POSITION
STATEMENT
SASHI (South African Society of Home Inspectors)
SASHI maintains that
where regulation is determined to be advisable for the protection of public
health, safety or welfare, any laws regulating home inspection should include
standards of practice and a code of ethics, and should require proven
experience, continuing education and demonstrated knowledge through passage of
a psychometrically valid examination.
Since SASHI is of the
opinion that a need for regulation is present in
We believe that the
SASHI Model Legislation provides the best starting point for national
legislative uniformity and consumer protection.
The Model reflects standards that have worked well in the market place
in the
A
BRIEF HISTORY OF SASHI AND ITS MEMBERSHIP REQUIREMENTS
The American Society
of Home Inspectors, Inc. (ASHI) is the oldest and largest non-profit
professional associate of, and for, home inspectors. Since its formation in 1976, ASHI’s Standards
of Practice have served as the home inspector’s performance guideline,
universally recognised and accepted by professional and government authorities
alike. ASHI has provided the groundwork for SASHI in
SASHI Members are
independent professional home inspectors who have met the most rigorous
technical and experience requirements in effect today. To become a SASHI Member, an inspector must
pass two written tests, including the Home Inspectors Examination, and have
performed a minimum of 10 professional fee-paid inspections conducted in
accordance with the SASHI Standards of Practice. Members are also required to follow the Society’s
Code of Ethics, and to keep current with the latest in building technology,
materials and professional skills.
SASHI Members ascribe
to a professional Code of Ethics that prohibits them from engaging in
activities that may compromise their objectivity. Even the appearance of conflicts of interest
is strictly prohibited. A Member will
not accept anything of value from those who are involved in the sale of a
property other than the fee for services, and SASHI Members may not use an
inspection to solicit repair work related to the inspected property. SASHI’s Code of Ethics is a consumer’s best
assurance that the home inspector is working in the best interest of the
consumer. In the majority of
transactions, the home inspector is the only professional participant whose
sole allegiance is to the buyer.
SASHI encourages
inspectors to stay current with industry developments by means of arranging
technical seminars and workshops in cooperation with its members across the
country. SASHI also serves the public
interest by being prepared to provide accurate and helpful consumer information
where possible. If requested, SASHI will
provides information to government about the Society, its Standards of Practice
and Code of Ethics, the home inspection profession and practice, and answers
questions relating to consumer protection.
SASHI is particularly interested in responding to requests for
information and assistance from local authorities (or the government)
considering home inspection regulation as part of the second hand home buying
process. SASHI resources such as model
legislation, statistics and its official position statements are given shared.
POLICY
- SASHI POSITION ON REGULATION OF HOME INSPECTORS
SASHI strives to
become the national voice of the second hand home inspection profession. It is SASHI’s policy to act affirmatively to
influence any legislation or regulation intended to affect the profession,
consumer interests, publicly financed homeownership programs or other programs
allied to the profession.
SASHI demands that any
legislation that seeks to institute regulation of the home inspection
profession require, at a minimum, passage of a psychometrically valid and
defensible technical examination and adherence to professional standards of
practice and code of ethics.
SASHI
POLICY STATEMENTS OUTLINING THE CRITICAL ELEMENTS IN HOME INSPECTION REGULATION
STANDARDS
OF PRACTICE
SASHI contends that
proposed legislation must include clearly defined standards of practice that
inform the public of the systems and components that are to be inspected. The standards should also point out the
limitations of the inspection by identifying any systems and components that
are not to be inspected. Standards of
practice are essential to any regulation that purports to protect the consumer.
The ASHI Standards of
Practice as amended and adopted by SASHI have evolved over a period of 27 years
and are the most widely accepted professional standards. The standards are
periodically reviewed to ensure that they are reflective of changes in the
building industry and home buying process.
Following these standards is a mandatory requirement for SASHI
Members. Any jurisdiction may adopt in
full the SASHI Standards of Practice, and is encouraged to do so. Many states in the
Homebuyers and
inspectors must have an understanding of the scope of inspection services and
the limitations of specific inspections.
Misunderstandings are avoided when the parties understand and follow
through with their contractual responsibilities. SASHI recommends that a negotiated
pre-inspection agreement be signed prior to every inspection.
