Termite infestations affect 600,000 homes annually in the US. Over 500,000 VA home loans were closed in 2022, with approximately 70% mandating termite inspection.
The current estimated termite infestation rate is 33%. Regions with humid climates, like the Southeast and Southwest, experience higher infestation rates. In Florida, nearly 50% of homes experience termite problems.
Getting a termite inspection not only saves your home from future hazards but also promotes affordable housing practices. Furthermore, termite inspection can also help you prevent environmental damage.
Facts On VA Loan Termite Inspection🐜
- Termite inspections have an expiration date. The department of Veteran Affairs considers reports valid for only 90 days.
- The examination is mandatory regardless of a property’s location, if there are signs of damage in appraisal report.
- States like Alabama, California, and Florida have strict termite inspection requirements for VA loan.
What Is a VA Loan Termite Inspection?
A VA loan pest inspection is a crucial step during the home-buying process. A qualified inspector checks for termite infestations in the exterior and interior areas, including attics and crawl spaces.
These silent destroyers can cause extensive harm to homes and significant financial problems for homeowners. Termites cause an estimated $5 billion in property damage in the United States every year.
What Is a VA Loan?
A VA loan program provides home loans to veterans and their families. But before you get approved for the VA loan, you must take up a termite inspection of the house you wish to buy.
Getting VA pest inspections can safeguard prospective homebuyers from making an unwanted move.
Why Do You Need a Termite Inspection?
Termites cause more damage to homes than fires, earthquakes, and storms. The impact of termite damage extends beyond the financial realm, affecting the structural integrity of a home.
Here are some of the common reasons why you should opt for a termite inspection:
- Early Detection: If your home has a history of termite infestation, you must take early precautions to prevent further damage.
- Improved Resale Value: Boost your home’s value by showcasing a termite-free inspection report when selling.
- Insurance Requirements: Some states mandate termite inspection reports for insurance coverage, which protects your home in the future.
- Better Lifestyle: Regular inspections ensure a termite-free home, providing peace of mind and worry-free living.
How Does VA Loan Termite Inspection Work?
A VA loan termite inspection involves a comprehensive examination of the property by an independent VA appraiser. Over 90% of homebuyers use VA pest inspection services, which emphasizes their widespread recognition in the real estate market.
The termite inspectors meticulously examine various areas of the property, including the foundation, crawl spaces, and wooden structures. The goal is to identify any signs of termite activity to ensure compliance with regulatory standards.
How Much Does a VA Loan Termite Inspection Cost?
The national average for termite inspection ranges from $75 to $150. You need to factor this expense into your budget to ensure a comprehensive assessment of the property’s termite risk.
It’s crucial to understand the regional variations in inspection costs. Also, expenses can differ based on factors such as location and the extent of the inspection required. The lender, realtor, or seller can cover the inspection cost.
Requirements for VA Loan Termite Inspection
The requirements for the pest inspection for VA loans depend on the specific guidelines set forth by the Department of VA.
However, some commonly followed requirements are:
- Pest Inspection Clause: Your purchase agreement needs a termite inspection clause. It’s key to your VA loan approval.
- Licensed Professional: The inspection is allowed to be done only by a licensed termite inspector, following rules as per state regulations.
- Completion of VA Form 26-8923: The lenders fill out an official report, detailing any damage found in the results of the inspection.
- Visible and Accessible Areas: The inspector should have access to all areas of the property. This includes basements, crawl spaces, attics, and the foundation.
- Termite Activity and Damage: The inspection report should indicate the presence or absence of termite activity. After finding the infestation, you must opt for the treatment and repairs.
- Timeframe: The termite inspection is conducted within a specified timeframe. Usually, it is done around the closing date, to keep everything up-to-date.
» VA Loan Inspection Requirements: Read to know more.
How Long Is a Termite Inspection Valid for a VA Loan?
The validity of a termite inspection is a crucial consideration for homebuyers. Typically, termite inspections are valid for about 90 days. Understanding this timeframe is essential for purchasing the home effectively.
The one-year validity ensures the inspection’s current status. Homebuyers should consider this and coordinate with sellers to finalize purchases to meet VA loan requirements.
When Should You Schedule a Termite Inspection?
A termite inspection should be done in the following situations:
- Before Real Estate Transactions: Inspections are generally undertaken before buying or selling a property information and negotiation.
- Every 1-3 Years: Regular inspections, even without visible signs, aid in early prevention. Increase frequency for high-risk areas or older homes.
- After Detection of Early Signs: Promptly schedule inspections if early termite signs are noticed to avoid extensive damage.
Exceptions for VA Loan Termite Inspections
While most VA loans require a termite inspection, there are exceptions. Differences in regions and specific U.S. regulations may impact the necessity for the examination.
Prospective homebuyers should know these exceptions to navigate the VA termite inspection process effectively. Being aware of location or property-type considerations helps streamline the transaction.
Bottom Line
Termite inspections for VA loans are crucial, given the annual $5 billion termite-related property damage in the U.S. These inspections, costing between $75 to $150 on average, help detect issues early.
Understanding all the above-mentioned requirements allows you to take proactive measures and purchase a home successfully.
Frequently Asked Questions
Who pays for VA pest inspection?
The buyer, seller or lender can pay for the pest inspection for a VA loan.
How long is a termite inspection good for?
For non-conforming loans, termite inspections are generally valid for at least 90 days.
How do the termite inspection requirements differ by state?
The requirements are the same for almost all the states except some including Colorado, etc.
