Category Archives: Real Estate

5 Ways A Commercial Property Inspection Will Help You Save (And Even Earn) More Money

Commercial Interior LinkedIn PostAs a commercial investor, you want to feel confident about your property’s value and earning potential. The key to smart buying? Ordering a commercial property inspection. Here are five ways commercial inspections can save you from hidden costs while allowing for maximum return on investment:

1. Predicts future property earnings. An inspection could tell you what sort of profit you can expect from your investment. Physical aspects of a building are a large part of the financial reports that are prepared to predict the property’s future revenue stream. This examination process is called “due diligence,” and it’s just one of many services your property inspector offers during the acquisition process.

2. Checks for damage from previous tenants. Most property sellers don’t disclose superficial damage or structural problems outright during a sale. For property buyers, a pre-purchase inspection will ensure you won’t be caught off-guard by surprise repair costs down the road. And for current property managers, research shows 1 in 4 occupants shouldn’t receive their security deposit back due to significant property damage. A post-occupancy inspection will help legitimize any decision you make about a tenant’s deposit.

3. Reduces insurance claims. According to the Insurance Information Institute (III), the average property insurance claim is $9,779 with an owner filing at least one claim every nine years. Getting a full report from a commercial inspector every few years will help you gauge the condition of your structure, roof, plumbing, and more, saving you the headache and financial burden of finding out after it’s too late.

4. Closes a sale. More often than not, inspections are required for getting a commercial real estate loan. Inspection findings often give you the advantage of creating a lucrative loan package in which you, the buyer, have the power. In addition, presenting a property inspection to potential tenants can easily seal the deal on your contract. An inspection report communicates the safety of your building and your reliability as a landlord.

5. Secures well-being of tenants. We all know that safety is top priority. Happy, healthy tenants always result in better business. Investing in a full property inspection upfront can help you enjoy more opportunities and profitable partnerships down the road.

Only 5% of inspection companies prioritize commercial real estate, and National Property Inspections is one of them. Let us give you peace of mind when it comes to your property. NPI’s inspectors are equipped with the specialized knowledge, experience and expertise to prepare a complete report for your commercial property investment.

With offices in 49 states, NPI has local licensed inspectors available to assist you with your commercial property needs. To find an inspector near you, call our National Accounts Department at 1-800-333-9807 ext. 30.

For more information, visit www.npicommercial.com.

Strong Real Estate Market Means Increased Business for Property Inspectors

Home for Sale SignAs you may have guessed, the real estate market affects the home inspection industry, and it’s been good news for both fields as recent economic information shows an uptick in the housing market. July had the highest rates for new-home construction in the past eight years. Furthermore, interest rates remain low, and the job market continues to improve, according to the Cape Cod Times. In addition,

  • Home builders are feeling more confident, as new-single family homes rose to the highest levels since November 2005.
  • Single-family gains have pushed housing starts to a seasonally adjusted annual rate of 782,000 units. The new-home market appears to be inching forward at a slow but steady rate so far this year, and the outlook remains positive through 2017.
  • Existing home sales are also on an upward trend and are higher than they have been since February 2007. Sales rose in June at a seasonally adjusted rate to 5.59 million.
  • Commercial real estate showed a 30 percent increase in the second quarter this year.

While lower interest rates have many home owners refinancing through different types of programs, the inspection field has blossomed. The aspiring real estate market statistics represent a time of enormous growth potential and prosperity for home inspectors.

Now is the time to prepare for upward trends in home construction and sales. Home inspectors should stay motivated and continue to work diligently as the market continues to rebound. Obtaining specialty certifications for mold inspections and testing, wood-destroying organism (WDO) testing, thermal imaging, and four-point inspections are among several add-on services that can lead to increased revenue for home inspectors.

This is also a great time to market your property inspection business and take advantage of any networking opportunities that may arise. Connect with Realtors and bank and mortgage companies that may use your services. Deliver yourself in a professional manner and keep in touch with them — you want them to remember you by name. Make a positive and lasting impression so that when they need to refer a property inspector to their clients, they know you are the inspector for the job.  After that, deliver service to your clients, and your will continue to receive referrals.

Are you interested in starting your own home and commercial property inspection business? National Property Inspections in the United States and Global Property Inspections in Canada have franchise opportunities in your area. For more information, visit our website and complete the Next Step form.

What’s the Market for a Home Inspection Business?

