Buyers Wake Up

The very idea that agents are the primary source of home-inspector referrals is a clear and obvious conflict of interest. Yet most home buyers never seem to give this a thought. They simply hire the agent's favorite inspector, without asking if this is the best one available. It is so easy to just use the agents recommended inspector(s). It may be easy but it is certainly not a good idea. It is almost like saying "I think I'll just use the seller's attorney because he is familiar with the property". Ah...... who's protecting your interests?
 
Real Estate Agent refers Inspector-Inspector does poor inspection because he/she wants sale to go through to get more referrals from agent - Agent sells house- Inspector gets another referral from agent...........etc.etc.

Here are just a few good reasons to choose an independent inspector who does a thorough inspection and protects your interests:

  • Real estate agents normally recommend inspectors who are not deal killers. In other words these are inspectors who rely on referrals from these agents to make their living. Agents rely on home sales to make their living. If you add two and two together there is a large conflict of interest here. You the home buyer is caught in the middle. If the inspector does a good thorough inspection and comes up with items that make you walk away from the deal .....guess what?.... the agent makes no money and will think twice about recommending that inspector again, and of course the inspector knows this.
  • There are many inspectors who pay money to be recommended either in the form of a kick back to the agent (yes it is illegal in NY) or some type of fee to be put on the brokers list of recommended "associates".
  • Some states such as Massachusetts make it illegal for a real estate agent to recommend an inspector.......what happened to NY?
  • Don't be fooled by agents that give you more than 1 inspector's name. These are still inspectors that are known to the realtor to inspect "softly" and want referrals from agents.

It may be one more step you have to make to find a good quality inspector but for such a BIG purchase it is certainly worth the effort.