What is going on with low fees???

[Paul Pendley]

Doing some comparitive shopping today to see if I was still comparible with other companies....To my suprise I find at least 3 new inspectors in my area that are charging $275 or less for homes up to 4000 sqft. That used to be unheard of. I ask you this....How the hell do you compete short term with these prices, knowing that eventually they will either be sued and/or go out of business all together. One of the Inspectors had sample reports on his website which I reviewed...Nice layout but the report called for moving a device to an unapproved location on something that was in compliance and included a photo which clearly shows that its in the proper location. I am not going to point out who it was or what it was but its a pretty simple item and it was installed exactly where it was suppose to be and to move it would compromise its purpose, much less the damage and repair to have it relocated. How the hell do I compete with these prices knowing that things like this are going on.....New Inspector by the way to NACHI. Im certain that this particular item is part of the exam. Not sure if this is the proper location for this thread but HOLY COW....What to do????? Comments are welcome....And if you are one of the inspectors that I am talking about....SHAME ON YOU!!!!

[Nick Gromicko]

For your potential customers: www.nachi.org/convert.htm
For agents: www.nachi.org/agentduty.htm

[Paul Pendley]

Nick,

Use that all the time...I just wish those of us that belong to this organization would commit to keeping the fees at a reasonable amount...And keep with the philosophy of this Organization of not lowering or undercutting fees in an effort to keep all of us at the top.

[kpierce]

Originally Posted by ppendley

How the hell do you compete short term with these prices...

Don't kid yourself and think you need a "short term" solution. You will always have cheaper competitors. Every industry does. Add more value to your inspections than your competition and market, market, market.

[Keith Swift, PhD.]

In my asset protection seminar I show two reports done on the same house within days of each other, which are as different as chalk and cheese. The truth is, consummers typically get what they pay for, and the free enterprise system usually sorts out the wheat from the chaff.

[Paul Pendley]

"short term" meaning surviving the 3 or 4 months that these guys hang around, Ive outlasted all of them but it really slows up business while they market their new business and lowball to get it.

[Joseph Burkeson, CMI]

Lost one a day ago... It appears that someone in my market is at $150 flat rate any house. Go figure.

[Tim Spargo]

A realtor that I used to hear more from has told me that I charge too much, I had asked/stopped by to see how they were doing.

Guy does the inspection and Radon testing for $150.00 flat!

So we make two trips, and drop off samples as well, geesh. People are really desperate.. sad. Two samples (EPA compliant) @ $28.00 each or $20.00 if you're NEHA certified like me for at least $40.00 from the local college/lab and a lot of driving... not much profit and a lot of driving.

The inpsector is Nachi certified too . I won't say who...

Tim

[Jeffrey S. Campbell]

Originally Posted by tspargo

A realtor that I used to hear more from has told me that I charge too much, I had asked/stopped by to see how they were doing.

Guy does the inspection and Radon testing for $150.00 flat!

So we make two trips, and drop off samples as well, geesh. People are really desperate.. sad. Two samples (EPA compliant) @ $28.00 each or $20.00 if you're NEHA certified like me for at least $40.00 from the local college/lab and a lot of driving... not much profit and a lot of driving.

The inpsector is Nachi certified too . I won't say who...

Tim

first... agreed that is way too low...

but... maybe he has a Sun or other radon measuring machine?
also I think you are paying too much for your lab fees... I get two samples analyzed for 25 at two or more local labs... or you can go with Pro Lab which is similarly priced...

hopefully these guys don't last long doing business like this...

[Joseph A. Ferry]

At Ken Compton's Workshop in November, I gave an abridged version of the Law and Disorder Seminar to the 70 HIs who were in attendance. Now these guys are the top marketers in the industry.

The Law and Disorder Seminar is constantly changing and being continually updated as I develop new techniques and strategies. At the Workshop, I presented a technique for truly limiting your liability exposure, dramatically increasing your fee per inspection, and completely outmaneuvering these low-ballers.

Like most great ideas, they only have value if you implement them. Out of 70 inspectors who heard the presentation, only one tried it. He tripled his inspection fee to $1500.

Low-ballers do not worry him.

The 50 City Tour will be in California in March. Be there.

[Stephen L. Guardino, CMI]

Well, I have fellow NACHI members in my area who are dropping their prices all the time to compete with other NACHI members.
One is charging $175.00 for an inspection and drives 40 minutes to get to my area.
I lost two to him last week alone. Talk about cut throat.
Fact, if we all charged about the same and stuck to the price the client would have to pay the price. Why do these inspectors cut the profession short. We are professionals and should be charging for a professional inspection.