Obvious termite infestation - How to proceed?

[TMG]

Facia has termite tunnels everywhere, tenants complaining of termite droppings in garage.

I'm thinking subtracting a cost to cure from value (estimated tenting cost and estimated cost of new facia) + Making appraisal "Subject to" a termite inspection.

Any thoughts???

thank you.

 

[Russ Kitzberger]

If it is a lending appraisal of the fee simple value, it would be necessary to utilize similar comparables, as is, and that would reflect market reaction be to the condition.

If this is a lending project; Practically speaking, the lender probably doesn't want a loan on the property with that condition. Contact the client/lender and see if they want it "subject to" either the repair or termite inspection. Sounds like it will likely need to be subject to the repairs. In that case, The value opinion should reflect the as repaired condition.

 

[glenn walker]

You do not do a cost to cure because you have no idea what is involved- YOU SIMPLY check the YES box under infestation and state in your report that you observed evidence of infestation, dry rot damaged wood etc. NOW the lender, will require an-inspection by a licensed termite inspector and if there is any work they will complete it and provide a clearance to lender. AND YES the value is reflected as a repaired condition. And NO you do not look for other comparables with termites : ) LMAO

 

[TMG]

You do not do a cost to cure because you have no idea what is involved- YOU SIMPLY check the YES box under infestation and state in your report that you observed evidence of infestation, dry rot damaged wood etc. NOW the lender, will require an-inspection by a licensed termite inspector and if there is any work they will complete it and provide a clearance to lender. AND YES the value is reflected as a repaired condition. And NO you do not look for other comparables with termites : ) LMAO

The infestation "yes" box is under the foundation heading? I'm only talking facia/eaves.

House is small 1008 sf. I googled fumigation tenting costs, facia replacement costs, painting costs....then doubled it. With a disclaimer I'm not an expert in these fields, actual costs may vary, and if they do, I reserve the right to change the appraisal.

Also a disclaimer that a termite inspection could reveal add'l damage and costs, and if so, I reserve the right to change the appraisal.

Subtracting cost to cure $15k on the sales grid, then valuing low end of the range due to deferred maintenance. Subject to termite clearance.

Will it fly?

 

[Dublin ohio]

Will it fly?

Maybe by the seat of your pants.

 

[Terrel L. Shields]

I'm thinking subtracting a cost to cure from value (estimated tenting cost and estimated cost of new facia) + Making appraisal "Subject to" a termite inspection.

NO NO NO - inform them of the infestation and ask the lender how they want to proceed. Many would simply drop out now.

I'm only talking facia/eaves.

Termites originate in the ground. They have chewed through from the ground, and they are likely in every wall stud between the soffits and ground...I testified in court twice over a termite infested house. I flagged the soft floors and did not offer any C2C nor estimate of repair or even value. It looked perfectly livable except the floors were soft. When the termite company certified it, they were sued. The second termite company opened up walls and the little buggers had eaten well up into the second story. In the end, the house was demolished and a manf. home replaced it.

 

[TMG]

Ok. Calling AMC.

 

[Tom Woolford]

So, TMG, are these Drywood or subterranean termites> They have vastly different repair costs. I know the answer just by your post. If you don't. Call the client. Subject to is indicated.