Go Back   InterNACHI Inspection Forum > >

Notices

General Inspection Discussion This is a place for general discussion about the home inspection industry. Try to keep the posts topical, but they need not be as specific as the other areas of this board.

Reply
 
Thread Tools
  #1  
Old 2/8/06, 2:38 PM
Michael Saxton Michael Saxton is offline
InterNACHI Member
 
Join Date: Jan 2006
Location: Duluth, MN
Posts: 283
Default Pricing

Hi to all,
Just getting going here, and have a few questions as far as pricing,the first basic one, what to charge as far as a flat fee or do most of you use a sliding scale pertaining to square footage, I do realize that different geographical areas have different pricing(Supply and demand)
also if you do an inspection and that sale doesn't go through then a few weeks later another prospective buyer wants an inspection on the same home through the same realtor do you charge a reduced amount for an updated walk through or do another complete inspection, I guess to me that would seem like gouging to do another complete inspection. if you do a reduced walk through do you provide a limit as far as how long after the initial inspection you will do this walkthrough. thanks for any info provided
Ok, I should have done the search of the archives under pricing first before i posted this, found quite a bit of info there, sorry if i wasted space here by not searching first, but any new comments are welcome

Last edited by msaxton; 2/8/06 at 2:51 PM..
Reply With Quote
  #2  
Old 2/8/06, 2:58 PM
Joe Funderburk, CMI's Avatar
Joe Funderburk, CMI Joe Funderburk, CMI is offline
Certified Master Inspector
 
Join Date: Dec 2005
Location: Hickory Grove, SC
Posts: 10,954
Send a message via Yahoo to jfunderburk
Default Re: Pricing

Quote:
Originally Posted by msaxton
do most of you use a sliding scale pertaining to square footage...
Use a sliding scale. (Unless you want to charge the same for a 2 hour 1,500 sq. ft. home inspection vs. a 4 hour 5,000 sq. ft home?)

Quote:
...if you do an inspection and that sale doesn't go through then a few weeks later another prospective buyer wants an inspection on the same home through the same realtor do you charge a reduced amount for an updated walk through or do another complete inspection
Charge your regular rate. You better do a complete inspection--who's to say a leak has't sprung since your first one? Abeit, the second inspection should be easier and the report should be a snap, you might find something you missed the first time.



“The things that will destroy America are peace at any price,
prosperity at any cost, safety first instead of duty first,
the love of soft living, and the get-rich-quick theory of life.”
T. Roosevelt


Joe Funderburk, CBO, CMI
Alpha & Omega Home Inspections, LLC
Inspecting Upstate SC & Charlotte Metro, NC
Angie's List Super Award Winner 2018, 2017, 2016, 2015, 2014, 2013, 2012, 2011, 2010.
Ph: 704-351-1776
www.aohomeinspection.com

Reply With Quote
  #3  
Old 2/8/06, 3:36 PM
Bill Emelander Bill Emelander is offline
Active Poster
 
Join Date: Nov 2003
Location: Grand Rapids, MI
Posts: 342
Please Note: bemelander is a non-member guest and is in no way affiliated with InterNACHI or its members.
Default Re: Pricing

Pricing
I charge by the sq ft 0-1500, 1501-2000, etc. Check your competition and price accordingly.

Second inspection same house.
I may offer a small discount but treat it as a new complete inspection.

Bill
Reply With Quote
  #4  
Old 2/8/06, 3:38 PM
Brian E. Kelly's Avatar
Brian E. Kelly Brian E. Kelly is offline
Certified Professional Inspector (CPI) ®
 
Join Date: Oct 2004
Location: Phoenix, AZ
Posts: 17,168
Default Re: Pricing

Quote:
Originally Posted by bemelander
Pricing
I charge by the sq ft 0-1500, 1501-2000, etc. Check your competition and price accordingly.

Second inspection same house.
I may offer a small discount but treat it as a new complete inspection.

