From contractor to inspector?

Hello. I am new here and seeking some advice about starting a home inspection business (like you haven’t read this before). I have read many of the posts and was hoping to create a discussion tailored a little more to my specific scenario.

I will start with a little background info. I am currently self employed as a remodeling contractor specializing in kitchen and bathroom design and remodeling. I thoroughly enjoy this work and is why I have narrowed my business down to just kitchens and baths over the past 8 years. I am moderately successful from an income standpoint, an extremely successful from a reputation standpoint. I do zero marketing relying on just referrals. I have had up to 3 employees at 1 time, and also worked alone as a GC using all subs. I am proficient in all aspects of construction and routinely perform rough and finish carpentry, electrical, and plumbing on my jobs. I have also worked hard to earn this by doing things right, and get many calls to correct other contractors work. OK, enough tooting of my own horn.

I have considered becoming a home inspector for the past 5 years, but never took the leap. I just couldn’t figure out how to incorporate that into my current business. My schedule is usually full for a few months, not allowing time for inspections. I think I even took the test here a few years ago and passed without any study.

Thats brings us to now. I am looking to the future. My wife really feels this would be a good move for me. I am extremely critical and have an eye for detail, along with good communication and people skills. At this point, I am nearing 40 years old, and my body feels much older. I just can’t do things like I use to. I have had many thoughts for what I could move into, but home inspections always top this list and feel to be a natural progression.

From the post that I read of contractors moving into home inspections, most seemed very happy with their choice and they should have done it sooner. I have had some thoughts about making changes to my business to try to incorporate inspections. I could accomplish this by taking on less work and/or scheduling the work with a few open hours during the week to allow for an occasional inspection. As the inspection business grows the remodeling business would shrink.

I would be extremely grateful for any replies with advice on how to successfully make this transition. What were the initial struggles that others have had with a similar change. How did you use your previous construction career to give you an advantage in the inspection marketplace?

At this point I plan to join here, and start following the path outlined for membership. I am hoping to help develop a clearer picture of what I need to do, and expect for the next couple months to prepare for this future change.

I apologize for the long post, and thank you in advance for your time in helping a newbie find his way.

To increase the odds of being successful .
Get mentored by another Home Inspector at least 25 times more is better .
I did about 60 when I started . 1998 and I was an electrician for many years
Be prepared to pay for this .|
I charged $50.00 a trip ( this is tax deductible ).( now retired ) .
I have no axe to grind but will try and help you to get ahead in this industry .
This will decrease your time in being a good inspector and will pay you big time.
Unfortunately it looks like about~ 90% of new inspectors do not last three years.

Send me your phone number if you want to talk… Roy

Thanks Roy, great tips. I was never afraid to tell anybody looking to be a contractor what made me successful. It always surprised me how many have actually had trouble doing it. It was simple, show up, do what you are supposed to do (and do it right), be courteous, and clean up after yourself. My vacuum is my #1 referral source. I always want to be different or better so when I started my business I talked to lots of people to find out the common complaints of contractors. That is what I focused on being better at. I hope to do the same with this.

Thanks for the offer to chat, I might reach out to you down the road as I map out my plan.

Most inspectors were once contractors. That’s where most inspectors come from… the contracting industry.

The part of that paragraph where you say

is directly related to the part where you say

Join the Contractors Association for free. No dues ever.

As for your home inspection business, I recommend that you read this book: http://www.inspectoroutlet.com/conquer.aspx and read this webpage: www.nachi.org/success.htm

I did ride-alongs with an inspector in a neighboring state. I paid him per trip I think I gave him $40/per trip and did maybe 15, we mutually agreed I’d stay in RI and not cross over into MA and he’d stay in MA and not cross into RI for a period of 7 years. Valuable experience. Plus great tips on here as well…

I speak from experience when I say it is extremely difficult to be “on your tools” at a job site and effectively marketing at the same time. My first year (technically 7 months due to the licensing dates) inspecting I did only about a dozen inspections a whole lot of marketing and a whole lot of training/ certifications. I did it part time for 4 yrs with the last 2 full time and having a ful ltime job as a PM for a large construction company

My first year to year and a half was also slow…

Thanks for all the replies, great information here. I like the idea of a ride along with an inspector in another town.

Nick, I will check out the links, thanks. I was debating eliminating the word “moderately” but was being honest. I could double my income if I wanted to, I choose to be where I am. This is a decision that I make for my family with my family. I don’t need marketing, I turn work away consistently and have done so for years. I did marketing early, but my work and reputation is enough now. I worked extremely hard for this reputation. I had employees and a growing company, but I hated the management side of it. I am happy with my business now. I also know that I will have to spend a considerable amount of time marketing this new business.

