Is it unusual in seller to pay for termite inspection? (CA) (2014, agent)
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I didn't think to question this when I prepared our buyer's offer on a house in S. CA, perhaps because I'm inexperienced at this, as I assume many home buyers are.
But it is unusual for the seller to pay for the termite inspection?
That's the way my buyer's agent (in whom my confidence is not all that high for other reasons) wrote up the contract.
The sellers certainly are not paying for the home inspection.
Q1: Why would they do so for the termite inspection?
I looked up the company which our buyer's agent wrote into the contract, by name, on YELP. Mixed reviews. Some good some not. Average of 3 stars. One of the few recent ones lambasted the inspection company because termites were discovered in nine areas just a few months later, when the buyer owned the place and called in a different pest control company to deal with ants.
Q2: Should I ask to hire another termite inspector where YELP offers tons of good reviews?
An aside: My home inspector is scheduled for Friday at 8:30AM, which I told my agent back on Wednesday. I'm flying out to be on hand for this.
When I queried my buyer's agent to learn when the termite inspection was happening, he replied on Friday at 9AM. Just 30 minutes difference. Strange that he would get this scheduled when the home inspector was ALSO there.
Get your own termite inspection for the sake of piece of mind if nothing else. The cost is trivial in the grand scheme of things.
PS. I don't think it is strange to schedule the inspections at the same time. That is probably more for the convenience of the agent who has to come out and let them in and also for the owners who don't have to vacate the house twice for different inspections.
I'm in the process of selling my house and the agent scheduled the pool inspection and home inspection at the same time for that reason.
Common sense would suggest that if I pay the $125 termite inspection fee, vs the seller, that I'd be more likely to avoid putting the inspector into a conflict of interest situation.
Hence I wonder why my buyer's agent was so quick to write into our offer the name of the company and that fact that seller would pay.
If this is the norm in Southern CA, then well OK. But if not, then I'll ask for my own termite inspection as rational1 suggests. $125 is worth some peace of mind.
Just have your agent amend contract to you paying for it, and inspector of your choice. The poster that stated on va loans the buyer cannot pay for it, was correct. The buyer does pick the company though.
And most goodcagentscwill try to schedule all inspections close to the same time, to avoidvinconveniencing buyer and seller with multiple appts/visits.
What does the contract say- I think its item 7 on page 2 of the RPA (2014)? If it is already stipulated for one party or the other then that's that I guess-if not then ask the seller to pay.
The structural pest industry is regulated by the state and they kind of exist in a state of conflict of interest. Often the inspector is paid a percentage of the fee and/or a percentage of the work performed (commission)- the company tells you the condition of the building, they tell you the cost, they perform the work, and they sign off that it is done correctly!!
Choose a local, established company with a great reputation for being thorough! You can anonymously call a few RE companies and ask who is the most thorough in the area for instance. It may seem like the seller would be inclined to hire a lackluster company,but, that company would be risking their license by doing a lackluster job.
It's pretty customary here for the buyer to ask the seller to pay for the termite inspection, and to clear section 1 items (wood damage, active infestation, etc). Once repairs are made and clearance given, the inspection company can be on the hook for 2 years if other damage is found. I have yet to find a company that glosses over issues. Just the opposite as most of them also have repair divisions or subcontractors, and they want the business...
I always recommend to my sellers to get the inspection and clearance before listing so there aren't any surprises.
There used to be a section of the contract that had the pest inspection and who paid (buyer or seller) but that was taken out on the current version which changed I think in November.
Many home owners in CA have termite contracts with pest control companies. They come out every year, inspect and treat for a set price and are responsible to repair of damage after the second year of the contract.
That is likely WHY the seller identified a company--it is the one with the long term contract for his house.
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