Realtors or homeowners asking for free work

[Sierrasparky]

I recent months I have recived several calls to look at homes for either the Realtor or the homeowner/buyer. Often what I am asked to do is futher inspect what findings the home inspector has already found problematic. What I then must do is open panels, remove cover-plates, basically investigate. This all takes time and money. I am then asked to prepare an estimate to fix the problems.

Here lies the issue. I am asked to do this for free on the hope that I get the work to make the repair in the future. In the past I would get the work no issues. These days I never get a call for the work.
What I would like to do is just get a minimum fee for this without creating friction with the realtors.
I was wondering how best to deal with sitiations like this. I ran across this animation I posted a few days ago here that hit very close to home.
http://forums.mikeholt.com/showthread.php?t=130924

Anyone else running into this or am I alone?

 

[480sparky]

I recent months I have recived several calls to look at homes for either the Realtor or the homeowner/buyer. Often what I am asked to do is futher inspect what findings the home inspector has already found problematic. What I then must do is open panels, remove cover-plates, basically investigate. This all takes time and money. I am then asked to prepare an estimate to fix the problems.

Here lies the issue. I am asked to do this for free on the hope that I get the work to make the repair in the future. In the past I would get the work no issues. These days I never get a call for the work.
What I would like to do is just get a minimum fee for this without creating friction with the realtors.
I was wondering how best to deal with sitiations like this. I ran across this animation I posted a few days ago here that hit very close to home.
http://forums.mikeholt.com/showthread.php?t=130924

Anyone else running into this or am I alone?

Here's a better video.

http://www.youtube.com/watch?v=R2a8TRSgzZY

 

[Sierrasparky]

How about an honest opinion on the subject?

 

[480sparky]

How about an honest opinion on the subject?

OK.... how about charging your normal rate for giving estimates?

 

[curt swartz]

They were willing to pay the home inspector for his report but not the specialty inspector (you). Most of the time they are just looking for a number to negotiate with the buyer and not actually interested in doing any of the repairs. When I first started in business much of my work was for realtors since I would take any work I could get. Now I will give them a rough idea of cost over the phone but will not visit a site without payment. They can pay for the inspection/estimate and get a partial credit if we do the work.

 

[markstg]

I recent months I have recived several calls to look at homes for either the Realtor or the homeowner/buyer. Often what I am asked to do is futher inspect what findings the home inspector has already found problematic. What I then must do is open panels, remove cover-plates, basically investigate. This all takes time and money. I am then asked to prepare an estimate to fix the problems.

Here lies the issue. I am asked to do this for free on the hope that I get the work to make the repair in the future. In the past I would get the work no issues. These days I never get a call for the work.
What I would like to do is just get a minimum fee for this without creating friction with the realtors.
I was wondering how best to deal with sitiations like this. I ran across this animation I posted a few days ago here that hit very close to home.
http://forums.mikeholt.com/showthread.php?t=130924

Anyone else running into this or am I alone?

How about charging your fee, and if you get the work, the fee goes toward the work.

 

[electricmanscott]

I used to fall for this scam. If a realtor calls, $150.00 to come out and provide an estimate. No exceptions.

 

[satcom]

They were willing to pay the home inspector for his report but not the specialty inspector (you). Most of the time they are just looking for a number to negotiate with the buyer and not actually interested in doing any of the repairs. When I first started in business much of my work was for realtors since I would take any work I could get. Now I will give them a rough idea of cost over the phone but will not visit a site without payment. They can pay for the inspection/estimate and get a partial credit if we do the work.

Funny we had a few EC in the area that thought giving a break on the estimates, and they would be in when it came to the work, they all went out of business in the last year, you can't stay in business giving the store away.

 

[Sierrasparky]

How about charging your fee, and if you get the work, the fee goes toward the work.

I too will give a guesstimate over the phone as I can sometimes get a picture or a report that the Home Inspector already prepared. Sometime you just can't do it over the phone such as diagnose a open Nuetral or missing ground. That could take all of ten seconds or several hours and breaking into a wall.

I though about charging a min fee and make a credit in the future. Unfortunalty I soon realized that If I actually go on site I have used up that fee. I would have to add that to the top of any new work. That might be a dillemma if I charge T&M.

 

[Sierrasparky]

I used to fall for this scam. If a realtor calls, $150.00 to come out and provide an estimate. No exceptions.

