Termites. Termite-ridden homes must be treated and re-evaluated for VA loan approval. … And even if a pest inspection isn’t required in your state you’ll still have to have an inspection completed if the appraiser finds evidence of termites on the property.
Also to know is, are termite inspections required in Virginia?
First of all, termite inspections are not a requirement by VA in all states, but the inspection must take place in states where termites are prevalent. The Southeast U.S. is a prime area for termites plus other wood-destroying pests.
One may also ask, can a veteran pay for termite repairs on a VA loan?
The only exception to the requirement is a VA Interest Rate Reduction Loan (VA IRRRL). VA IRRRL’s do not require a termite report. While a Veteran is not allowed to pay for the inspection on a purchase, they can pay for the pest inspection on a VA refinance loan.
Can VA borrower pay termite inspection?
While termite and pest inspections can be required, the VA in most cases does not allow the borrower to pay for it in all but nine states. That may change in the coming years, but for now it’s a consideration that lenders, real estate agents and home sellers contend with, usually with little fuss.
All homes are unique. While borrowers cannot waive VA appraisals the VA will consider requests to waive MPR repairs under three conditions. The request is signed by the Veteran borrower. The lender agrees with the Veteran’s request.
Do conventional mortgages require a termite inspection? Conventional loans are mortgages offered by lenders without a government guarantee. These lenders may make a termite inspection a condition of approving your loan because termite damage can reduce the value of the home and affect the amount you can borrow.
No. While most home inspectors are qualified to inspect and identify termite activity, the two inspections are distinctly different and serve different purposes. Also, in every state, the licensing for home inspectors and termite inspectors is different.
If you’re refinancing your home with a VA Streamline, a pest inspection won’t be required unless the appraiser makes note of any wood-destroying organism or pest problems.
Veterans and military members can use a VA loan to buy a property that relies on a private well or some other non-public water source. Connection to a public water system is not required. But lenders will need to verify the water meets health and safety requirements before you can close on the loan.
One very important thing to remember is that on all VA and FHA loans section two items must be resolved before the funding of the loan. Section two (2) items are as mentioned previously areas that might attract an infestation to any wood structures like it is in the areas where an excessive moisture condition exists.
If you are using a VA (Veteran Affairs) loan to purchase a property or refinance an existing mortgage, the VA may require that the property have a termite inspection for the mortgage process. Any property purchased with a VA (Veterans Affairs) loan must meet the VA’s minimum property requirements.
A termite inspection will average about $100 and range anywhere from $50 to $280. This inspection is usually free when not tied to a home sale. Termite and home inspections are usually separate, though often bundled together.
VA Cash Out Refinance Requires a Termite Inspection!
Any VA loan for a purchase or refinance, other than an IRRRL, requires a satisfactory termite inspection report. … This report checks for wood destroying pests, wood damage, and moisture issues. If issues are found, they must be corrected.
Termites may go undiscovered in your home for a long time unless you know the small signs to look for. That’s why having a termite inspection every 12 months is the best way to protect your investment. Termite inspectors will look for insects and organisms that destroy wood (not just termites, but wood borers too).
A termite report is a document provided by a licensed home inspector or pest control company that details their findings after an inspection. These reports reveal whether or not the inspector found any evidence of unwanted guests in your home.
Termite: Section 2
This is when the inspector notes potential damage to an area. If it is not treated or repaired in the near future, it can become a Section 1 item. These areas are considered hotspots and generally refer to where termites can flourish or elements that can cause wood damage.
VA guidelines state that the termite inspection has to be paid for by “some party other than the veteran.” This could be the lender, realtor, or even the seller if so negotiated.
Many sellers — and their real estate agents — don’t like VA loans because they believe these mortgages make it harder to close or more expensive for the seller.
Lenders will not fund a loan until they receive a statement from a licensed contractor and, if any structural damage does exist, proof that it has been repaired.