Termite Damage, Home Inspections And Real Estate

Checking for termite damage is a part of every real estate transaction. The listing agent or seller schedules the inspection, and has to have all the termite inspection reports to the buyer within seven days after acceptance of offer. If the buyer is getting a mortgage the lender will require a clear termite report.

Most real estate purchase contracts include a clause covering wood-destroying pests and organisms. A wood-destroying pest report is loosely referred to as a "termite report" in the residential real estate industry. The specifics will vary from one contract to the next. A standard clause will usually indicate who -- buyer or seller -- will order and pay for a wood-destroying pest report and who will pay for needed repairs.

Termite damage, no matter how small it may be, is never good for a home.  During a real estate inspection, if any termite damage is found, it will affect the outcome of the home.  If you are the homeowner you will have to contact the exterminator to take measures to get rid of them. If you are selling your home, in most cases the buyer is told that the seller will fix the problem.  This is why a termite inspection is required at closing.  This problem may delay the closing or stop the closing completely.

It is important to check the damage to the structure as a result of the termite infestation.  In the more severe cases, damage to the structure can by very costly. If you are purchasing a home the last thing you want is to move into a home that you know has been treated for termites, only to find the structure to be in very bad shape. Even if the termite report comes back negative there may have been prior incidents that resulted in structural damage. Any visible sign of wood decay or damage will need to be repaired.

While some damage may be visible, there are other types of damage that may seem invisible to the naked eye.  To find out just how bad the damage is, carpets and rugs will need to be lifted, furniture and appliances moved, walls and ceilings will need to be opened, and even some types of excavation may be needed.  This is the only way to tell the extent of the damages, especially in cases of termites.  If you don’t inspect every area of the home, you could be moving into a home that has severe structural damage - which can cost you thousands to repair.

Destructive and invasive testing can cost you an arm and a leg, although you’ll need to have it done if you suspect termites or know for a fact that the home was treated for them.  To protect yourself, you should always get a treatment and repair history before you purchase the home.