CODE
OF ETHICS
The public must be
assured that the inspector is independent and has no hidden alliances or
conflicts of interest. Professional
ethics are critical for the home inspection profession. Adherence to a code of ethics will protect both
the public and the inspector from outside influences. Most government regulations include ethical
standards.
SASHI’s Code of Ethics
is intended to ensure that consumers are treated in a fair, impartial and
professional manner. Members are
required to abide by this Code of Ethics.
Any jurisdiction may adopt in full the SASHI Code of Ethics and is
encouraged to do so. In the
REPORTING
STANDARDS
A written report must
be a requirement of any home inspection.
The report should address all of the items that are required by the
Standards of Practice. The report format
may be narrative, checklist or a combination of the two. SASHI stance is that government mandated
report forms, however, would adversely affect the consumer and the home
inspector. A mandated report form
restricts the amount and type of information that can be delivered to a
consumer and, therefore, can be a disservice to those deciding whether or not
to purchase a property. Mandated forms
also harm home inspectors who can differentiate themselves form competitors by
the characteristics of their report. Finally,
nationwide home inspection companies use forms that are appropriate for regions,
exacerbating the limitations of mandated forms.
EXPERIENCE
The consumer must be
assured that an inspector is experienced in inspecting homes. Training in observing and identifying defects
in a building’s systems and components under the guidance and supervision of
experienced inspectors is a proven method of learning to perform
inspections. Training inspections should
include supervised training in inspection standards, procedures and report
writing. The number of required
supervised training inspections should be sufficient to expose the applicant to
a variety of properties and a variety of conditions. A minimum range of between 10 and 50
inspections is recommended.
(One of the
requirements for full membership in SASHI is performance of a minimum of 10
fee-paid inspections in accordance with the SASHI Standards of Practice).
EDUCATION
The general or basic
formal education requirement for any individual desiring to enter the home
inspection profession should be at least a Grade 10 or its equivalent.
To ensure that home
inspectors are knowledgeable, additional education must be an essential part of
any regulation. The education should
include at least distance education and field training. Classroom education is
also recommended. Individuals performing home inspections must demonstrate
knowledge of each component and system of the home. Education must include training in observing
and identifying defects in structural components, foundations, roof coverings,
insulation and ventilation, exterior and interior components, and plumbing,
heating, cooling, and electrical systems.
Education should also include instruction in any region-specific
requirements and business management.
The content of the
knowledge of a professional home inspection training curriculum (as currently
provided by SASHI Training Centre and endorsed affiliates) is available to all
regulatory bodies for scrutiny.
CONTINUING
EDUCATION
The home building
industry is constantly evolving as new materials and techniques are
introduced. Home inspectors must be
aware of these changes. Mandatory
continuing education assures consumers that inspectors are staying current. SASHI requires proof of continuing education
by members to maintain membership and recommends continuing education be a part
of any regulation of the profession.
TESTING
Central to regulatory
and credentialing processes is a valid and reliable minimum competency
examination designed to protect the public – as currently provided by
SASHI. This examination will identify
which individuals possess the required knowledge to perform a home
inspection. The public should be able to
trust the examination as a means by which consumers are assured of competency. Individuals wishing to enter the home inspection
profession must demonstrate that they understand the basics of performing a
home inspection. Rigorous requirements
must be met in the development, administration and governance of the
examination to ensure that a valid, accurate and fair process determines each
candidate’s pass/fail standing.
SASHI endorses a
national Home Inspector Examination as an assessment tool to test competence in
home inspection practice, as determined by recognized role definition
methodology.
FINANCIAL
ASSURANCE AND LIABILITY
The consumer has a
right to expect the home inspector to be financially solvent and the inspector
should be required to provide financial assurance comparable to that which is
required of similar license holders, such as brokers, valuers, engineers,
etc. A home inspector should be able to
limit his/her liability by mutual agreement with the client.
SASHI
MODEL HOME INSPECTOR LICENSING LEGISLATION
This model details the
essential elements for licensing and provides for the creation of an appointed
governing body, or board/council, to administer the law. SASHI encourages state legislators to adopt
this model as a template for drafting new laws regulating home inspectors and
second hand home inspection practices.
