If you have not already, you can read our article on home inspection cost. This blog, however, will be focusing on the cheap home inspection and why you will end up paying more.
Reason 1 – Market Intruders
One of the most popular ways business owners enter a new market is through lower prices than the existing competitors.
Although this may work for some and is needed in some markets, this occurrence happens frequently in the home inspection community.
Why? The home inspection industry is a new and evolving market. Outside influencers (businesses that sell to home inspectors) and others promote the home inspection business as an easy way to make money.
News Flash: There is no easy way to make money!
So what does this have to do with you paying more in the long run?
A lot of these market intruders are here to make easy money. They receive a sub-par education, and then lowball the market to get home inspections.
While the home inspector makes off with your cash, you are stuck with that home he/she said was okay.
Unfortunately, new inspectors may miss more items than a seasoned inspector. This is because the new inspector may not have the experience or they lack the type of on the job training that larger inspection companies offer.
Reason 2 – Cheap Inspectors Have Cheap Insurance
This one is pretty self-explanatory. If you were to ever have an issue with a cheap home inspector, you might have trouble receiving some help.
There have been many cases of home inspector lawsuits, actually. Just Google it.
Reason 3 – Education
As mentioned previously with market intruders, education is a critical point for home inspectors.
While you can be a tradesperson for years, it does not inherently give you the education needed to be a home inspector. Home inspection education should be in-classroom training, exams, on-the-job training, and continuing education on a regular basis.
Just like how doctors spend quite a bit on their education to make sure they are proficient in their specialty, home inspectors should make a good investment into their own. Therefore, in order to do a great job as a doctor (just like a home inspection), they should invest in their education.
A home inspector’s price is most often correlated with how they value themselves. Those with more training and experience value their time and expertise at a higher level than inspectors who charge barely enough to break even.
Reason 4 – Reputation
If cheap home inspectors had a good reputation, they would not need to be cheap! We’ve heard time and time again stories of home buyer’s choosing a cheaper company that costs $50-$100 less than what a more reputable company charges. And in many instances, while those buyers were happy to save money up front, they regret the decision after the fact. This is because the inspection report isn’t detailed, they can’t reach the inspector to get questions answered, or they discover an issue that the inspector should have caught.
In this industry, reputation is important since most business comes from referrals. Always check a company’s reviews when doing your research and you may notice a trend between past customers’ experiences and that company’s price.
Reason 5 – Home Investment
Your home is an investment just like purchasing a stock. Would you make the decision to purchase a stock without fully knowing what you’re investing in?
Or would you want to thoroughly understand that company’s reputation, past, and current leadership in order to guarantee your future growth of investment?
Just like a stock, your home is an investment. Paying just a little more for a more thorough inspection protects that investment.
Expert from Home Inspection Cases
John Shishilla has worked on many home inspection cases over the years. After having a conversation with John, he states:
Almost all lawsuits with home inspections are less thorough, completed faster, and cost less.John Shishilla, Honor Services
Furthermore, John mentions that he believes home inspector’s can choose two out of the three categories, BUT NOT ALL THREE:
- Cost Effectiveness
- Efficiency (speed of the inspection and report delivery)
- Thoroughness (detailed)
What Does This Mean for Cheap Home Inspections?
This means a home inspection company can be cost effective and efficient, but not thorough. While at the same time, an inspection company can be thorough and efficient, but not cost effective (meaning their services would be higher priced).
Concluding on Cheap Home Inspection
Cheap home inspections may sound tempting, especially since you are already putting a lot of money into your home.
While more affordable options are definitely needed in any market, cheap home inspectors can end up costing you more money.
A home inspector’s job is to find defects with the home. With a more trained home inspector, you secure your investment with the trust that the inspector has experience, a good reputation, and insurance to cover any unforeseen issues that may arise.
Have a comment? Comment below!