Do I Need a Termite Warranty?

Termite Mound

You’re buying a house and wondering, do I need to get a termite warranty?

Why do I need a termite warranty?

Termites are here to stay in Georgia. The question isn’t will you get termites, but “when” will you get termites. Termites can eat away at the wood and framing of your home. They swarm in warm weather and and when they are swarming they can do significant damage. Putting a termite warranty in place on your home will give you peace of mind. It’s a sort of insurance policy against problems that may arise.

How does a termite warranty work?

A termite warranty may be put in place on a home once the property has been treated to either prevent termites, or attract them away from the house with a baiting system. There are two types of termite warranties 1) a re-treatment warranty, and 2) a re-treatment and repair warranty. A re-treatment warranty pays for your termite company to come back and re-treat the property if termites are present. A re-treatment and repair warranty pays for the termite company to re-treat if termites are present, and to repair any damage termites have done to the structure. Obviously, a re-treatment and repair warranty is the one you want!

How much does a termite warranty cost?

An initial chemical treatment for termites costs in the neighborhood of $1,000 to $1,300. These treatments typically last for 10 years, then must be paid for again and re-applied. Annual fees for a re-treatment and repair warranty with a chemical treatment in place are in the $125-$200 range. A baiting system can be installed for $600-$800. The baiting system is a one-time permanent installation in your yard. The annual fees for a re-treatment and repair warranty with a baiting system are in the $300-$350 range.

Do I need a termite warranty before I close on my home?

A good Realtor® will explain more about termite warranties and help you decide whether to ask the seller to provide you with one, or to purchase one yourself after you own the home. Providing a termite warranty used to be a customary seller concession in our Atlanta real estate market, but with low inventory levels, and buyers competing for the best homes, it isn’t a given anymore. Your Realtor® will guide you on the best approach. Either way, I recommend having a termite warranty put into place immediately after you take ownership of the home.