The Importance of Standards of Practice in the California Home Inspection Industry

• Informed Decisions: For home buyers, the existence of standardized SOPs means they can trust the inspection reports they receive. For instance, if a buyer in San Francisco is purchasing an older Victorian home, the InterNACHI SOP would guide the inspector to assess the unique structural elements of such properties, potentially identifying issues like foundation cracks or outdated electrical systems that could cost thousands in repairs.
• Safety and Health: CREIA’s emphasis on safety checks, such as inspecting for carbon monoxide leaks or ensuring proper ventilation, directly impacts the health and safety of future residents. This was evident in a case in Los Angeles where an inspection following CREIA standards revealed a dangerous gas leak, preventing a family from moving into a hazardous environment.

• Credibility: Realtors partnering with inspectors adhering to these SOPs can assure their clients of a professional service. ASHI’s rigorous standards, for example, give real estate agents in markets like San Diego the confidence to recommend inspectors, knowing that the reports will be thorough and legally defensible.
• Efficiency in Transactions: With standardized reports, Realtors can quickly identify and address issues, expediting the closing process. An example is when an inspector in Sacramento followed the InterNACHI SOP, providing a detailed report that allowed for a swift negotiation on repairs before closing, benefiting both buyer and seller.

• Risk Mitigation: Investors, particularly those dealing with multiple properties, benefit from the predictability and thoroughness of inspections conducted under these SOPs. A CREIA-certified inspector in Orange County might uncover termite damage in a property, enabling an investor to negotiate a lower price or opt out of a potentially bad investment.
• Portfolio Management: For investors managing a portfolio, having inspections done to ASHI or InterNACHI standards ensures that all properties are evaluated consistently, aiding in maintenance planning and property valuation.

• Preventing Financial Loss: In one real-life scenario, a CREIA inspector in San Jose identified that the sewer line was severely compromised, saving a buyer from a significant post-purchase repair cost.
• Supporting Negotiations: An InterNACHI inspector in Fresno found that the HVAC system was nearing the end of its life, information that was pivotal in negotiating the purchase price down or securing a credit for system replacement.
• Ensuring Compliance: ASHI standards helped a Realtor in Oakland when an inspection revealed non-compliance with local building codes for a property’s electrical system, allowing for corrective actions before the sale was finalized.