I ran into a GC the other day he is been giving bid to fix the whole home issues.
He say's he give bids for free and get's the work. He may not be getting rich but is paying the bills.

Hey I know we all want more than pay the bills. But we don't want to go broke either.

 

[jxofaltrds]

What I would like to do is just get a minimum fee for this without creating friction with the realtors.
QUOTE]

$125.00 min. fee. I can not help with the friction because some how they still expect it to be free.

 

[electricmanscott]

Here lies the issue. I am asked to do this for free on the hope that I get the work to make the repair in the future. In the past I would get the work no issues. These days I never get a call for the work.

Hey I know we all want more than pay the bills. But we don't want to go broke either.

Read your own statement. You WILL go broke.

I understand as well as anyone about doing what you have to do to pay the bills. I can tell you with 100 percent certainty that working for free will not accomplish that goal.

You owe these realtors (I get queasy just saying the word) nothing. Charge for your time or don't, it's up to you. But make no mistake, they don't give a rats ass about you.

 

[Oakey]

I agree with Scott, also the Realtors just want a document from you so they can negotiate the price on the table between the lawyers for free. $150 sounds right

 

[LEO2854]

I ran into a GC the other day he is been giving bid to fix the whole home issues.
He say's he give bids for free and get's the work. He may not be getting rich but is paying the bills.

Hey I know we all want more than pay the bills. But we don't want to go broke either.

$160.00 minimum don't fall for the carrott stick scam if you go and do an inspection charge for it/ the home inspector does ,,why cant you
Never give prices over the phone and never tell the customer houry rates
if they ask their just telling they are a money problem.
I only give a grand total price. no hourly rate or stock prices just a grand total.

 

[cowboyjwc]

I used to do what sparky does, but I've gotten cranky in my old age. If I'm in the big blue or big orange and it's my day off and a contractor catches me and wants to ask questions I simply tell him that my off hours consultation fee is $100 p/hr, minimum one hour, if they want to call me at the office during my regular working hours it's free. I will take a check if they don't have cash.

 

[Sierrasparky]

I only give a grand total price. no hourly rate or stock prices just a grand total.

So I guess you never work T&M.

 

[petersonra]

next time a RE agent calls asking for an estimate, tell them your callout fee and per hour charge.

the thing is that no RE agent is likely to actually ever get any work done since the owner is going to have to pay for it.

i would not agree to give them a discount against future work either. the time was already spent. free estimates only make sense when the hit rate is very high.

 

[nhfire77]

If they are going to play that game, play another.

Come out for free? Sure.

Oh, you want me to tell you my opinion, we'll that will be $150. Since I'm here You might as well pay me. Or, do you want to wait until you can get a sucker to do if for free.

.

free estimates only make sense when the hit rate is very high.

Exactly.

I give estimates for small jobs for free when I know I'm getting it. I get burned maybe 5-10%. Not a big deal for me.

If its someone new, they get a dispatch fee anyway.

 

[LarryFine]

They can pay for the inspection/estimate and get a partial credit if we do the work.

How about charging your fee, and if you get the work, the fee goes toward the work.

I'd charge the usual fee, and offer the entire amount as credit if I get the job, and find a way to build it into the final price. Unethical? No, just realistic.

There's a difference between giving an estimate for new work and following another's work, especially for writing a report (critique, really) for its validity.

Added: There's no reason to write a report that someone else will use to make or save what could be hundreds, and not get a reasonable cut.

I'm on Angie's List, and some people pick up on the 10% discount (on labor only) for new customers. I also ask where they found us before giving a price.

 

[Fulthrotl]

They were willing to pay the home inspector for his report but not the specialty inspector (you). Most of the time they are just looking for a number to negotiate with the buyer and not actually interested in doing any of the repairs. When I first started in business much of my work was for realtors since I would take any work I could get. Now I will give them a rough idea of cost over the phone but will not visit a site without payment. They can pay for the inspection/estimate and get a partial credit if we do the work.

pretty much my experience as well... and often what they need is a
number to plug into a deal, and not a sparky.

if it's someone i have gotten work from in the past, that may prompt me
to saddle up and drive over, but realistically, i'll just ask them over the
phone some basic stuff, and SWAG it, aiming a bit high.

like the man says, you prolly aren't gonna hear from them again...
of people who have called on stuff like this, and i have gone over,
i have yet to have ONE of them call me back.... so this way, i'm
courteous, and it only takes five minutes of my time total.


randy