PEST INSPECTIONS:

What is a pest inspection?  Why is one needed when I buy or sell a home?  Are they expensive? 

 pest inspection is one type of inspection for a home that is generally conducted by a licensed pest control company during the purchase or sale of a home.   

This inspection is usually conducted by a company located in Sacramento or other cities that is that is licensed in California under the Structural Pest Control Board.

A pest inspection is used during the sale or purchase of a home to determine whether there are wood destroying infestations in areas of the house that are inspected.  But even homeowners who are not planning on selling can have an inspection done to see if there are areas of damage to their home.  The pest report does not guarantee that all areas are free of or contain an infestation due to the fact that certain areas may not be accessible to the inspector. 

There are many types of wood destroying infestations that can affect a wood constructed home.  And, remember, even if your home has stucco on the outside, there is plenty of wood underneath the stucco and floors if the house has a raised foundation. 

Some of the more common type of wood destroying pests that I have encountered is termites, dry rot, and beetles.  All three of these can cause significant and costly damage to any home.  And if left untreated, may weaken areas around the foundation such as the “mud sill” and other supporting structural areas. 

Most damaged areas, once spotted, can be repaired by the pest control company, a contractor, and the “do it yourselfer” homeowner.  But I would recommend that you hire a professional to correct any infestation.  Additionally, termite and beetle eradication may need to be treated chemically.  Personally, I have had termite and dry rot repairs done by both, contractors and pest companies.  The only difference that I have found is that one is less costly but may take more time to correct the problem.  But use caution if you use a contractor.  Make sure they can read and interpret the pest report and have the experience to repair the damage.  There are many qualified contractors that can do the repairs but I have also run into a few less than qualified individuals out there.

Are pest inspections required when you sell or buy your home? Generally they are not.  But some lenders may require that a pest inspection is conducted.  Even if one is not required, a prudent buyer should never purchase a home without one.  And sellers should not sell a home without one either.  The pest inspection will disclose conditions of the home that can protect both the buyer and seller.  The buyer will know the condition of the home being purchased and the seller has disclosed a portion of the condition of the home being sold. 

Once the inspection is conducted and areas have been found that have problems, who is supposed to deal with them?  This is dependent on how your Realtor has helped you structure your written purchase contract.  In some cases homes are sold “as is” and the responsibility to repair or not to repair, if this is an option, will be left up to the buyer.  If the purchase agreement has asked the seller to repair the damage, then it may fall on them.  It is based on agreement between the buyer and seller.  But remember that if a pest inspection is called for in your contract, the lender will require that the infestation be cleared before the loan is funded.  

Generally a lender will require the “section 1” portion of the report be cleared.  “Section 1” is an area of active infestation such as dry rot, active termites or beetles and associated damage, among other possible wood damage. “Section 2” items may not need clearance.  These items may be a leaky faucet that has not caused any wood damage yet but most likely will soon.  Or it may include a crack on the stucco which can allow moisture into the wood structure but currently there is not damage to the wood.  Another example is wood that has direct contact with dirt but has no sign of an infestation.  This wood to earth contact can lead to termites and dry rot.  For the most part “section 2” are areas that have the potential to cause damage but are not damaged as of the time of the report.  My suggestion is to repair both section 1 and 2 and be done with it.

Whether the seller or buyer has obtained a pest inspection, it does not mean areas that contain an infestation need to be cleared before you close escrow.  Again, if you are buying a house “as is”, you can elect to repair the items after you close escrow.  However, I would recommend you repair the problem before you move in.  If there are problems with wood members and they do not get addressed, they are only going the get worse. 

These pest inspections are also helpful in determining whether you want to pursue the purchase of a particular property.  I have seen homes with estimated cost for repairs as high as $50,000 and as low $300.  Obviously these are the two extremes.  But I do know that most pest companies will find something. 

For the seller, it will give you an advanced knowledge of damage to areas of your home which you can then elect to repair to make your home more marketable and attractive to buyers.  Or you can just disclose it to buyers and wait to negotiate the repairs if is not being sold “as is”.

Pest inspections are not very costly.  Companies that I have been using lately have ranged between $95 and $150.  This is extremely cheap when you consider the information you will get out of one of these reports.

 Remember; do not mistake a pest inspection for a home inspection.  These are two separate, distinct and very useful inspections and reports and neither one is a substitute for the other.

I do have some negatives about pest companies.  Most of them are extremely over priced when it comes to the repair of wood damaged areas.  I have also seen two companies used on the same house; both companies find similar areas of damage but they are priced thousands of dollars apart.  Also, a lot of the work that the pest companies do require building permits which they never get.  But the current or future home owner can get a permit and tell the pest company that they will be getting one and they must do their repairs according to building standards.  However, many homes are bought and sold with the pest repairs being done without permits and the work is done well.   Use your own discretion when making this decision.  If there is going to be foundation or major repair work, you may want to ensure permits are used for your own safety.  I am not suggesting doing any work without permits.  Obtaining permits is the right thing to do.  Check with your particular pest company that you plan to use, or better yet, call your building planning department and ask them what is required in your area.

The positive thing about using a pest company is that most of them come in and do repairs extremely quick and, if you need a pest clearance for the lender, they will generally give you the clearance and will not charge for a re-inspection.

As a buyer, you do not have to accept the sellers’ pest report.  You certainly can obtain your own.  But if the seller has already had one performed, there should not be any reason not to accept it.  This will certainly be up to the discretion of the buyer and the guidance you will receive from your Realtor.

Again, I want to stress, never purchase a home without a pest inspection.  Most of the time the damaged caused by wood destroying pest are not easily visible.  This is why you need a professional to spot damaged areas.

When you elect to have a pest inspection done, you may want to ask them for proof of liability and workers compensation insurance.  You may want to ask the company how long have they been in business and whether they have their own crew to do the repair work or if they contract it out.  You can even ask them how the long the inspector that is coming to home has been doing inspections.  Most of the time these things are taken for granted and we just hire a company, rely on the inspector, and have the company fix the problem because it is the simplest thing to do.  If your Realtor has been working with a particular company for awhile, they may have some assurance of their abilities, experience and knowledge.  But always rely on yourself first.  Do your research!

The value of a qualified inspection and report can be an immeasurable asset to any current or future homeowner.  As possibly one of the largest financial investment any of us will make in our lifetimes, our homes need qualified inspection to allow us to make logical decision in the purchase, maintenance and repair of our investments.  Pest inspections fall into the category of a vital inspection of your home.  And although the cost of purchasing a home can amount very fast, do not let the cost of the inspection or the fear of what may be found during the inspection deter you from getting one. 

Happy house buying/selling!