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Termite Reports. Get caught with your frame exposed!

By
Services for Real Estate Pros with Escrowcoord.com

Termite 

Last week, I discussed the different types of Section 1, Section 2 and Further Unknown Damage in a termite report. This week, as promised, I wanted to talk about open frame inspections and how they can affect your buyer AND seller!

If the inspector is aware that someone else will be doing the repairs on the termite report, he/she will call for an open frame inspection. You will typically see this on items that have the sentence "If further damage is found, a supplemental report and bid will be issued."

If you are having the termite companyperform repairs, no problemo! They will look behind the damaged wood and check for further damage during the course of their repairs.

However, if you have hired another contractor or the homeowner is to perform repairs, the contractor/homeowner must first remove the rot. THEN call the termite company to perform an open frame inspection to ensure there is no further damage. AFTER the open frame inspection, the contractor/homeowner can put everything back together!

What is the advantage of an open frame inspection?

Let's start with an example. The termite company has called Section 1 damage to a bathroom floor.  The contractor (or homeowner) rips out the flooring (let's say linoleum) and underlayment that is damaged.

Now that the framing/wood underneath is exposed, it's time to call the termite inspector to re-inspect the area to confirm;

a.) All the rot/damage has been removed and

b.) That there is no further damage to the framing or wood underneath the sub-floor.

This protects the buyer by ensuring all the rot has been removed and if further damage was found, that it was removed as well.

Yes, the inspector will need to come out a second time and charge to re-inspect if further damage is found. He needs to visually verify that all damage has been removed!

No, he cannot rely on a "promise" by the contractor/homeowner that they will remove the damage as soon as he leaves! (Don't get angry-This is the protocol the company must follow in order to keep their license!).

The seller is protected by ensuring the buyer won't come back 4 months later complaining the sub-floor in the bathroom is sagging due to damaged framing.

If the contractor or homeowner covers the framing with new sub-floor BEFORE the inspector has had a chance to perform an open frame inspection, he cannot give a full certification of the area.  This could create funding problems if the buyers and sellers had agreed to section 1 clearance!  

OK listen up folks!  For those clients who insist on doing the work themselves, or hiring a local handyman, in California, the purchase agreement contract states that any work performed must be completed with good workmanship and any necessary permits. When is a permit required? Check your local building inspection website. You will be surprised at what work requires a permit!

If you found this topic fascinating, be sure to register for my 1 hour live webinar on Understanding Pest Control Issues Monday March 24th 1:00-2:00 pm PST. You'll learn how to read a report, deadly sentences to look for, plus client letters that explain termite issues step by step!