The governing body should have no inherent interest in the regulation of
home inspectors. For instance, the
governing body should not be associated with a board governing related
professions such as builders, contractors, or those who sell real estates.
PROFESIONAL
LICENSING ACT MODEL BILL INTENT
It is the intent of
such an act to require the licensing of home inspectors and to assure that
consumers of home inspection services can rely on the competence of home
inspectors, as determined by educational and experience requirements and
testing. In order to protect consumers,
the act should define home inspection, outline the criteria to be licensed as a
home inspector, outline what must be included in a home inspection, define
unethical conduct by home inspectors, and create penalties for prohibited acts.
DEFINITIONS
OF HOME INSPECTION INDUSTRY TERMS
Home
Inspection:
A visual analysis for
the purposes of providing a professional opinion of the condition of a building
and its carports, garages, outbuildings and pool, any reasonably accessible
installed components and systems, including mention of: heating system, electrical system, cooling
system, plumbing system, structural components, foundation, roof covering,
exterior and interior components and site aspects as they affect the building.
Home
Inspector
Any person who is
certified by SASHI regarding second hand inspection of homes to act as a home
inspector and who engages in the business of performing home inspections and
writing home inspection reports.
Home
Inspection Report
A written report
prepared for compensation and issued after a home inspection. The Inspector shall report:
·
On those
systems and components inspected which, in the professional opinion of the
inspector, are significantly deficient or are near the end of their service
lives.
·
A reason
why, if not self-evident, the system or component is significantly deficient or
near the end of its service life.
·
The
inspector’s objective recommendations to correct or monitor the reported
deficiency.
·
Any systems
and components designated for inspection in the Standards of Practice which
were present at the time of the inspection but were not inspected, and a reason
they were not inspected.
Board/Council
A governing
body regulating home inspectors.
Client
Any person who
engages, or seeks to engage, the services of a home inspector for the purpose
of obtaining inspection of, and a written report upon, the condition of a
residential building.
Compensation
Direct or indirect
payment, including the expectation of payment whether or not actually received.
Component
A readily
accessible and observable aspect of a system, such as a floor or wall, but not
individual pieces such as boards or nails where many similar pieces make up a
system.
Readily
Accessible
Available
for visual inspection without requiring moving of personal property,
dismantling, destructive measures, or any action that likely will involve risk
to persons or property.
Residential
Building
A structure
consisting of from one to four family dwelling units.
Significantly
Deficient
A system or component
that is unsafe or not functioning.
System
A combination of
interactive or interdependent components assembled to carry out one or more
functions.
Technically
Exhaustive
An investigation
that involves dismantling, the extensive use of advanced techniques,
measurements, instruments, testing, calculations, or other means.
Board/Council/Governing
Body
The creation of a
possible Home Inspector Licensing Board/Council for second hand property shall
be based upon the following:
The members that are
initially appointed to the board should ideally be SASHI participants and have
been actively engaged in the business of home inspections for at least three
years immediately preceding their appointment.
Powers
and Duties of the Board/Council
The Board/Council
shall have the following powers and duties:
1.
Administer and enforce the provisions of the
proposed Act.
2.
Issue and renew licenses to home inspectors
pursuant to the provisions of the proposed Act.
3.
Suspend, revoke or fail to renew the license
of a home inspector.
4.
Establish standards for the initial and
continuing education of home inspectors.
5.
Adopt and publish a code of ethics and
standards of practice for licensed home inspectors.
6.
Prescribe or change the fees charged for
examinations, licenses, renewals and other services.
7.
Establish rules for acquiring the training and
experience requirements of home inspectors.
License
Criteria
No person shall provide,
nor present, call or represent himself as able to provide a home inspection for
compensation unless licensed in accordance with the provisions of the proposed
Act.
No business entity may
provide home inspection services unless each of the home inspectors employed by
the business entity is licensed in accordance with the provisions of the
proposed Act.
No business entity may
use, in connection with the name or signature of the business entity, the title
“home inspectors” to describe the business entity’s services, unless each of
the home inspectors employed by the business entity is licensed in accordance
with the provisions of the proposed Act.
To be eligible for a
license as a home inspector, an applicant shall fulfil the following
requirements:
1.
Be of good moral character.
2.
Have successfully completed high school Grade
10 or its equivalent.
