Homeowners are sometimes approached by pest control companies selling "termite insurance." In one case, we heard a proposal that, "For about $400 per year the pest control company would place monitors around the house and inspect them every 90 days." In the event that they found evidence of termite activity, they would apply a termiticide (a poison for termites). If termites entered the house, the extermination would be covered under the "insurance". They further warned the homeowner that the cost of termite treatment without the insurance would typically run around $1,600.

My main concern when I hear proposals like this is that I don't think the pest control company is looking out for your best interests. For the cost of $125, you can have your home inspected for termites and all other wood destroying organisms. We deal with pest control companies and pest control reports regularly in our real estate business (almost every seller has to provide the buyer with a pest control report). Only occasionally do the inspectors find evidence of active termites.

According to our sources and experience, when termites are found, a spot treatment costing around $250 is usually sufficient to take care of the problem. So, the figure of $1,600 to treat termites seems deceptive (a scare tactic). Even a full treatment will be much less than $1,600 in most cases.

Here are my recommendations. First, find a pest control company that will look out for your best interests. Of the many reputable pest control firms available, we have had good experience with and recommend two local companies. Have one of them perform an initial pest control inspection that will reveal any termite activity and other wood destroying pests that may be at work. In the unlikely event that termites are found, ask if a spot treatment is appropriate. If not, authorize the full treatment if recommended. If you are worried about termites, have a termite inspection done every year or two. This approach should provide adequate vigilance and save you money.

1

1

484

$110,000

$90,000

3

2.5

1895

$332,000

$300,000

4

1.5

1498

$175,000

$160,000

3

2.5

1901

$327,000

$315,000

2

1

752

$169,000

$164,000

3

2

1833

$314,900

$319,900

2

1

1265

$209,900

$180,000

4

2

2127

$334,500

$320,000

2

1

992

$199,900

$190,000

4

2

2098

$378,000

$320,000

3

1

1031

$215,000

$215,000

3

2

1887

$319,900

$323,400

3

1

955

$249,000

$220,000

3

2

1675

$339,000

$324,000

3

1

1144

$249,000

$223,000

3

2

1675

$329,900

$327,500

3

2

1487

$239,000

$230,000

5

3

2174

$329,000

$329,900

3

1

1380

$237,000

$235,000

4

3

2138

$369,900

$330,000

3

2

1232

$249,000

$240,000

5

3

2692

$442,500

$330,000

3

2

1008

$274,900

$245,000

2

2

1849

$389,000

$335,000

3

1

1221

$249,000

$248,000

4

2

2033

$339,000

$339,000

2

2

1256

$249,900

$249,900

3

2

2421

$365,000

$340,000

3

2

1341

$280,000

$252,650

3

2

2134

$374,900

$345,000

3

2

1400

$305,000

$257,000

3

2

1813

$349,000

$349,000

3

2

1353

$277,500

$259,000

4

3

2450

$399,900

$370,000

2

2

1072

$260,000

$260,000

4

2.5

1836

$494,000

$380,000

3

2

1600

$299,900

$275,000

3

3

2616

$435,950

$425,500

3

2

1542

$308,900

$275,000

4

2

1936

$595,000

$430,000

3

2

1466

$279,900

$279,000

3

2.5

2088

$460,000

$435,000

4

2

1549

$295,000

$281,500

5

4

2795

$455,289

$458,879

3

2

1853

$355,000

$289,000

5

4.5

2795

$462,024

$469,353

3

2

1824

$319,000

$295,000

4

2.5

2783

$499,000

$489,000

2

1

1101

$289,000

$295,000

4

3.5

3455

$550,000

$495,000

4

2

1684

$315,000

$296,500

4

3.5

3181

$789,000

$550,000