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Termite Inspection - no warranty

I am a seller with a contract with a buyer in the state of MD. The contract and settlement are contigent upon a termite inspection. The buyer paid for the inspection and it was arranged by the buyer's agent. The termite inspection took place and the inspector said that everything looked fine in my house and he could not find termites. However, the inspector said that he could not give a termite warranty to the buyer because he found that the outside of my house looked like it had inactive treatment. I guess he meant that he could not tell when my house was last treated outside for termites. I have NO receipts or paperwork to show any past treatment. What should I do? Do I as a seller have to pay for the treatment before closing?
 
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Jerry, Just Looking in 20020 in 20020
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Naima Sumner was FIRST TO ANSWER
Are you referring to the required certificate or that the termite company will warrant their inspection for a year? Did the termite company provide the certificate that states there was no active infestation and that there was evidence of prior treatment? Check the wording in your contract. If it has wording that the house should be "delivered free of termites,.." then that should suffice if the termite company provided the certificate.. If you are referring to a one year warranty, there are some companies (like Terminex and Orkin), WILL NOT give a one year warranty unless they treat the house. Unless your contract states that YOU will give a one year warranty for termites, it is an issue between the buyer and the company they selected. However, many companies will give a certificate and warranty for a year if they find no active infestation whether or not they note prior treatment.. Discuss this with your listing agent and he/she should have a company that will inspect your house and give the certificate, possibly with a one year warranty. The inspection should only cost $50-60. You should not have to pay for treatment unless active infestation or damage was noted or if there is no company that will give a certificate..

Tue May 13 2008, 19:12
 
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Jerry, word of advice if you would like to make sure you are going to settlement table, call a Treatment company to come and certify your home! As a seller, you have to minimize the buyer’s uncertainty; otherwise, buyers will see it as a huge issue and think this is not for me! Goal is to change their mindset and pay from own pocket. I suggest contact Terminix or Orkin Company for an estimate or certification of clear termite!

Cheers,

Reza Khodadad
Real Estate Consultant

Mon Mar 17 2008, 09:21
 
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Are you working with an agent? If so, you are hopefully using the official contract for your area. Unless you are using some different contract, You can check the National Pest Management Association guidelines, but normally they report 1) No evidence of infestation, 2) Live insects 3) dead insects 4) damage. Paragraph 18 of the Maryland Association of Realtors contract covers this. It addresses current infestation, and prior damage. If there is no current infestation there is nothing to treat, and if there is no damage there is nothing to repair! Stick to the contract. However, in this market, if a few hundred dollars gets your house sold........... Good luck!

Fri Feb 22 2008, 20:41
 
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FIRST ANSWER
The termite certificate gives a choice to put there is "evidence of previous termite infestation but none that is active". That should be sufficient. If he does that and the buyer is getting a home warranty with termite coverage, if they come back that warranty will cover it.

Are they wanting you to do a preventative treatment?

Mon Feb 11 2008, 22:01
 
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