I have received additional emails which make this post necessary.


I AM NOT disrespecting any quality abstractors out there that offer a $35.00 price tag.

I was simply noting what my research has shown me based upon 100's of companies that I have worked with, looked into working with or will NOT work with.   I have plenty of FANTASTIC abstracting companies that provide me great turn time - great quality - email - during-the-day-contact method, etc for $35.00.

This was more of a wake up call for those companies that are providing good service but are marking their prices too low.  Nobody SHOULD BE offering an insured current owner product for under $50.00.  Is that realistic at this point, maybe not, but I still believe that is the low-end.

The reality is that searches are now based at a $35.00 rate and anybody trying to get more $ has got to be offering something spectacular.  But from an employer standpoint.  It is very difficult to make any money at $35.00.  It costs money to run a company.  That is something a lot of independents don't understand until they are already in business selling at $35 and can't pay all their bills.  I've seen quite a few companies fold because of this exact short-sightedness.  Only after being in business for 6 months or so do they realize all the costs.

3 searches at $35.00 = $105.00

2 counties about 60 miles @ $.375 per mile = $22.50
Insurance (?$1.00 per order?) = $3.00
The free deeds (5 pgs @ $1.00) = $5.00
Equipment / Supplies (fax, phone line, service fees, toner, paper) = $10.00
Taxes (just social security at 15.3%, you pay both 1/2's) = $15.00

You get paid $105.00 but it cost you $55.50 so you actually get a whooping $49.50.  Oh yeah it takes about 3 hours, so what are you actually left with.

$16.50 / hour

Based upon 1 order per hour you make about $16.50 but what if you are only getting a few orders per day.  You actually have to divide the days net by 8 hours.  If you get 8 orders and make $16.50 you make $16.50 an hour but if you only get 4 orders a day you would actually only be making $8.25 per hour or a little over minimum wage.

It doesn't seem like anything's left over because there really isn't.  You didn't do proper mathematics and research before costing your product at $35.00.  

And you are probably struggling to make it.


Robb, Grand Info, LLC