3.
Have basic computer skills.
4.
Have completed a course of study that covers
all of the following components of a residential building of four units or
less; heating system, cooling system, plumbing system, electrical system,
structural components, foundation, roof covering, exterior and interior
components, and site aspects as they affect the building.
5.
Have acquired the required training and
experience requirements as established by the Board/Council, being 1 year in
the case of a Grade 12 and 3 years in the case of a Grade 10.
6.
Have passed the National Home Inspector
Examination offered by the Examination Board of Professional Home Inspectors
(currently administered by the SASHI Training Centre and endorsed Home
Inspector Training Providers). The examination may have been passed before the
effective date of the proposed Act.
Grandfather
Clause
For the first year
after enactment, to be eligible for a license as a home inspector, an applicant
shall fulfil the following requirements:
1.
Be of good moral character.
2.
Have successfully completed high school Grade
10 or its equivalent.
3.
Have been engaged in the practice of home inspection
for compensation for not fewer than one year prior to
the effective date of the proposed Act.
4.
Have basic computer skills.
5.
Have performed not fewer than 150 home
inspections for compensation.
6.
Have passed the National Home Inspector
Examination offered by the Examination Board of Professional Home Inspectors.
Continuing
Education Requirements
A licensed home
inspector must complete board approved continuing education courses during each
calendar year in order to maintain his or her license.
General
standards of Practice
Inspectors shall
inspect readily accessible installed systems and components of residential
buildings and provide a written report within a reasonable time period.
These Standards do not
limit inspectors from:
1.
Including other inspection services, systems
or components in addition to those required.
2.
Specifying repairs provided the inspector is
appropriately qualified and willing to do so.
3.
Excluding systems and components from the
inspection if requested by the client.
General
Limitations
Inspections performed
in accordance with these Standards of Practice:
1.
Are not
technically exhaustive.
2.
Will not
identify concealed conditions or latent defects.
General
Exclusions
The inspector is not required
to perform any action or make any determination unless specifically stated in
the Standards of Practice, except as may be required by lawful authority.
Inspectors are NOT
required to determine:
1.
The condition of systems or components which
are not readily accessible.
2.
The remaining life of any system or component.
3.
The strength, adequacy, effectiveness or
efficiency of any system or component.
4.
The causes of any condition or deficiency.
5.
The methods, materials or costs of
corrections.
6.
Future conditions including, but not limited
to, failure of systems and components.
7.
The suitability of the property for any
specialized use.
8.
Compliance with regulatory requirements
(codes, regulations, laws, ordinances, etc.)
9.
The market value of the property or its
marketability.
10.
The advisability of the purchase of the
property.
11.
The presence of potentially hazardous plants
or animals including, but not limited to diseases harmful to humans.
12.
The presence of any environmental hazards
including, but not limited to, toxins, carcinogens, noise, and contaminants in
soil, water and air.
13.
The effectiveness of any system installed or
methods utilized to control or remove suspected hazardous substances.
14.
The operating costs or ability of systems or
components.
15.
The acoustical properties of any system or
component.
Inspectors are NOT
required to offer:
1.
Or perform any act or service contrary to law.
2.
Or perform engineering or architectural
services.
3.
Or perform work in any trade or any
professional service other than home inspection.
4.
Warranties or guarantees of any kind.
Inspectors are NOT
required to operate:
1.
Any system or component that is shut down or
otherwise inoperable.
2.
Any mechanical or electrical system or
component unless specifically requested by the client.
3.
Any system or component that does not respond
to normal operating controls (if requested by the client).
4.
Shut-off valves.
Inspectors are NOT
required to enter:
1.
Any area that will, in the opinion of the
inspector, likely be dangerous to the inspector or other persons or damage the
property or its systems or components.
2.
The under-floor crawl spaces or attics that are not readily accessible.
Inspectors are NOT
required to inspect:
1.
Underground items including, but not limited
to, underground storage tanks or other underground indications of their
presence, whether abandoned or active.
2.
Systems or components that are not installed.
3.
Decorative items.
4.
Systems or components located in areas that
are not entered in accordance with these Standards of Practice.
5.
Detached structures other than garages,
carports, outbuildings and pools.
6.
