Deal Killer ("DK") is one of the most controversial of all home inspection topics, the one that stirs ire among veteran inspectors and that draws defensive reactions from real estate professionals everywhere. The very idea that real estate agents are the primary source of home inspector referrals is a clear and obvious conflict of interest. Yet most home buyers never seem to give this a thought. They simply hire the agent's favorite home inspector, without asking if this is the best one available.

The proper job description of real estate agents is representing the best interest of clients. The highest expression of true representation is to provide total, complete, and unabridged disclosure. When a buyer asks an agent to recommend a professional home inspector, the actual question, regardless of how it is stated, is "who is the best home inspector available?" Real estate agents who recommend someone they do not regard as the best are not representing the client's interests and are thereby guilty of misrepresentation. If the ethical commitment to a client is not sufficient motivation to recommend a quality inspector, real estate agents should consider the matter of personal liability. Every defect that is overlooked by a marginal home inspector is a potential lawsuit, and such suits are commonly filed against agents who compromise the interests of their clients.

The derogatory phrase "DK" is somewhat used by real estate agents to describe independent professional home inspectors who give buyers objective information in an inspection report, which may lead the buyer to renegotiate or to look at other properties. Some real estate agents view independent home inspectors as a challenge to their ability to generate income. They view these "DK" as foes and will try to use a number of tactics to control the inspector selection process to make sure that the prospective buyers do not retain independent professional home inspectors.

The dilemma for a real estate gents and brokers is obvious: they make money when transactions are closed. Transactions close when buyers are satisfied with the condition of the property. The best professional home inspectors find more of the conditions that raise dissatisfaction. Less experienced inspectors don't disclose as many of these conditions, posing less risk to the agent's income. For many agents, the temptation to recommend a less thorough inspector is too great to resist. When temptation prevails, the lesser home inspector becomes the agent's choice, while the thorough inspector is written off as a "DK."

But what exactly does that mean? The name suggests someone who reports nonexistent problems or who describes defects in an alarmist fashion. But professional home inspectors of that kind are rare. The epithet is more commonly applied to those with the greatest ability to discover problems in a home. Once a home inspector has been branded with the "DK" label, disrepute spreads through the grapevine of local real estate agents. When new agents join a real estate office, they are advised by the veteran agents not to use Inspector X, because of his "DK" status. Eventually, no one who does business with that real estate company has the benefit of the best inspectors available.

Some agents whitewash this exclusionary process with a clever slight-of-hand. Rather than recommend a particular inspector, they produce a list of local inspectors and advise buyers to make their own selection. Most likely, the list will have three inspectors that they wouldn't mind you to hire.  If undisclosed problems are discovered after the sale, the agent can deny having chosen the inspector. By sheer coincidence, however, the agent's preferred inspector is conveniently placed at the top of the list, hints are dropped as to which inspector is the best choice, and so called "DK", in most cases, are absent or listed at the bottom. Being a thorough, detail and unbiased professional home inspector is often mistaken as a nick-pick inspector. However, some home inspectors use canned software package, often call a check list formatted with prewritten statements. These home inspectors are for the most part very popular because the end result is a check list that is difficult to understand and pretty much cumbersome, softening out the end results. Is this the common practice of all real estate agents? Absolutely not! Is it the practice of some? Yes! So, what is the solution? Essentially, there are two answers: one for real estate agents and one for home buyers.

Home buyer should practice due diligence. Trust others for suggestions. Trust yourself for decisions. Your agent may be one of the truly honest professionals who recommend only the most thorough home inspectors. But you don't know that for sure. So compare the qualifications of inspectors, ask your attorney, go to the Yellow Pages, and check the internet, basically any source that does not have a vested interest in the real estate transaction! Ask who are the most thorough, most experienced, most qualified professional home inspectors in the area. In many instances, the best professional home inspectors are known among real estate professionals as "DK" or "Deal Breakers." You might even come straight out and say; "I want to hire the one call Deal Killer".   "Inspected Once, Inspected Right"

The content of this write-up has been developed under a collaboration effort between, Barry Stone, HOUSE DETECTIVE and John M. Acaron, HOMEINSPECTORUSA, LLC both are professional home inspectors with extensive construction background, substantial credentials and home inspection experience. If you have questions or comment regarding the content of the  subject  above, contact the authors at; http://www.housedetective.com/, http://www.homeinspectorusa.biz/  and or send mail to 1776 Jami Lee Ct., Suite 218, San Luis Obispo, Calif. 93401 or at P.O. Box 9354, Panama City Beach, Florida 32408.

 
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1 Comments on Professional Home Inspector, Deal Killers: Ask for Them by Name

In Florida, home inspectors aren't licensed.  The rule of thumb I'm familiar with in Jacksonville is hire the "ASHI" certified inspector and you'll get the best.

Maybe I'm a different agent but I use defects discovered in an inspection to negotiate a better deal for my clients.  If a house is a wreck, I won't recommend it anyway.  I don't need to sell a client a pile of trash that looks like a house just to make a commission; there's plenty of decent houses out there to sell.

04/22/2008 09:27 PM by Richard Newquist, Beach & Luxury Realty, Florida ("Trust Me I Know What I'm Doing"®)


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Inspector: John M. Acaron, BSME, CHI, CMI (HOMEINSPECTORUSA, LLC)
John M. Acaron, BSME, CHI, CMI
Panama City Beach, FL
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