A Critical Decision After the Offer Is Accepted
When your clients’ offer is accepted, one of the most critical decisions they face is choosing a home inspector. As a real estate agent, your guidance matters, and the choices you steer them toward can have lasting consequences.
Should you recommend an inspector who writes “soft” reports? One who pays to be on a preferred vendor list? Or the cheapest option available? The answer is a resounding no.
Fiduciary Duty Comes First
Real estate agents have a fiduciary duty to their clients, which means recommending only the best inspectors. Steering clients toward a subpar, influenced, or inexpensive inspector could violate that duty and risk potential liability.
What the NAR Code of Ethics Requires
The National Association of REALTORS Code of Ethics outlines agent responsibilities when it comes to recommending services to clients:
- Article 1 requires agents to protect and promote their clients' interests.
- Article 6 mandates disclosure of any financial benefits from recommending services.
Managing the Conflict of Interest
Because agents are often paid only upon transaction completion, personal interests can conflict with fiduciary obligations. Agents should avoid worsening this conflict by prioritizing merit over cost.
While no inspector can guarantee perfection, there is often a correlation between an inspector’s fees and the quality of their service. You typically get what you pay for. Choosing a cheap inspector for a client’s life investment may be a breach of fiduciary duty.
For Home Inspectors: Compete on Value, Not Price
For home inspectors, the takeaway is clear: compete on value, knowledge, and service, not price. Providing thorough, professional, and reliable inspections ensures clients receive the information they need to make confident real estate decisions.
The Bottom Line
Whether you’re a real estate agent or a homeowner, always prioritize competence and value when selecting a home inspector.
Contact Buffalo Property Inspections for certified, professional, and trustworthy home inspection services in the Dallas-Fort Worth Metroplex.