Realtors: Inspecting home inspectors
Examining the quality and consistency of home inspections.
Province of Ontario, June 2005 Update
In real estate transactions, some things never change. Sellers
usually feel they've given their house away, buyers believe
they've paid too much and Realtors fear neither side will ever
get to the closing table. There is however, one thing that has
been inconsistent in real estate transactions: the quality of
the home inspection.
That's been changing somewhat with the inception of professional
home inspection associations. To gain membership, home
inspectors typically prove their competency by passing exams,
meeting education and experience requirements - and by
maintaining a professional service to the public.
Home inspection is however not a licensed profession, and
membership in one organization or another is not always the best
way to measure competence.
Home inspections have been around for quite a while, and for
good reasons. For about $350 - the average fee for an inspection
today - home buyers can gain a wealth of information about the
condition of a property before they buy it.
Recent surges in the popularity of home inspections have created
an over-populated inspection industry where not all inspectors
have the training or experience to do a good job. Cost-conscious
consumers find out too late that trying to save $50 to $100 on
an inspection can result in an inadequate report. Unfortunately,
this can translate into thousands of dollars in unexpected
repairs being discovered after the sale. And well-intentioned,
however over-zealous home inspectors can frighten prospective
purchasers, often needlessly.
While complaints against home inspectors have never topped the
lists of consumer protection agencies, there is a growing
sentiment among inspectors, mortgage lenders, government and
consumers that more protection is needed.
Meanwhile Realtors, faced with more and more liability in the
ever increasing complexity of real estate transactions, surmise
that better home inspections will reduce their own exposure. And
consumer stories of disastrous home inspections, magnified by
the media, create a ground swell of support for licensing as the
cure for bad home inspections.
Moreover, a clear national trend toward the idea of licensing is
evolving. A strategy to provide coordination of the Canadian
home inspection profession is in place. An Advisory Steering
Committee, representing associations such as CAHPI(1) and
CMHC(2) has a goal to set national standards for certification,
education and training of home inspectors across the country.
Eventually, provincial or regional accrediting agencies will
likely administer, certify and provide disciplinary control of
all private-sector home inspectors.
Until such time as certification is a reality, a solid
background, a good reputation - and perhaps membership in a
professional association - will remain as the home inspector's
primary credentials.
Before referring your clients to a home inspector or inspection
company, you should first verify the training and experience of
the individual inspector. Ask how many pre-purchase home
inspections he or she has performed in the past year or two. Ask
for references, preferably from past clients, or from other
Realtors with whom you are familiar.
Be wary of low-priced home inspectors and inspectors whose only
credential is a certificate acquired online, or by
correspondence, or from an unidentified school or association.
Ask for references, preferably from past clients or other
Realtors 1. Canadian Association of Home and Property Inspectors
2. Canada Mortgage and Housing Corporation