Cancellations

[Russel Ray]

In my neck of the woods, about 90% of my inspections are scheduled with less than 48 hours notice. Maybe that's why I get few cancellations. In fact, ART tells me that we haven't had a cancellation in almost two years now; last one was on August 30, 2006.

[Jeffrey R. Pope]

Originally Posted by rray

In my neck of the woods, about 90% of my inspections are scheduled with less than 48 hours notice.

That's how it is here in the Los Angeles area as well.

[Mark A. Timpani, CMI]

Last night.. Phone rings, "I have to cancel Thursdays inspection, my husband is sick".

No problem, give me a call when your ready.

She calls back an hour later, " He's not as bad as we thought. Can we still do it on Thursday same time?"

No problem....

[David P. Valley]

Originally Posted by jpope

Cancellations are part of today's market. REO's are selling, and the pace is fast and furious.

99% of my cancellations are filled (if I choose to) within a matter of minutes - literally. There's always someone saying "if you have a cancellation, call me. I need my inspection as soon as possible."

Personally, it's not worth the effort or frustration to try and collect a cancellation fee from a customer. Also, if I knew that an inspector might charge a cancellation fee for something beyond my control, I would be looking for a different inspector.

I concur fully. It's part of being an HI.

I get continuous cancellations in todays market also. I simply wish them luck with their home purchase and most of the people call me back to re-schedule within a week.

Why charge your potential client for a cancellation when your chances of collecting the cancellation fee is not good anyways?

[Russel Ray]

Originally Posted by dvalley

Why charge your potential client for a cancellation when your chances of collecting the cancellation fee is not good anyways?

And you'll probably have a disgruntled "Client" who will be sure to let everyone know that you charge for doing nothing, something people usually don't like. I like to leave people with a positive experience and positive thoughts.

[Joe Funderburk, CMI]

Originally Posted by dvalley

I get continuous cancellations in todays market also. I simply wish them luck with their home purchase and most of the people call me back to re-schedule within a week.

Why charge your potential client for a cancellation when your chances of collecting the cancellation fee is not good anyways?

It's important to note that I've never had to enforce that cancellation and payment language. It simply puts them on notice that professional courtesy is expected. They usually know prior 48 hours prior of the inspection whether or not they want to cancel. They ought to call if that is the case. If they need to postpone because utilities are not on, etc., that's fine...I'll work with them. But if they want to cancel because they found someone cheaper after I've turned down callers for that time slot, they may have to pay me.

But since I put that language in there, I never have driven to an inspection to find a no-show who didn't even bother to call me and cancel. That happened once and never has happened again after I included the warning. Yes...I'd send it to collections on someone who did that to me.

[jcundiff]

David- Too funny! I just searched the forum for "cancellation fee" because the same thing is happening to me. Mostly it's because utilities are not fully functional. I've kicked the fee idea around but like others have stated, will I really collect? I'm thinking about drafting a special contract for REO's stating something akin to "the inspection will occur as scheduled regardless of the utilities blah blah blah OR client will pay a cancellation fee..." I've also thought about charging the entire insp. fee in advance. At least that puts me in the driver's seat. I know REO clients will balk, but perhaps we should just leave those scraps for the competition.

[rmaday]

Originally Posted by jcundiff

. I know REO clients will balk, but perhaps we should just leave those scraps for the competition.

Those "scraps" are a large part of the market in many areas.

Joe, do you have the signed contract prior to the cancellation?
If not, it would be tough to collect when the client hasn't agreed to the terms by signing.

If so, how do you go about getting a signature before you see the client? Email, fax?

[Bob Elliott]

I would not worry about the Agent taking you off his list.
Obviously his understanding of the biz is short as must be his sales.

Only worry about the part you can control

Now go straight to his office and beg for mercy

[Larry D. Kage]

Originally Posted by rmaday

Joe, do you have the signed contract prior to the cancellation?
If not, it would be tough to collect when the client hasn't agreed to the terms by signing.

If so, how do you go about getting a signature before you see the client? Email, fax?

Joe may do it differently but I get a signed agreement before going to the inspection. I do it via fax, email, however needed.

[Joe Funderburk, CMI]

Originally Posted by rmaday

Joe, do you have the signed contract prior to the cancellation?
If not, it would be tough to collect when the client hasn't agreed to the terms by signing.

If so, how do you go about getting a signature before you see the client? Email, fax?

I don't leave my house without a signed contract. I have two methods of getting my contracts signed.

1) I have it on my website. They can download it and fax it back to me. If they want to pay at closing, this is the preferred method because they have to fill out their credit card information as a backup payment method.

2) I upload the Agreement using my Homegage software and they sign it electronically online. This is the primary method I use unless they want to pay at closing. I like this method because I don't have to maintain paper copies.

[rmaday]

Cool, thanks.