Online Realtor - Customer - CMI INSPECTOR FEED BACK QUESTIONNAIRE

[Brian E. Kelly]

Originally Posted by wforsyth

It should be somewhere private. Not everyone should be privvy to the inner deliberations of an business.

Do not let this dog and pony show trick you into thinking you are seeing any "Inner Deliberations" Wendy.

[wforsyth]

Gotcha Brian.

[John McKenna]

Michael,

What is wrong with the current CMI standard that are in place now.
If a strict review was done with the current standards, only a tiny
fraction of inspectors in the field could qualify as it is.

Would you like to add a minimum number of years?

What is the problem?

[Nick Gromicko]

CMI's current formula was designed so that only 5% of our industry would qualify. The top 5% of any profession would be considered masters. But I over estimated the number of jobs an inspector does per year by about 30% and overestimated the average life expectancy of a practicing inspector by about a year. This resulted in the current formula representing only 3% of our industry, not 5%.

[John McKenna]

Originally Posted by gromicko

CMI's current formula was designed so that only 5% of our industry would qualify. The top 5% of any profession would be considered masters. But I over estimated the number of jobs an inspector does per year by about 30% and overestimated the average life expectancy of a practicing inspector by about a year. This resulted in the current formula representing only 3% of our industry, not 5%.

Good point Nick.
Are you reading this Michael?

Is the goal to narrow the margin to less than 1%...?

Who is Michael going to sell his CMI CE's to?
Nobody will be left to buy them.

[wforsyth]

Originally Posted by gromicko

CMI's current formula was designed so that only 5% of our industry would qualify. The top 5% of any profession would be considered masters. But I over estimated the number of jobs an inspector does per year by about 30% and overestimated the average life expectancy of a practicing inspector by about a year. This resulted in the current formula representing only 3% of our industry, not 5%.

Nick,

What is your answer to the inspector who admittedly has only done two inspections this year, who has only been in business for 1.5 years?

I'd say this is a major issue that is going to put a stain on CMI far greater than newbie NACHI inspectors.

[mrowan]

Folks

I am out of the office most of the day, and will get back to you later.

Briefly though, this questionnaire is about fact finding. What are realtors really looking for when choosing in inspector. We know that the newer realtors are much more inspector friendly than the older ones who remember the days when we were not around. Also what about the customer. What are they looking for?

As far as percentages, it is no secret that 80% of the industry, and every other industry is driven 20% of the inspectors. This is the percentage that I believe will be capable of CMI. The rest will move to be part of the twenty percent if it all comes together.

Got to go. Talk later.

Michael

[John McKenna]

Originally Posted by mrowan

As far as percentages, it is no secret that 80% of the industry, and every other industry is driven 20% of the inspectors. This is the percentage that I believe will be capable of CMI. The rest will move to be part of the twenty percent if it all comes together.

Got to go. Talk later.

Michael

Michael,

According to Nicks comments, the present CMI standards allow
approx. 3% of inspectors to qualify.

If you plan on getting 20% becoming CMI, then you would have
to drastically reduce the current standards. See what I mean?

Perhaps Nick need to explain how he arrived at his figure for you,
or you can show him how he is wrong.

But it sound like raising the current standards for CMI will leave
you with less than a tiny, tiny percent of a fraction of 1%.

How is CMI going to help elevate the rest of the market place
if they become so elite that they pull the ladder up behind
them and no one knows where they are? There won't not enough
CMI's to be seen anywhere.

At least Nicks formula allows 3%, which is small enough like it is.

But the question still remains...

WHAT IS YOUR PROBLEM WITH THE CMI STANDARDS THAT
ARE IN PLACE RIGHT NOW?

[James H. Bushart]

Originally Posted by jmckenna1

WHAT IS YOUR PROBLEM WITH THE CMI STANDARDS THAT
ARE IN PLACE RIGHT NOW?

I think it is apparent from the several threads in which dialogue was initiated by Mr. Rowan on this topic that he has already decided upon a plan.

Knowing that the success of it will stem upon support from those he will be soliciting membership from, these various threads will likely continue until a suggestion is posted that matches his plan...then he goes forth with it, as if it came from the membership.

Until then, you can probably expect your question to continue to be evaded.

[John McKenna]

Michael,

I have a problem with your general approach to the whole
CMI concept.

CMI is suppose to stand for an inspector that has achieved
more education, experience and quality than the average
inspector (this is a general idea of the goal).

Why ask the Realtors what they want? Is this suppose
to be pleasing to the Realtors before it flys? When have
the Realtors ever asked the Inspectors if they like the
way they do things? Don't you understand that one
of the primary goals of the Home Inspection industry
to protect the Buyer from Realtors?

Why ask the Customer what they want? Are the CMI
standards going to be adjusted by qualifications or
what's the most popular desires of the Customers?
If the Customers want different things next year,
will the CMI standards be adjusted to stay current
with the most popular trends?

You seem to be consensus minded to the extreme,
like you are preparing CMI for the marketing aspects
more than anything else. Please don't let the vendor
part of your mind cloud your motives.

99% of the Realtors I know want a general inspection
and do not want a nit-picky exhaustive inspection
that kills the deal. Why ask them what they want?