Common elements or common areas in multi-unit
housing, such as sectional title properties or cluster housing.
Inspectors are NOT
required to:
1.
Perform any procedure or operation that will,
in the opinion of the inspector, likely be dangerous to the inspector or other
persons or damage the property or its systems or components.
2.
Move suspended ceiling tiles, personal
property, furniture, equipment, plants, soil, snow, ice or debris.
3.
Dismantle any system or component, except as
explicitly required by the standards of Practice or specifically requested by
the client.
Fees
The Board/Council
shall by rule or regulation establish, prescribe or change the fees for
licenses, renewals of licenses, or other services provided by the Board/Council
pursuant to the provisions of the proposed Act.
The licensing fee
shall be charged to all applicants and renewals in an amount not to exceed that
which is sufficient to defray administrative costs to the state. Any licensing fee shall be comparable to that
charged by other professions.
Persons
not required to be licensed
The proposed law
should apply to anyone performing a home inspection as outlined or defined by
the proposed Act.
Nothing in the proposed
Act prevents:
1.
A person who is employed by a governmental
entity from inspecting residential buildings if the inspection is within
official duties and responsibilities (such as the NHBRC).
2.
A person from performing a home inspection if
the inspection will be used solely by a bank, savings and loan association to
monitor progress on the construction of a residential structure.
3.
A person who is employed as a property manager
for a residential structure and whose official duties and responsibilities include
inspecting the residential structure or performing an inspection on the
structure if the person does not receive separate compensation for the
inspection work.
4.
A person who is regulated in another
profession to act within the scope of that person’s license, registration, or
certification.
Prohibited
Acts
The Board/Council
should have the ability to make investigations or conduct hearings to determine
whether a violation of the proposed Act has occurred.
The Board/Council may
refuse to grant or may suspend or revoke a home inspector license upon proof to
the satisfaction of the Board/Council that the holder has participated in
unfair business practice.
It is an unfair
business practice for a home inspector, a company that employs the inspector,
or a company that is controlled by a company that also has a financial interest
in a company employing a home inspector, to do any of the following:
1.
To perform or offer to perform, for an
additional fee, any repairs to a structure on which the inspector, or the
inspector’s company, has prepared a home inspection report in the past 12
months, except that a home maintenance (warranty) company that is affiliated
with or that retains a home inspection company that is affiliated with or that
retains a home inspector does not violate this section if it performs repairs
pursuant to a claim made under a home maintenance contract.
2.
Inspector for a fee any property in which the
inspector, or the inspector’s company has any financial interest or any
interest in the transfer of the property.
3.
To offer or deliver any compensation,
inducement or reward to the owner of the inspected property, the broker or
agent, for the referral of any business to the inspector or the inspection
company.
4.
Accept an engagement to make an inspection or
to prepare a report in which the inspection itself or the fee payable for the
inspection is contingent upon either the conclusions in the report or
pre-established findings.
Proposed
Registry of Complaints
In lieu of proceeding
with an investigation, the Board/Council may place, in a registry, a copy of a
complaint received by the Board/Council against a licensed home inspector, the
inspector’s response to the complaint, and a copy of any records of the
Board/Council concerning the complaint.
1.
No later than 30 days after the date on which
the Board/Council receives a complaint alleging that a home inspector has
engaged in conduct that is grounds for discipline, the Board/Council shall
provide the inspector with a copy of the complaint.
2.
After receiving a copy of the complaint, the
home inspector may place in the registry a statement describing the inspector’s
view of the correctness or relevance of any of the information contained in the
complaint.
3.
The Board/Council shall make the complaint and
the home inspector’s response to the complaint available to the public.
4.
The Board/Council shall remove all complaints
against and other information concerning a home inspector from the registry if,
for a period of two years form the date of the most recent complaint filed in
the registry, no further complaints have been filed against the inspector.
5.
Unworthy or frivolous complaints shall be
discarded and shall not be retained.
Liability
of Home Inspectors – Proposals
It is proposed that:
1.
An action to recover damages for any act or
omission of a home inspector relating to a home inspection that he or she
conducts can only be commenced within one (1) year after the date that a home
inspection is completed.
2.
Only a client and no other party shall have an
action to recover damages arising from a home inspection or a home inspection
report.