Inspector + Cabinet2If you’re interested in starting a property inspection business, you’re undoubtedly curious about the market for home and commercial building inspections. The past year’s recovery of the housing market and its current stability are positive signs for the inspection business. But, according to an article posted by the American Society of Home Inspectors (ASHI), the market for home inspections speaks for itself:

  • The majority of home buyers (77 percent) order a home inspection prior to purchasing a home. Among these:
    • 81 percent had a contingency for the inspection in the contract.
    • 79 percent attended and participated in the home inspection.
    • 97 percent believe the home inspection was a good value for the price they paid.

Furthermore, the 2014 year-end sales results provided by National Association of REALTORS®  revealed that 4,940,000 existing homes were sold, and according to the U.S. Census Bureau, 437,000 newly constructed homes were sold. At an average cost of $300 per home inspection, there’s plenty of money to be earned in the business.

In addition to inspections, home inspectors often obtain certification to provide specialty services outside basic home inspections: Mold inspection and testing, thermal imaging, radon testing, and wood-destroying organism inspections are among the most common additional services that inspectors offer. By providing these and other specialty services, home inspectors increase their earning potential and their sales.

Now is a great time to start a home inspection business. You’ll be your own boss, set your own schedule, and enjoy a challenging and rewarding career. And, when you become a franchise owner with National Property Inspections or Global Property Inspections, you’ll receive additional training so you can further diversify your business by offering commercial building inspections.

Learn more about franchise opportunities with NPI and GPI by contacting Julie Erickson at julie.erickson@npiweb.com or 800.333.9807, Ext. 24.

The Outlook for Franchising in 2015

IMG_1300If you’re considering starting your own business, then you may already know that you want to buy a franchise. After all, a franchise offers many benefits, including the following:

  • Start your company with an established brand and a positive reputation
  • Increase the chance of your success and become profitable faster
  • Use a proven business model, with time-tested business, marketing and sales plans
  • Receive ongoing support from your franchisor

So, you know the benefits of franchising, but you might be curious about the economic outlook for the franchising industry. In January 2015, IHS Economics and the International Franchise Association published a report, “Franchise Business Economic Outlook for 2015.” Here are some of the highlights:

  • The number of franchise businesses is expected to increase by 1.6 percent in 2015, which matches the pace of growth in 2014.
  • Franchise employment is expected to increase 2.9 percent in 2015, while total private nonfarm employment will increase 2.4 percent.
  • The growth outlook differs among franchise groups. For example, output growth in the retail food business line is expected to be 3.9 percent, whereas lodging and real estate are expected to be 6.3 percent*.
  • The Franchise Business Index showed strong growth in Q4 2014, and in November 2014 the index was up 3.1 percent compared to November 2013. That’s the biggest year-over-year gain since before the recession.
  • Employment in the real estate franchise industry will experience the biggest growth in employment in 2015. The growth rate is expected to be 0.8 percentage points higher than in 2014.
  • Franchise businesses accounted for approximately 3 percent of U.S. GDP ($495 billion) in 2014. Based on the report’s forecasts for 2015, nominal GDP of the franchise is expected to increase by 5.1 percent to $521 billion.

This is great news if you’re thinking of starting a franchise business, and the outlook is particularly positive for franchises in the real estate industry. If you are considering a real estate franchise, have you thought of becoming a home inspector? National Property Inspections in the United States and Global Property Inspections in Canada offer you an outstanding opportunity in the home and commercial building inspection business. We’ve been helping people like you become successful entrepreneurs for nearly 30 years, and we have a very high franchisee satisfaction rating. Contact us for more information about becoming an NPI or GPI franchise owner.

* National Property Inspections and Global Property Inspections are considered franchises in the real estate industry.

Consider Home Inspection When Looking for a Rewarding Career

Inspector + Dishwasher7Are you uncertain about your career path? Perhaps you are deciding on the field you wish to enter, or maybe you are considering a career change. A career as a home inspector can secure your future in an exciting and rewarding industry. As the housing market recovers and home construction and sales increase, the demand for home inspection services is growing.

Lower interest rates are driving home sales, and the market is better than it has been in recent years. With millions of homes being sold this year alone, choosing to enter the home inspection field could be a wise move for your career. Home inspectors have the potential to claim a percentage of that profit margin, as approximately 80 percent of home buyers will choose to protect their future investments by ordering a home inspection. Most home buyers are more than willing to pay for a professional home inspection, which can potentially save them thousands of dollars and a lot of time on repairs.

When you become a home inspector, you become an integral part of the real estate transaction. Imagine how rewarding it would be to show up at your job with a huge welcome and appreciation from your clients. You’ll work to build relationships with real estate agents, and home owners will respect your decisions and rely on your assistance.

