Low Price is a Race to the Bottom

Home Watch services are changing. It is essential to see the true value of the services. At the time of this writing, in 2025, it has become clear that economic conditions have changed since 2006. So, we must adjust Home Watch pricing  plans to fit these new realities. 

This blog discusses why Home Watch companies, especially those led by Home Watch Academy graduates, should update their pricing from 2006 standards to better fit today's economy, where sixty dollars is the new norm instead of forty.

Understanding Inflation's Impact on Home Watch Service Pricing - Value of $40 from 2006 to 2025

$40 in 2006 is equivalent in purchasing power to about $62.62 today, an increase of $22.62 over 19 years. The dollar had an average inflation rate of 2.39% per year between 2006 and today, producing a cumulative price increase of 56.55%.

This means that today's prices are 1.57 times as high as average prices since 2006, according to the Bureau of Labor Statistics consumer price index. A dollar today only buys 63.877% of what it could buy back then.

The inflation rate in 2006 was 3.23%. The current inflation rate compared to the end of last year is now 2.89%. If this number holds, $40 today will be equivalent in buying power to $41.16 next year. The current inflation rate page gives more detail on the latest inflation rates.

How about some perspective?

If you’re already running a Home Watch business, let’s have an honest conversation about pricing. When I started my Home Watch business back in 2006, I charged $40 per visit in a $15 to $20 world! At the time, $40 was fair and reasonable for the service I was providing. But here we are in 2025, and I’ve been shocked to see that some Home Watchers are still charging $40 per visit—or even less!

Let’s put that into perspective:

• $40 in 2006 is worth about $62.62 today.
• That’s a 56.55% increase in costs over 19 years, thanks to inflation.
• A dollar today only buys about 63.9% of what it could back then.

Think about it—if you’re still charging $40 in 2025, it’s like accepting $25.56 in 2006 dollars. Can you imagine running a sustainable business on that?

Keep in mind that $60 to $65 per visit is a starting price for a two bedroom/two bath home.  Rates increase based on the size of the home and complexity of household equipment.  Many Certified Home Watch Reporters serve a variety of homes; some priced up to $200 or more per visit.

The Forward-Thinking Pricing Strategy for Home Watch Services Fees

Diane established the Home Watch company in 2006. She chose to set the service price at $40 per visit. This rate was higher than the $15 to $20 range offered by other companies at that time. Her decision was not just about raising prices; it was about understanding the valuable services her company provided and making sure the pricing reflected that. Diane's approach emphasized the idea of valuing her services and considering the expenses needed to maintain top-notch service quality.

The Cost of Stagnation

Let's look ahead to 2025 and beyond, where the economic scene has evolved quite a bit. Holding onto Home Watch Service pricing strategies from 2006 might not be the best choice now. It's tough to sustain. Setting prices from over a decade ago in today's world isn't the best for your business. It can lower the quality and worth of what you offer. It's like a downward spiral that doesn't help anyone. Showing the worth of your services lets you set reasonable prices that match today's economy without facing pushback just because of the cost.

The Home Watch Academy Edge

Graduates of the Home Watch Academy who become Certified Home Watch Reporters possess the education, resources, and certification necessary to understand and convey their value effectively. This comprehensive training ensures they are confident in their pricing strategies, recognizing that $60 per visit in 2025 is not merely an adjustment for inflation but a testament to the quality and dependability of their services.

Conclusion: Embracing the New Standard

The increase in Home Watch Services fees from $40 to $60 per Home Watch visit is more than just a price change. It represents a positive step forward in how Home Watch services see themselves in the market. This adjustment shows that the services provided are valued and helps ensure that the business can thrive while being fair to everyone. 

Graduates of the Home Watch Academy, who are Certified Home Watch Reporters, can be proud of this pricing approach, which highlights their commitment to quality backed by their training, tools, and certification. In 20245, $60 to $65 is the new standard, and it's an exciting time for the Home Watch industry to embrace this update.

Author:  Diane Pisani, Proud Founder - Home Watch Academy

BONUS:  Click onto the photo to be directed to the Amortization Calculator