Bill
What Bill said.

Many HI's post their prices on their web pages.
Reply With Quote
  #5  
Old 2/9/06, 8:41 AM
Rick J. Hinck's Avatar
Rick J. Hinck Rick J. Hinck is offline
InterNACHI Member
 
Join Date: Sep 2003
Location: Chillicothe, IL
Posts: 49
Default Re: Pricing

Depends on your market area. In central Illinois I keep it simple- single price unless unusually large or small. I charge a little lesser price for condo's -no garages, exteriors, etc.
Reply With Quote
  #6  
Old 2/19/06, 11:40 PM
Randall Paul Randall Paul is offline
InterNACHI Member
 
Join Date: Mar 2004
Location: Elmira, NY
Posts: 101
Send a message via MSN to rpaul Send a message via Yahoo to rpaul
Default Re: Pricing

Quote:
Originally Posted by bkelly2
What Bill said.

Many HI's post their prices on their web pages.
I personally do not put my prices on my website for 2 reasons.
1. If a person see your prices, no need to call you. (This is the number one
reason!)
2. If there is no advertised pricing you have a flexible base and can adjust
for whatever need arises.
3. You may want to change your prices as the market changes.

For a base of finding out what to charge, call your competitors and get some prices. For first starting out, I found the coupons worked really great! Everyone likes a deal!

Rick
Reply With Quote
  #7  
Old 2/20/06, 1:36 AM
Brian E. Kelly's Avatar
Brian E. Kelly Brian E. Kelly is offline
Certified Professional Inspector (CPI) ®
 
Join Date: Oct 2004
Location: Phoenix, AZ
Posts: 17,168
Default Re: Pricing

Quote:
Originally Posted by rpaul
I personally do not put my prices on my website for 2 reasons.
1. If a person see your prices, no need to call you. (This is the number one
reason!)
2. If there is no advertised pricing you have a flexible base and can adjust
for whatever need arises.
3. You may want to change your prices as the market changes.

For a base of finding out what to charge, call your competitors and get some prices. For first starting out, I found the coupons worked really great! Everyone likes a deal!

Rick
Seems like 3 reasons.

Last edited by bkelly2; 2/20/06 at 1:45 AM..
Reply With Quote
  #8  
Old 2/20/06, 3:34 AM
Russel Ray's Avatar
Russel Ray Russel Ray is offline
Certified Professional Inspector (CPI) ®
 
Join Date: Mar 2003
Location: La Mesa, CA
Posts: 19,209
Default Re: Pricing

I charge by the square foot. Condos are less than houses. Updates of old reports receive a 25% discount as long as they occur within 60 days of the date of the previous inspection.
Reply With Quote
  #9  
Old 2/20/06, 7:46 AM
Raymond E. Wand Raymond E. Wand is offline
Community Guest
 
Join Date: Sep 2005
Location: Caledon, ON
Posts: 7,802
Please Note: rwand1 is a non-member guest and is in no way affiliated with InterNACHI or its members.
Default Re: Pricing

My base fee is based on a minimum of 2k sq. feet. It goes up from there. I also charge more than my competition. Experience cost money!

I do not up charge for older homes, nor do I do single item inspections.

I do not believe in giving to much info away for free on my website. My knowledge, experience, and time cost money. The idea in my opinion is to provide enough info on your website to get the client to call you. You can almost always get the inspection by getting the client to call.
Reply With Quote
  #10  
Old 2/20/06, 1:33 PM
David C. Macy, CMI's Avatar
David C. Macy, CMI David C. Macy, CMI is offline
Certified Master Inspector
 
Join Date: Jan 2004
Location: Home Safe Home
Posts: 4,881
Default Re: Pricing

I have some standards in my pricing but there are a lot of other factors.

There are times when I spend more time inspecting an older home with a less than 1500 sq. ft. than I do with a newer home that may be 3000-4000 sq. ft.

