Home inspectors are torn on the topic of licensing, at least in states where it’s not yet the norm. In California, for example, many home inspectors are happy to keep things the way they are. Inspector and former contractor, Dave Pace, tells NBC Bay Area that he’s satisfied, but he also isn’t opposed to licensing if it’s done right. Pace belongs to the California Real Estate Inspector’s Association, so his standards are a bit higher than some CA inspectors who fly solo.
No licensing means no government regulations, no state intervention and sometimes even no insurance. But what you save on the front end could come back to haunt you later on. If you’re working in a state like California that doesn’t license home inspectors, here’s how you can protect yourself and your career.
Get an Education From a Reputable Home Inspection Program
In unlicensed states, prospective inspectors usually have no education requirements before hanging out a shingle and going to work. As Pace explained, he’s seen people work at a grocery store one day and start a home inspection business the next. An education sets you apart from other inspectors who only do the bare minimum.
An education can also protect you. In some unlicensed states, legislation holds inspectors to a reasonable duty of care to their customers. If you provide an inspection, you’re required to perform a responsible one. In the absence of a licensing board, state laws may give customers a legal foothold for suing if they’re dissatisfied. With an education, you’ll know how to do the job properly.
Take the National Home Inspector Exam
Passing a home inspection education course is a great first step, but the National Home Inspector Exam lets you prove your knowledge. Although it’s not required, it’s smart to take part. Some associations require future members to pass the exam, so why not join the ranks and schedule a test date?
While studying for the exam, you’ll probably find an area or two where you need more knowledge. The helps ensure that you’re as fit as you can be once you’ve tested and are ready to enter the workforce. It also protects you from inadvertently overlooking a home defect and finding yourself in court.
Join a State or National Home Inspection Association
State- and national-level home inspector associations go to great lengths to cultivate a unified industry. Each association has a code of ethics and standards of practice, and continuing education isn’t uncommon, either.
Adherence to the code keeps your membership intact, which helps with marketing yourself as professional. Standards of Practice are your road map for performing a home inspection the way most inspectors in North America do. And with continuing education, you’ll stay competitive in a changing industry.
The more you learn, the stronger and better your home inspection business will be.
Participate in Continuing Education Courses
After passing an educational program and then taking the national exam, why would you subject yourself to even more education? Continuing education keeps your existing knowledge fresh and makes you aware of new laws, trends, tools, and standards.
Associations often have continuing education requirements. If you join, chances are you’ll be required to participate. If you choose not to join an association, you can still earn continuing ed credits. Contact a provider such as Quality Education Group and keep learning throughout your career.
Maintain Errors and Omissions Insurance
Perhaps one of the most important characteristics of a responsible home inspector is an errors and omissions insurance policy that stays in force. If you operate a business, you’ll probably need liability insurance. Errors and Omissions or E&O is different. It protects you and your customer from loss in case you overlook a costly defect.
Liability protects you and the homeowner in case you break a window. E&O protects you and the home buyer in case you overlook a window that’s defective. Having a policy is one more way to separate you from other inspectors who try to skimp. It can also protect your business as well as your personal belongings.
Working in a state without licensing gives home inspectors a lot of freedom. There’s the opportunity to carve your own path, make your own name and do it all on your terms. But there’s also the opportunity to land in a mess if you don’t take certain precautions. Instead of thinking of your state as freedom from licensing, consider it the freedom to do better. You can build a business the way that you see fit. Take this chance and go further than your competition.
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