Real Estate Advance Commission
Should Real Estate Agents Attend Home Inspections?
When it comes to home inspections, homebuyers understand they need one, but they don’t know anything else! Many are unaware of how to hire a home inspector, examine what’s examined during an inspection, and what to pay attention to or ignore. But that’s okay because they have their real estate agent. The home inspection aspect will affect whether you’re getting a commission advance for real estate agents. Unfortunately, most realtors don’t understand why it’s important for them to be present at a home inspection.
There are many reasons why you, the real estate agent, should attend the inspection. Home inspections are a major obstacle to overcome in real estate transactions. Apart from it being a part of your job, you represent the client so you must be there as needed.
There are more reasons for real estate agents to attend home inspections. These are:
- All home inspectors are not the same.
Like in any profession, the quality of the home inspection can range from terrible to wonderful. A home inspector is prone to cutting corners and making mistakes, like realtors. Although most home inspectors respect and adhere to the code of conduct in their profession, not everyone does it with the same level of integrity and commitment.
Even when an inspector does his/her job thoroughly, they may unknowingly present extraneous information. For example, let’s say the inspector finds a minor electrical concern that requires repair. If it’s stated that it’s a fire hazard and is very dangerous for inhabitants, then the buyer is highly unlikely to continue with the real estate transaction. If that inspector states that it’s a small electrical issue that can be easily repaired, the home buyer is less likely to be dissuaded. This is the reason it’s important to know how to select a home inspector. Their efforts can literally make or break your commission advance for real estate agents.
As the real estate agent, it is your responsibility to provide clear information to the interested buyer.
- It is difficult for agents to negotiate if they didn’t attend the home inspection.
A realtor provides professional representation in a negotiation. The inspector will create a list of problems that the seller/buyer must negotiate to figure out the terms in the transaction on the home inspection report. However, there’s more involved in the inspection than a document. During the inspection, the inspector may miss certain areas or exaggerate things. An inspection occurs over a couple of hours, so that a lot can happen during this time.
As the realtor, if you spend the time to peruse over the inspection, you’ll be more dedicated to negotiating effectively for your client. At the inspection, you can track and observe all the details that will be valuable during the negotiations. However, if you try to base your negotiations on a report alone, you’re not going to have a lot of information. This can jeopardize your commission advance for real estate agents. Often, what is listed on paper can be very different from what is discussed during the inspection. This is why there’s a lot riding on your presence at the inspection. You will know how to discuss the repairs after the inspection. How can you talk about issues that you haven’t seen?
- You cannot use “liability” as a cover.
Some realtors will cite “liability” as the reason for not being able to attend a home inspection. However, liability is a concern only if you behave irresponsibly during the inspection. For example, injecting observations and comments outside your area of expertise. In the past, realtors who’ve behaved in this way faced lawsuits based solely on their conduct at the inspection.
A practical real estate agent will remain quiet throughout the examination. You’re only there to observe the process, not comment or display your expertise. The home inspector should explain the inspection details, including the issues that must be addressed and the need for maintenance. As the realtor, you can get involved AFTER the home inspection is finished. Once completed, you can discuss what happened during the inspection with your client. At this time, you can clear areas that were confusing or misinformed. You can provide opinions to your client without facing liability. If you try to conduct yourself as an inspector, things can turn bad.
Realtors should NEVER perform a home inspection. Nor should they convey expertise about it to the buyer. Far from receiving a commission advance for real estate agents, the realtor will get sued!
- It is part of the job.
To represent your client means doing whatever is best in order to get an optimal result for the client. Being present at the home inspection is your responsibility. Many agents do not understand why it’s important to attend an inspection. You will only receive your commission advance for real estate agents if the representation was thorough and complete.
If you’re between real estate transactions and facing a cash flow problem, a commission advance for real estate agents can be helpful. Get in touch with us to find out more.
Just Commission Advance provides you with the chance to leverage your pending transactions and receive a monetary advance on them.