So my prices do vary depending on age & Sq. Ft.

Are they doing other services? This may save them some additional $$$$

Also I have numerous coupons.

I may price match with my competition.

Location may vary the price. Is the house close by or am I driving a far distance to a lousy part of town.

Also when I am doing a phone interview the client is interviewing me and I am interviewing them.

If thet dont seem to have a clue.. I believe one can tell a lot about there clients in a 5 minute conversation.

I think some of the pricing an inspector charges depends on the amount of time they have been in business.

If you are new you may be charging less. An expierenced inspector may be well established and vharges more because he is more expierenced.

What type of tools are you using may determine an exttra cost.

So there are numerous factors in pricing an inspection and I feel the whole industry should be getting as much or more than an apprasial. Which most dont.

Thanks

Dave
Reply With Quote
  #11  
Old 2/20/06, 1:38 PM
Raymond E. Wand Raymond E. Wand is offline
Community Guest
 
Join Date: Sep 2005
Location: Caledon, ON
Posts: 7,802
Please Note: rwand1 is a non-member guest and is in no way affiliated with InterNACHI or its members.
Default Re: Pricing

If your pricing is unrealistically low or lower than the competition you are telling prospective clients you are inexperienced.

Higher price equates to higher degree of professionalism.
Reply With Quote
  #12  
Old 2/20/06, 3:25 PM
Brian E. Kelly's Avatar
Brian E. Kelly Brian E. Kelly is offline
Certified Professional Inspector (CPI) ®
 
Join Date: Oct 2004
Location: Phoenix, AZ
Posts: 17,168
Default Re: Pricing

Higher price equals higher price, or higher overhead, or franchise fee or ad infinitum. Lower price equals lower price, or lower over head, or sole proprioter, or ad infinitum.

I price by the sq/ft, pool, spa, I believe I will start adding an age charge.

I believe you should be in the fat part of the pricing curve for your area. Now if you are well established and have many inspections under your belt by all means charge the top prices like Raymond, as your reputation warrants it.
Reply With Quote
  #13  
Old 2/20/06, 3:32 PM
Raymond E. Wand Raymond E. Wand is offline
Community Guest
 
Join Date: Sep 2005
Location: Caledon, ON
Posts: 7,802
Please Note: rwand1 is a non-member guest and is in no way affiliated with InterNACHI or its members.
Default Re: Pricing

Reputation aside, you also have to look at overhead, value of service versus fee, value of service versus price of house, risk undertaken. This biz is an undervalued service. We collectively take a greater risk than Realtors.

Realtor charge a percentage. House prices increase yearly on average so the commission is indexed to price increase in houseing prices. Inspection fees for large part are fixed.

How about increasing inspection fees by $5 or $10 per month? By end of year you have increased your fee by $60 or $120! Cha ching, cha ching. When I charge my fee, no one seems to bat an eye or say boy that is pricey, fwiw.
Reply With Quote
  #14  
Old 2/20/06, 3:55 PM
Brian E. Kelly's Avatar
Brian E. Kelly Brian E. Kelly is offline
Certified Professional Inspector (CPI) ®
 
Join Date: Oct 2004
Location: Phoenix, AZ
Posts: 17,168
Default Re: Pricing

I think Raymond makes some good points, I also think when you just start out you should try and be somewhere in the middle with your pricing for your area. That coupled with the judicious use of coupons should help you capture market share.
Reply With Quote
Reply

Tags
complete, info, pricing, reduced, walk

Thread Tools

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
A.I.I. has offered member pricing to all NACHI members attending Portland Convention. gromicko Miscellaneous Discussion for Inspectors 3 9/5/07 9:26 AM
Last call for 2006 pricing for Inspection Management Systems from TheScheduleCenter gromicko Miscellaneous Discussion for Inspectors 1 12/20/06 8:22 AM

All times are GMT -4. The time now is 4:28 PM.
no new posts