 
Location: Salem, OR
10,679 posts, read 16,967,492 times
Reputation: 6521
Quote:
Originally Posted by yousah View Post
+1.


It's really poor practice to recommend just one particular inspector. I'd likely not use that person.

I don't think so. I have only two on my recommended list and I have strong preference for one. I let my clients know this, and they have always chosen my preference. I can also say that 100% of my buyers have said "I can see why you highly recommend him. He's really thorough." The difference is that I care about my clients, they know that and trust me. I don't back away from things because I am concerned about liability. I hunt out and find the best on their behalf. That is what they are hiring me for: helping them get the best. Not to be wishy washy.
Quick reply to this message
 
Old 04-08-2012, 11:33 AM
 
815 posts, read 584,042 times
Reputation: 735
If you look at actual lawsuits from buyers who are suing because of condition issues then you'll see that only recommending one inspector really puts you at a disadvantage. Ask your E&O provider and check the various E&O website that provide legal advice to their customers.

I agree that you might recommend the best inspector, but unfortunately, in these days of lawsuit-happy people it's a poor risk reduction strategy.
Quick reply to this message
 
Old 04-08-2012, 01:49 PM
 
Location: Salem, OR
10,679 posts, read 16,967,492 times
Reputation: 6521
Quote:
Originally Posted by yousah View Post
If you look at actual lawsuits from buyers who are suing because of condition issues then you'll see that only recommending one inspector really puts you at a disadvantage. Ask your E&O provider and check the various E&O website that provide legal advice to their customers.

I agree that you might recommend the best inspector, but unfortunately, in these days of lawsuit-happy people it's a poor risk reduction strategy.
I think the best risk reduction strategy is to actually be good at what you do. I think you'll find most lawsuits are against bad to mediocre agents. So I think the best risk reduction strategy is for brokerages to only hire and train good agents. I think the current strategy of hiring people that can breathe is a poor risk reduction strategy.

It's okay if we disagree.
Quick reply to this message
 
Old 04-08-2012, 02:52 PM
 
40 posts, read 40,148 times
Reputation: 15
Quote:
Originally Posted by Missingatlanta View Post
I am in the process of buying a foreclosed house. My realtor emailed me with the inspector she wants us to use. I've heard it's not good to go with the realtor recommendations for inspectors and financing. Should we find our own inspector?
Absolutely, never. My lawyer told me that agents wouldn't use the inspector they recommend when agents buy houses for themselves.

" Who should do the home inspection? Your broker will likely recommend one or two companies. But keep this in mind: Those home inspectors rely on your broker's referrals for business. Find a problem that kills a deal once too often, and their business will dry up. There's a conflict of interest here."

Ten Things Your Real Estate Agent Won't Tell You - Massachusetts Relocation - Homebuyers Resource Center (http://www.thebuyersbroker.com/homebuyers/html/ten_things.html - broken link)


Last edited by colincobre; 04-08-2012 at 02:53 PM.. Reason: paste problem
Quick reply to this message
 
Old 04-08-2012, 02:57 PM
 
40 posts, read 40,148 times
Reputation: 15
Quote:
Originally Posted by Rakin View Post
I tell my clients "This is the Inspector who's done my last 2 personal homes, 4 rent homes and my kids homes".

If he's good enough for me and my kids, they usually go with my recommendation.

If I was an agent I would say the same exact thing so the inspection wouldn't kill the deal. And I wouldn't have to spend next couple dozen weeks walking buyers through houses on Saturdays.

Last edited by colincobre; 04-08-2012 at 02:57 PM.. Reason: missed some words
Quick reply to this message
 
Old 04-08-2012, 03:01 PM
 
Location: Central Texas
15,933 posts, read 20,950,994 times
Reputation: 11808
Your attorney is wrong. (Fancy that! Attorneys can be wrong! I used to be a legal assistant and know a thing or two about attorneys, too. Some are great, some not so much, in every area of law, just like some real estate agents are great, some not so much.)

