Re-Inspection Procedure

[Joe Funderburk, CMI]

Originally Posted by InspectorRiggs

What about re-inspecting a different house for a client who, for whatever reason, doesn't buy the first house you inspected? Do you charge full price for every inspection?

Had exactly that situation today. I evaluate each situation based on the condition of the house. I feel like they deserve something off the normal price. But it depends on the cost of the 2nd inspection. If its a $275 inspection, I can't afford to give them $50 off. But if it's a $400 job, then perhaps. Today's house was a $375.00 POS and I spent 4 hours on site. I'll spend 4 hours on the report. I gave them $30 off and explained why I wish I could have done more.

[Russel Ray]

Originally Posted by jfunderburk

Had exactly that situation today. I evaluate each situation based on the condition of the house. I feel like they deserve something off the normal price. But it depends on the cost of the 2nd inspection. If its a $275 inspection, I can't afford to give them $50 off. But if it's a $400 job, then perhaps. Today's house was a $375.00 POS and I spent 4 hours on site. I'll spend 4 hours on the report. I gave them $30 off and explained why I wish I could have done more.

Give them choices, Joe. And make sure it is two widely varying choices. For example, I give a percentage or actual dollars, whichever is highest.

My exact wording is, "Yes, I provide a repeat customer discount of 10% or $50 off, whichever is highest."

People like percentages. With the inflation rate low, 10% is high. Dollars, of course, is dollars. And when they hear the phrase, "whichever is highest," they're ecstatic.

If you "can't afford" the discount, there are two things to do: (1) raise your rates or (2) put that discount into your marketing budget.

[maitai11]

Hey Everyone,

Thanks for the input, especially you Joe. I've added a re-inspection fee, settlement fee, and I only released my report after receiving the agreement.

Incidentally, I did go out for free on this one because it was not specified...as Joe put it, live and learn.

I do not have E & O, as my state does not require it. I run my business off of an LLC, and limit the damages awarded in arbitration to the amount of the inspection.

Again, THANK YOU for helping me out!!

Maitai

[Russel Ray]

Originally Posted by maitai11

I run my business off of an LLC, and limit the damages awarded in arbitration to the amount of the inspection.

Make sure your state allows limigint damages to the amount of the inspection. California does not.

Also know that you can get sued as part of a broadcase lawsuit in that the plaintiff sues everyone. Then you'll still have to defend yourself, notwithstanding any agreement you have signed. Even if you and the plaintiff settle out of court, the other defendants usually have to approve the settlement. Additionally, the other defendants can come and cross-complain against you, requiring you to defend yourself yet again. All of that costs money, much money.

I personally would not be in a litigious industry such as ours without E&O insurance.