Deciding what you get paid and knowing your worth is part of the satisfaction you get by owning your own business. Start earning what you deserve and invest in your future; learn more about starting your own home inspection franchise with National Property Inspections or Global Property Inspections. If you have further questions about the home inspection industry, territories we have available or owning a franchise, please contact Julie Erickson, director of franchise sales, at julie.erickson@npiweb.com.

Looking for a Real Estate Career? How About Home Inspection?

Agent With Couple_shutterstock_134479676Real estate is an exciting industry, which is why it appeals to many people. It’s an industry you can enter as a first career or as a second career. As you’ve been exploring real estate careers, you may have found several areas that interest you based on your skills, interests and income requirements. For example:

  • Real estate agent or broker
  • Real estate appraiser
  • Home remodeler
  • Home investing or flipping
  • Property manager
  • Mortgage loan officer
  • Termite or pest inspector
  • Home inspector

All of these are great opportunities. But have you considered the last one on the list — home inspection? Regardless of your background, education or current skills, home inspection can be a rewarding career that offers exciting new challenges.

Home inspectors usually own their own inspection businesses or work for a locally owned business. To become an inspector, first determine whether your state has certification or licensing requirements and what those requirements are.

You’ll undoubtedly need training, and that is available through a number of sources. If you want to start your business independently, you can find training through a number of home inspection schools or even at your local community college. Most states that require certification or licensing also require a certain number of hours or inspections in the field as part of your training. You’ll also need to join a home inspector organization, such as the American Society of Home Inspectors (ASHI) or InterNACHI.

When you become a home inspector, you’ll work with real estate agents and clients to perform visual, noninvasive inspections on new and existing homes. You’ll look for safety hazards, incorrectly installed components, structural defects and more. You’ll be on the go most days, and you’ll be physical in your job.

Part of starting your own home inspection business means developing business, sales and marketing plans; setting up a website; finding report-writing software; and so much more. For this reason, many people who enter the home inspection industry choose to do so by purchasing a home inspection franchise. With a franchisor, the hard work is already done for you, and the franchisor provides the classroom training you’ll need, as well as sets you up with one of their other franchise owners for ride-along or field training. You’ll also receive ongoing technical and marketing support, website support and high-quality report software.

National Property Inspections and Global Property Inspections have been helping people transform their lives as they become home and commercial property inspectors for nearly 30 years. If you’re interested in a career as a home inspector, and a home inspection franchise sounds like an opportunity for you, click here to visit our U.S. franchising site or click here to visit our Canadian franchising site.

Millennials Hit the Housing Market in 2015

By Bill Erickson, Executive Vice President, NPI/GPI

Couple + Agent_shutterstock_189904160National Property Inspections and Global Property Inspections franchise owners/inspectors are doing more first-time home buyer inspections than ever before. One explanation is the improving job market and economy. The other reason is demographics.

The National Association of Realtors (NAR) expects that 2015 will turn out to be a big year for millennials becoming first-time home buyers. Most buyers move into their first homes when they’re between the ages of 25 and 34. This fits the demographics of millennials, and their sheer numbers should drive demand for more home sales.

Also priming the first-time buyer market are easier terms for obtaining a mortgage, including a Federal Housing Administration (FHA) mortgage. The FHA — which is part of the U.S. Department of Housing and Urban Development (HUD) — insures the loan, so your lender can offer you a better deal. An FHA mortgage offers three advantages for first-time home buyers:

  1. Low down payments
  2. Low closing costs
  3. Easy credit qualification

For example, your down payment can be as low as 3.5 percent of the purchase price.

Ask your local bank or mortgage company for more information about FHA mortgages. You can download a free guide to FHA mortgages titled “FHA Home loans 101” at http://www.fha.com/.

Another tip for first-time home buyers: Make your home purchase contingent on a home inspection. This should be a clause in your real estate purchase agreement so that if you aren’t comfortable with the findings of the inspection or with what the seller is willing to repair, you can walk away from the deal with your earnest deposit refunded.

Fly South for the Winter: Real Estate Investment Is up in Southern States

Classic House_shutterstock_112335221Year-end data compiled by Local Market Monitor, the national real estate forecaster, and HomeVestors of America reveals that the hottest markets for investment property sales are in the southern United States. That means good business for property inspectors in that region. Texas, North Carolina, Tennessee and Florida top the list of best investment property markets.

“The real estate markets that made the top 10 list for investing were chosen based on population growth and it’s near cousin, job growth — both conditions ideal for investing in single family homes,” said Ingo Winzer, president and founder of Local Market Monitor. “In all of the top 10 markets, the populations increased by more than double the national average of one percent.”

Click here to read the full article.