Your contract may or may not require a termite letter. Most lenders do not require a termite letter but some still do. Whether required or not, it is a good idea to have your house checked to ascertain whether there is active infestation. The cost of a termite letter is sometimes as little as $50.00. Remember, if you have a due diligence period, you should obtain a termite letter before its expiration. If not, you are buying the property “as is.”
If there is an existing termite bond on the house, this can usually be transferred from the seller to the buyer. Please check with the termite company involved for charges, renewal dates, prorations and coverages. Termite bonds generally cover the cost of retreatment in the case of termite infestation. Some bonds go further to cover the cost of repairs for the damage done. Check with your termite company to see what precise coverages your policy provides.