The IAFST Submits Formal Request For Industry NAICS

For decades, the Mortgage Field Services Industry has operated without a proper classification under the North American Industry Classification System (NAICS). The professionals who handle occupancy inspections, property securing, lock changes, debris removal, winterizations, and maintenance for foreclosed properties have been forced to operate under misclassified NAICS codes — often lumped into unrelated categories like landscaping, facilities management, or construction. Today, that changed. The International Association of Field Service Technicians (IAFST) has formally filed for an Industry NAICS and the documents are below. The application is located here.

This lack of recognition has led to unfair pay structures, an absence of reliable industry data, and restricted competition, allowing a handful of large corporations to dominate the space while sidelining independent contractors and small businesses. The creation of a dedicated NAICS code, 238360 — Mortgage Field Services — would provide critical protections and economic benefits to the industry’s workforce, ensuring fair compensation, transparent tracking, and an open, competitive marketplace.

One of the most urgent issues facing mortgage field service professionals is stagnant and inconsistent pay rates. Unlike many other trades, field service workers do not have a standardized pay scale, and contractors often operate under non-negotiable, subpar rates dictated by large national companies.

Without a NAICS code, wage data is not properly tracked, making it impossible to establish industry-wide fair pay standards. By contrast, industries with their own NAICS codes (such as plumbing, electrical work, or HVAC services) have structured prevailing wages that ensure fair compensation for labor.

A new NAICS code would:

• Enable wage standardization by providing economic data to support fair labor rates.
• Ensure cost-of-living adjustments by allowing government agencies to track earnings and inflation impacts.
• Prevent underpayment and wage suppression by requiring transparency in contractor payment structures.

Right now, there is no clear way to challenge the low and often delayed payments that plague the industry. Creating a dedicated NAICS classification would allow for government tracking of average pay rates, helping labor advocates push for better compensation.

Another major challenge in mortgage field services is the lack of industry-wide data. Because service providers are misclassified under multiple unrelated NAICS codes, the government does not accurately track:

• The number of businesses operating in the industry.
• The total revenue generated by mortgage field services.
• The number of workers and their earnings.
• This lack of transparency benefits large corporations while keeping contractors in the dark about industry trends and pay standards.

A new NAICS code would change that by ensuring:

• Clear reporting on industry size and economic impact.
• Better wage data for contractors to negotiate fair pay.
• Proper classification for SBA loan eligibility and small business programs.

Without proper data, field service professionals are excluded from important economic policies and government funding. The new NAICS code would give workers a voice by documenting their contributions to the economy.

The current misclassification of mortgage field services allows a handful of large corporations to control the industry. Without a dedicated NAICS code, federal agencies and banks default to awarding contracts to national firms that claim to represent the industry — while the actual work is performed by independent contractors at unreasonably low rates.

A new NAICS code would level the playing field by:

• Allowing small businesses to compete for direct contracts instead of being forced to subcontract under low-paying national firms.
• Enabling industry-specific certifications and business registrations that help independent contractors win work.
• Encouraging new businesses to enter the market, leading to fairer pricing and competition.

Right now, large corporations take advantage of the ambiguity in NAICS classification to keep contracts locked up among a few key players. A dedicated NAICS code would break this monopoly and allow small businesses to win contracts directly from banks, mortgage servicers, and government agencies.

The mortgage field services industry has existed in the shadows for far too long. The lack of a proper NAICS code has resulted in stagnant wages, hidden industry data, and restricted competition—all of which harm the workers and small businesses that sustain the industry.

Creating NAICS 238360 – Mortgage Field Services & Foreclosure Property Preservation is the logical step toward. Here are the characteristics we submitted:

Proposed NAICS Code:
238360 – Mortgage Field Services

Industry Definition & Description
The Mortgage Field Services Industry provides critical property preservation, security, and maintenance services for vacant, abandoned, and foreclosed properties. These services are required to maintain housing market stability, prevent urban blight, and ensure compliance with municipal regulations.

Services performed under this industry include:

Initial Occupancy & Condition Inspections – Assessing whether properties are occupied and reporting damage.
Property Securing & Lock Changes – Installing new locks, lockboxes, and securing vacant properties.
Winterization Services – Draining plumbing systems, applying antifreeze, and preventing freeze damage.
Debris Removal & Trash-Outs – Cleaning out foreclosed homes of abandoned items and hazardous materials.
Handyman Repairs & Maintenance – Performing minor property repairs, roof tarping, and plumbing fixes.
Lawn Care & Exterior Maintenance – Mowing lawns, trimming shrubs, and snow removal.
Municipal Code Compliance & HOA Violation Resolution – Addressing code violations and ensuring compliance with local ordinances.
Eviction Support & Personal Property Management – Coordinating legal property removals and storage.

Justification for a New NAICS Code:
The Industry Lacks Proper Classification

Mortgage field service providers are currently forced to use inaccurate classifications such as:

561730 — Landscaping Services (covers lawn care but not property securing or inspections)
561210 — Facilities Support Services (intended for property management, not foreclosure services)
238990 — Other Specialty Trade Contractors (too broad, failing to distinguish foreclosure services)
541350 — Building Inspection Services
561720 — Janitorial Services
561730 — Landscaping Services
561110 — Office Administrative Services
531311 — Residential Property Managers

This results in misleading industry data, difficulty in securing appropriate business licenses, and barriers to government contracting opportunities.

Significant Economic Contribution

The mortgage field services industry plays a vital role in stabilizing communities by maintaining and securing distressed properties.
The industry services thousands of properties annually across the U.S., contributing to real estate recovery, tax revenue stabilization, and job creation.
Many professionals in this field are small business owners, subcontractors, and independent contractors, making an industry-specific NAICS code critical for SBA and federal program eligibility.

Alignment with NAICS Classification Principles

The 238XXX series covers specialty trade contractors, which accurately represents the security, preservation, and repair services performed. A distinct NAICS code would allow for better data collection, labor market analysis, and economic reporting specific to foreclosure-related property maintenance.

Conclusion & Request

Given the unique functions, economic impact, and growing necessity of the Mortgage Field Services Industry, we formally request that the NAICS Review Board establish:

NAICS Code: 238360 – Mortgage Field Services

We respectfully request consideration of this petition in the next NAICS revision cycle and would be happy to provide industry data, case studies, and additional supporting documentation as needed.

And finally, the formal documents submitted:

The Official Request

 

The Justification Analysis