I am not planning this change to make more money. I can’t remember the last time I received a paycheck from a company. I have determined my own income for many, many years. I prefer this, because I determine my own fate.

Disclaimer - please don’t read this the wrong way and I hope to not be perceived as arrogant. I am simply trying to relay my thoughts and be as honest about my current situation to gain any insight into a successful transition.

As my mentor ( My Son ) said to me when I asked him what I should charge he said Dad you have more knowledge then most Inspectors so you should charge more .
Took his advice and we where always the highest charging Company in our area .
Worked great for us.

I moved from contractor to inspector and found it easy. I built the business over the years and did not do any construction the second year. Contact me if I can help or answer any questions.

Then you aren’t charging enough. The ultimate goal of marketing is not to just be busy. If you simply wanted to be busy, take a cement block, carry it on your head, and run round and round your house all day. There, you were busy working all day. You didn’t make any money but you were busy. The ultimate goal of marketing is to be so busy that you can raise prices.

You should never consistently turn down work. If you are doing that, you need to raise prices so that the days you have too much work to do… are fewer than the days you don’t have enough work to do. That’s the most profitable zone to operate within.

If you don’t hear this coming out of your potential clients’ mouths from time to time… raise your prices: “Dan, I’d love to hire you and I know you do great work, but your prices are just a little too steep for me.” If you hear that every now and then… you’re in the sweet spot in terms of fee structure.

I’m a licensed General Contractor myself and I try to lose at least 20% of my bids because of price.

Nick, with all due respect, I did not come here for advice on my current business. I know my business.

Just out of curiosity, from a prospective new member, does this mean as you increase members you will increase your price structure here? Based on your comments I would find this inline with that.

Yes. We don’t raise dues on existing members but every few years we raise dues on future members.

More importantly though, my advice to you is really meant for my inspector members. Your comments just happen to be the perfect comments to point to when offering that advice. We have inspectors who say the same things as you did: They “consistently turn down work,” they “don’t need marketing,” they “do zero marketing,” they are only “moderately successful from an income standpoint,” etc.

They think the purpose of marketing is to get them more work and so they make bat shi-t crazy statements like “I don’t need any more marketing as I already turn down work.”

They have it backwards. The inspection industry, especially in licensed states, limits the amount of work you can do with your own two hands (there are only so many hours in the day). And so the purpose of marketing isn’t to get more projects to do… but rather to turn down more projects.

Nick, thanks for the clarification. As stated earlier, I fully expect to spend time and money on marketing for the inspection business. The what, where, and why of marketing it still too early for me to know. I do know that I will approach it as I did with my construction business. I am hoping to get started down the right path here and look forward to the feedback from other members along with all the resources available on the website. There is a lot information available and I am simply digesting what I can to develop a plan.

Hi Dan,

I made the transition from GC to HI about 5 years ago and while I started out at the bottom of the market I’m extremely happy I did.
I found being a GC to be rather tiresome after 22 years.
Did a lot of great projects but didn’t like having to be constantly planning for the next day, next job, ordering materials, making sure the crew was doing what they should, yadda, yadda, yadda.

Don’t get me wrong those years gave me a great start to becoming an HI and I have to say I am so glad I made the jump. It took time to build up a referral network of agents and to develop my website so it generated business as well. Have enjoyed it all and business just keeps getting better and I just keep marketing and making connections.

Just don’t expect it to happen in a matter of months. Most small businesses fail because they underestimate the start up time.

Where are you located again?

Tom

Thanks Tom, I am located near Harrisburg, PA. I will go update my profile now.

Dan what state are you in?

I cannot agree more with Nick.

If even considering this as a career. The above mentioned book will save you hundreds of headaches and thousands of dollars.

If you are not willing to buy and read that book first then you likely do not have the drive to enter this industry.

You can learn from thousands of others mistakes and successes just from that one book alone.

Just by reading it you will get a feeling of what it takes to be really successful.

Good Luck :slight_smile:

By the way make sure if you do take this on as a full time job you factor in the best insurance with full dissability coverage and set up a retirement plan. Without those things you will end up broke and poor as a old man.

Consider starting working for a established inspector befor jumping in with both feet to see if you really like dealing with all the jerks this industry has in it.

The hours will suck and you will have to bend to meet everyone elses needs. Your desires will become the least important to all involved and if you are used to making your own schedule and doing things as you see fit you are in for a rude awakening.

I am a Florida Licensed General Contractor, Florida Licensed Home Inspector and Certified Master Inspector. Feel free to contact me any time to discuss anything on your mind.

This is the best Org in the world and I highly recommend becoming a member if you wish to become a Home Inspector.

Don’t mind Mike, he has a bitter view point, but I think he means well!