A lot of times it comes down to conflict of interest. They are hired by the agent who is only interested in selling the home and getting the commission.
Even when they aren't, finding a reputable one who will actually do a good job is extremely difficult. Most are just looking to run through a house as fast as possible and collect their fee. There isn't some directory of problems they've missed. As far as I know there isn't any way to recover costs from them over issues that they missed and caused you to buy a home that you would not have given the problems. This makes them quite prone to being a rubber stamp and yet another fee for home buyers.
You're correct that if they have a conflict of interest, they are definitely useless.
Don't hire the agent's inspector. Likewise, make sure you have your own agent, don't use the seller's. And if you're in court someday, don't expect one lawyer to represent both parties. Simple stuff.
It's similar to buying a car: don't ask the dealer's maintenance department whether it's a good car. Drive it to your independent mechanic on the test drive and ask them to take an unbiased look at it.
If you don't know a reputable home inspector, you could ask your painter, contractor, or handyman if you have a good relationship with someone who knows houses to take a look.
You can and absolutely should hire one yourself. Additionally, if you have a buyer's agent, don't make the mistake of using theirs either -- the buyer's agent has the same conflict of interest that the seller's does, despite the fact that in most cases they have a fiduciary responsibility to you, the buyer.
Another complication to be aware of: Inspectors can face "blackballing" by banks or realtors if they scuttle too many deals by finding bad things. If you find an independent inspector, don't balk at paying a little more -- they may need it to make up for business lost from being honest.
> Additionally, if you have a buyer's agent, don't make the mistake of using theirs either -- the buyer's agent has the same conflict of interest that the seller's does
Not exactly. Real estate agents do care about repeat business and referrals.
> As far as I know there isn't any way to recover costs from them
My home inspector had a 1 year warranty on anything that he tested in his report. Does that mean the company will cover all damages or buy the property from you, no; but it is a small disincentive to be a rubber stamp.
I bet you would find that his report is worded carefully to not include anything that would be expensive to repair.
And really, the most expensive repairs are on things you can't see. Wiring. Plumbing. Damage to the structure of the house.
Even then I wouldn't be surprised if they tried to weasel out of for example your roof started leaking 2 months after you move in. The inspector will point out that there was no water damage when he inspected it so the issue developed after the inspection.
Sure, but do you know which one is going to do his job properly? This is knowledge that very few personal home buyers have. Professional house flippers/real estate speculators might have guys they know, but shopping around as an individual there is precious little information available on how good a particular inspector is.
Even when they aren't, finding a reputable one who will actually do a good job is extremely difficult. Most are just looking to run through a house as fast as possible and collect their fee. There isn't some directory of problems they've missed. As far as I know there isn't any way to recover costs from them over issues that they missed and caused you to buy a home that you would not have given the problems. This makes them quite prone to being a rubber stamp and yet another fee for home buyers.