Proposed
Penalties
The Board/Council may,
as a condition of removing a limitation on a license or of reinstating a
license that has been suspended or revoked, do any of the following:
1.
Require the home inspector to obtain insurance
against loss, expense and liability resulting from errors and omissions or
neglect in the performance of services as a home inspector.
2.
Require the home inspector to file with the Board/Council
acceptable security that is in the amount approved by the Board.
Evaluation/Grading
of Proposed Laws Regulating Home Inspectors
NOTE: In June of 2003, the ASHI Legislative
Committee (LGC) evaluated the existing
System for Evaluating
Laws/Regulations Regulating Home Inspectors Procedure:
1.
Review a law, rule or any other regulation of
Home Inspectors for each of the provisions listed on the following page.
2.
Rate if the law is Excellent (3), Good (2), Acceptable (1) or Bad (0) for each provision.
3.
Multiply rating by the weight for each
component.
4.
Add up the numbers resulting from the
multiplication. This total score
reflects the over-all quality of the regulation/law. This number can be compared to the total score
derived after reviews of other local authority’s laws.
5.
Rank each region’s law/regulation based on the
total score received by each province/local authority. The highest score indicates the best
law/regulation regulating home inspectors (the highest possible total score is
123).
Rating
Criteria/Provisions of a Law/Regulation
Education:
Does the
regulation/law include education of no less than 40 hours?
Does the education
include all of the components reflected in the developed body of knowledge?
Does the
regulation/law include education on business practices?
5
points
Experience:
Does the
regulation/law include a minimum of 10 to 50 training inspections?
Does any grand
fathering provision include a minimum number of 100 fee-paid inspections?
5
points
Examination:
Is an examination
required?
Is a psychometrically
valid exam required?
Does the
regulation/law require everyone to pass the exam?
5
points
Standards of Practice:
Are the Standards
substantially consistent with SASHI’s?
Does the regulation/law
describe what must be inspected?
Does the
regulation/law describe what does NOT need to be inspected?
5
points
Prohibited Acts
Is the Code of Ethics
substantially consistent with SASHI’s?
5
points
Definition of Home
Inspector and Definition of Home Inspection
Does the
regulation/law reflect SASHI’s definition of the profession and the
professional?
3
points
Governing
Board/Council:
Who is on the
Board/Council? Home
inspectors and consumers, or others?
What is the Board/Council’s
relationship to other Board/Council’s regulating professions?
(Is the Home Inspector
Board/Council an offshoot of the Builders, Valuers or Real Estate
Board/Institute/Council?)
3
points
Continuing Education
Requirement:
Is continuing education
required?
Is the requirement no
fewer than 10 hours annually?
3
points
Liability:
Does the
regulation/law have reasonable protections for the consumer and the home
inspector?
3
points
Exemptions:
Do exemptions only
apply to individuals practicing their profession?
1
point
Reporting
Requirements:
Is a written report
required?
1
point
Reciprocity:
Does the
regulation/law allow those licensed in other regions/provinces to practice?
1
point
Penalties:
Are the penalties
reasonable?
Do the penalties in
this regulation/law match those for other related professions?
1
point
Note: According to the ranking criteria, the
highest possible score is 123 points
CONCLUSION
SASHI is dedicated to
the protection of the home buying public, home inspectors and the home
inspector profession. SASHI’s position
regarding the regulation of home inspectors is to support law/regulation when
it includes the requirements outlined in the document. Inclusion of these provisions provides
protection to the consumer and to the home inspector. SASHI will work to introduce or change or, if
necessary, oppose legislation that does not contain the minimum requirements.
SASHI will act to
attempt to influence any legislation or regulation intended to affect the home
inspection profession. In addition to this document, SASHI has professional
staff that will respond to requests for information and will review any
proposed legislation that has been introduced in any region or province by
either the government or a local authority.
SASHI Members are
located throughout the country, many of whom have worked and are working
closely with local authorities and the government to enhance the integrity of
the home buying process. Home inspectors
are the only professionals who solely represent the home buyers’ interest in
this very important transaction. The
SASHI Model Legislation provides the best starting point for uniformity and
consumer protection. The Model reflects
standards that have worked well in the marketplace and have proved themselves
over the years in the