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Why Realtors Should Only Refer Licensed Moving Companies

As a moving and storage company deeply rooted in San Jose, CA, we here at All Reasons Moving have built our reputation primarily through referrals, especially from our realtor partners. We appreciate each referral that comes our way because it is a testament to our service. However, there is a growing concern that needs to be addressed— the practice of realtors recommending unlicensed movers.

Realtors are trusted advisors in the home buying and selling process. A part of this role often involves recommending service providers, from home inspectors to movers. However, it is crucial that these referrals are made with due diligence. Recommending unlicensed moving companies not only undermines this trust but also exposes clients to significant risks.

Remember just because someone has a pretty website doesn’t mean they are operating legally and if they are licensed, they still could have a bad reputation. Always do your due diligence. Just this week I talked to three different clients that had been referred to unlicensed movers by their realtors. 

The Risks of Unlicensed Movers:

  1. Lack of Accountability and Insurance: Unlicensed movers typically do not have the necessary insurance to cover damages during a move. If something goes wrong, the homeowner is often left out in the cold with no recourse. Moreover, without proper licensing, they are most likely not following any industry standards or regulations.
  2. Potential Legal and Financial Liability: If an accident or injury occurs during the move, the homeowner could be held responsible. Unlicensed movers most likely are not providing worker’s compensation, leaving the liability with the homeowner. A lot of the unlicensed movers are simply paying cash at the end of the day to day labor helpers.
  3. Quality and Reliability Concerns: There’s often a reason why some choose to bypass the licensing process. It might be to avoid the scrutiny that comes with background checks or costs associated with proper equipment and training. This often results in poor service quality and unreliability.

 

Why Licensing Matters: Licensed movers are regulated and required to meet specific standards designed to protect consumers. These include maintaining adequate insurance, adhering to safety standards, and undergoing regular inspections. Licensing serves as a baseline of professionalism and competence, which realtors should want to reflect in their referrals.

The Role of Realtors: As gatekeepers of trust, realtors should ensure that their referrals uphold the standards expected in other areas of the real estate process. Just as a realtor would not recommend an unlicensed electrician or plumber, the same standard needs to apply to movers. By referring to the Bureau of Household Goods, realtors can verify the licensing status of any moving company, ensuring that they are recommending a legitimate and reputable service.

Moving Forward: We urge all real estate professionals to consider the implications of their referrals. By only recommending licensed and insured movers, you safeguard not only your clients’ belongings but also their peace of mind and your professional reputation. If it hasn’t happened yet it’s only a matter of time before a Realtor gets sued for referring an unlicensed moving company to an unsuspecting client. 

Let’s work together to maintain high standards across all services related to the real estate process. Your clients trust you to guide them through one of the biggest transitions in their lives—let’s ensure every part of that process is professional.

For a legal licensed Professional Moving Company contact All Reasons Moving at 408-240-0244. Based in San Jose, California All Reasons Moving handles Local, Long Distance and International Moving.

 

Bureau of Household Goods

https://bhgs.dca.ca.gov/enforcement/lookup.shtml