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While each agent and inspector has their own way of navigating the home inspection process, this part of the transaction has largely remained the same over the past several years. Now, however, a company called Majordomo, founded in 2017 in Corvallis, Ore., is looking to change how consumers and agents think about home inspections.
The company states it typically takes two to 12 hours over three to seven days to get through the inspection, which, they say, does not leave a lot of time for negotiations. Majordomo proposes their report—the Domoreport—which is based off the inspector’s report, can help shorten this time and streamline the process.
“It is no secret that the second half of the home inspection is stressful. Homebuyers’ stress rises not knowing the significance of the defects found, how much the repairs will cost and will they close on time.” said Majordomo Co-Founder and COO James Furlo in a statement. “Real estate agents spend from two to 12 hours over three to seven days chasing estimate and repair data from overworked contractors. Sellers are on edge wondering what is wrong with their house, how much will it cost to fix and will their deal even close.”
How It Works
Once the agent or buyer has received the home inspection report, they can upload it to the Majordomo platform. From there, Majordomo analyzes the report, gathering repair details and estimates and delivering it back to the user within 24 hours. The agent and buyer can then use that data in their inspection negotiations.
What the Report Includes
Each Domoreport platform includes neatly categorized sections: Domoreport, Domoscore (in beta testing), Home Inspection, Documents and Explore.
Domoreport: Provides an overview of the inspection, including the date the inspection occurred, what the weather conditions were, who performed the inspection, the real estate broker and the property address. In addition, the repairs summary includes a breakdown of the total number of repairs—categorized by priority and if it is a cosmetic repair—as well as the estimated cost. A spreadsheet lists each repair by type (Inside, Mechanical, Outside, etc.) and includes the cost estimate, the contractor type, the page number for the inspection report and the priority level.
Domoscore: A credit score for the home’s condition, it rates several areas and systems on a color-coded system that ranks as one of the following: Excellent, Very Good, Good, Fair and Poor
Home Inspection: The entire document that was provided by the inspector, with an interactive left-side index that allows users to quickly find specific data
Documents: An area to store the home inspection as well as any other supporting documents
Explore: A list of local programs, tools and services, as well as real estate-related education
Using a “My Repairs” tool, users can create a custom list of their requested repairs, which can then be shared with several emails (the seller and listing agent) to be used in the negotiations process. Users can also add contributors to the report, which can be helpful for including spouses, children or real estate agents in the process.
While the report is extensive and provides deeper insight into what a home may need in terms of repairs, agents or buyers may be wary of paying the $199 price for the added step. As many inspection companies already provide their report within 24-48 hours, the Domoreport could actually lengthen negotiations in some cases. And because the repair data is estimated, buyers will still need to do their due diligence to get quotes from local contractors or risk extending the negotiation process with sellers who are suspicious of trusting Majordomo’s estimates, especially in cases where buyers ask for credits rather than repairs.
Additionally, the Explore option provided in the sample Domoreports does not provide sufficient information related to repair services—what buyers would find the most useful. Rather, it largely links out to moving guides and other types of educational resources.
While the Domoreport adds another step to the process, however, it may also help organize the negotiations process to ensure everyone is on the same page. Through email negotiations, with copy-and-paste requests, agents run the risk of misspeaking on behalf of their clients.
Liz Dominguez is RISMedia’s senior editor. Email her your real estate news ideas at email@example.com.