The inspector that is my preference for my clients to use, out of all of the ones on the list/available, is the one that I would most certainly use. I refer him to both my sellers and my buyers. He used to be a builder, and agents not only use him to inspect their homes built by others, some have chosen chosen him, out of all the available builders, to build their homes. I still give my clients more than just his name.

Silverfall, being extremely good at your job won't keep you from being sued, trust me on this one. We turned down numerous cases (about 295 out of 300 cases, monthly) because there was no case there, which didn't stop many of them from finding an attorney who would sue on the hope that the insurance company of the defendant would settle rather than fight because of the expense involved - and it was a good bet that they would, shame to say.

What risk reduction does it make it less likely that the first attorney they try will take the case, and if you're consistent about it, maybe they won't find one that will, and if they do, make it more likely that the case will be thrown out if your insurance carrier doesn't settle before it gets to court. Has nothing to do with how good you are at your job and everything to do with how good you are at little things that are the basic questions you'll be asked by your defense attorney - "Did you tell them to use this particular inspector or did you give them several names and encourage them to use one of their own choosing?" as an example.
Quick reply to this message
 
Old 04-08-2012, 03:09 PM
 
Location: Gorham, Maine
1,637 posts, read 2,474,421 times
Reputation: 1072
Quote:
Originally Posted by colincobre View Post
Absolutely, never. My lawyer told me that agents wouldn't use the inspector they recommend when agents buy houses for themselves.

" Who should do the home inspection? Your broker will likely recommend one or two companies. But keep this in mind: Those home inspectors rely on your broker's referrals for business. Find a problem that kills a deal once too often, and their business will dry up. There's a conflict of interest here."

Ten Things Your Real Estate Agent Won't Tell You - Massachusetts Relocation - Homebuyers Resource Center (http://www.thebuyersbroker.com/homebuyers/html/ten_things.html - broken link)

This article looks to be 9 years old (at least). I have had buyers walk over a bad inspection, and it's a lot easier to help them find another house than to let them buy a house that will cause problems down the road.
Quick reply to this message
 
Old 04-08-2012, 03:15 PM
 
40 posts, read 40,148 times
Reputation: 15
Quote:
Originally Posted by TexasHorseLady View Post
Your attorney is wrong. (Fancy that! Attorneys can be wrong! I used to be a legal assistant and know a thing or two about attorneys, too. Some are great, some not so much, in every area of law, just like some real estate agents are great, some not so much.)

I would always trust my attorney over my agent, because you agents have a clear conflict of interest and more to lose (your commission runs deep into thousands $).

Besides, you don't know my attorney ( and I do personally) and you have no way of knowing if he's wrong or not. Probably you couldn't make a cut as a lawyer and are angry that you have to work on Saturdays and Sundays now.
Quick reply to this message
 
Old 04-08-2012, 03:18 PM
 
40 posts, read 40,148 times
Reputation: 15
Quote:
Originally Posted by WhoFanMe View Post
This article looks to be 9 years old (at least). I have had buyers walk over a bad inspection, and it's a lot easier to help them find another house than to let them buy a house that will cause problems down the road.
Here is the updated one from WSJ:

"7. I won t let termites or pesky inspectors kill a deal."

10 Things Your Real Estate Broker Won't Say - SmartMoney.com

Last edited by colincobre; 04-08-2012 at 03:18 PM.. Reason: quotation
Quick reply to this message
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.

Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.


 
Please update this thread with any new information or opinions. This open thread is still read by thousands of people, so we encourage all additional points of view.

Quick Reply
Message:
Over $79,000 in prizes was already given out to active posters on our forum and additional giveaways are planned!

Go Back   City-Data Forum > General Forums > Real Estate

All times are GMT -6.

2005-2014, Advameg, Inc.

City-Data.com - Archive 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25 - Top