You have limited areas of qualification that can be measured.
Here a few main items...

Education
Number of inspection performed (work experience)
Years in service (time experience)
Testing (verify knowledge and what degree is there)
Background checks

The hard part is the review and verification process.
How do you prove the qualifications?

If you raise the bar higher than the present standards
then you will limit the CMI membership to a tiny fraction
of what it is already (Nick says no more than 3% can
currently meet the standards of the CMI now).

What is your goal here?

[John McKenna]

Michael,

Here is a list of different Realtor designations to help
you see how they qaualify for them. Perhaps this will
help you see a way to relate this info to the CMI
qualification process.

REALTOR® Designations

ABR, Accredited Buyer Representative
Designees have completed the Real Estate Buyer’s Agent Council course, passed the test and provided documentation of buyer agency experience.

ABRM, Accredited Buyer Representative Manager
Designees have taken and passed both the ABR and ABRMSM course and provided documentation of past management experience.

ALC, Accredited Land Consultant
Designees are recognized experts in five types of land brokerage transaction; farms and ranches, undeveloped tracts of land, transitional and development land, subdivision and wholesaling of lots and site selection and assemblage of land parcels. This designation is acquired through education and valuable skills.

CCIM, Certified Commercial Investment Member
CCIM’s are recognized experts in commercial real estate brokerage, leasing, asset management valuation and investment analysis.

CIPS, Certified International Property Specialist
Designees deal in all types of real estate, but with one common element; they are focused specifically on the “international” market.

CPM, Certified Property Manager
CPM’s have acquired valuable real estate management skills through education leading to the designation.

CRB, Certified Real Estate Brokerage Manager
The CRB designation is recognized industry-wide as a measure of success in brokerage and real estate business management. The designation is awarded to those who have completed the Council’s advanced educational and professional requirements.

CRS, Certified Residential Specialist
This designation is awarded to experienced REALTORS® who have completed advanced training in listing and selling.

CRE, Counselor of Real Estate
Designees are members of an international group of recognized professionals who provide seasoned, objective advice on real property and land related matters. Only 1000 practitioners throughout the world carry this designation. Membership is by invitation only.

GAA, General Accredited Appraiser
The GAA designation is award to appraiser whose education and experience exceed state appraisal certification requirements.

GRI, Graduate REALTOR Institute
Designees who are involved in residential real estate and who have completed the REALTOR® Institute program.

PMN, Performance Management Network
The PMN is a designation that’s built from the ground up to bring designees real-world skills, the know-how and the tools that will keep designees business out front and on top of a lightning fast market.

RAA, Residential Accredited Appraiser
The RAA designation is awarded to appraisers whose education and experience exceed state appraisal certification requirements.

[jmichalski]

I think the 3% formula that Nick is referencing is not factually accurate.

Consider that the average inspector performs in excess of 250 inspections per year (just a ballpark from the most recent industry survey I have seen). That would mean that even with no training, they all would qualify within 4 years.

As John pointed out, many Texas inspectors are getting in with close to 500 hours of training, meaning they will likely qualify after about 2-3 years in business.

Giving credit for all of your lifetime education credits makes a HUGE majority of the 1000 required hours/inspections subject to wide discretion and lowers the bar substantially - especially for anyone who came to this field from a construction-related background.

I know I qualify, and I certinaly don't consider myself to be among the top 3% of inspectors in either experience or education.

[Nick Gromicko]

The average inspector does not perform 250 inspections a year. Check the survey again. The average inspector who fills out surveys says he performs 250 inspections a year. The actual number, when you throw in all the new inspectors who aren't doing hardly any, is more like 160.

Furthermore, many inspectors go out of business within fewer years than 4, for reasons other than not having enough inspections. In fact, many work themselves out of business by charging too little, threat of suits, etc.

Furthermore, there are a ton, and I mean a TON of inspectors who don't get through their first year. Michael and I have talked about how difficult it is for inspectors to get over that hump from startup to profitability. It is tough because so many inspectors are not marketers, or even sound businessmen for that matter.

[Nick Gromicko]

With regard to number of inspections per year, the average isn't a true depiction of the average inspector. This is because there are really 2 average inspectors. That is to say there are two general camps of inspectors... those that made it over the hump and are in what I call full stride, doing about as many inspections as they want, and those that haven't made it over the hump and are doing far fewer inspections than they want. There is very little middle ground, even though the average, any average, lands in the middle.

Also, something else Michael showed me a while back... once a home inspector gets to his 6th year or so... he's often in it for life. That is to say if you get that far, your inspection business becomes very profitable and so you run it right into retirement.

[jmichalski]

Clearly, the survey only reflects the information from those who responded. How could they possibly get informoation from those who don't?

Since there are also no valid statistics on how many go out of business within 4 years, etc, all we can go on is the data at hand, which shows established inspectors (who are really the people we are discussing since newbies should not be considered for CMI) perform an average of 250+ per year.

Those who go out of business because of pricing strategy (atrificailly inflated, or too low) do not understand marketing or their market, or are not effectively using their position within that market. Success can be achieved at any price point if done properly.

Competency is another matter.