Is a termite inspection required when purchasing a home in California? The short answer is: it depends on your loan type. California state law does not mandate termite inspections for all home sales. However, most lenders require one before approving your mortgage, and VA loans always require a termite inspection in California.
Whether you’re a first-time buyer or a seasoned homeowner, understanding these requirements protects your investment. This guide breaks down exactly when you need a termite inspection and why it matters.
When Is a Termite Inspection Required by Law?
California does not have a state law requiring termite inspections for every property sale. The California Structural Pest Control Board regulates pest control companies but does not mandate inspections before selling a home.
However, that doesn’t mean you can skip one. Most situations still require a termite inspection through other channels:
- Lender requirements: Banks and mortgage companies typically require inspections
- Loan type mandates: VA, FHA, and some conventional loans have specific rules
- Buyer contingencies: Buyers can require an inspection as part of their offer
- Seller disclosure: Sellers must disclose known termite problems
So while the state won’t force you to get an inspection, your lender almost certainly will.
Is a Termite Inspection Required for VA Loans?
Yes. The U.S. Department of Veterans Affairs requires termite inspections for all VA home loans in California. The entire state falls within the “moderate to heavy” termite infestation zone, making inspections mandatory.
VA loan requirements include:
- A Wood Destroying Organism (WDO) inspection by a licensed professional
- An NPMA-33 form documenting the findings
- A clear Section 1 report showing no active infestations
- Treatment and repair of any issues before closing
If termites or damage appear on the report, the problems must be fixed before the VA will approve your loan. The inspection report stays valid for about 90 days.
Since June 2022, VA borrowers can pay for their own termite inspections. Previously, sellers had to cover this cost in most cases.
Is a Termite Inspection Required for FHA Loans?
FHA loan requirements are less strict than VA loans. The Federal Housing Administration does not automatically require termite inspections for every purchase.
However, FHA inspections become mandatory when:
- The appraiser notices signs of termite activity or damage
- The property is in an area known for termite problems
- Evidence of past infestations appears during the appraisal
California’s warm climate makes it a high-risk termite area. Because of this, most FHA loans in Riverside and Southern California end up requiring an inspection anyway.
If termites appear on the report, treatment and repairs must happen before the FHA will approve financing.
Is a Termite Inspection Required for Conventional Loans?
Conventional loans have the most flexibility. Each lender sets its own requirements, so the answer varies.
Many conventional lenders require termite inspections in California because of the high termite risk. Others leave it up to the buyer. Even when not required, most real estate agents strongly recommend getting one.
Ask your lender directly about their termite inspection policy before you get too far into the process.
What Does a California Termite Report Include?
California uses a standardized Wood Destroying Pests and Organisms (WDO) Inspection Report. Every licensed pest control company must use this same format, making reports easy to compare.
The report divides findings into sections:
Section 1: Active Problems
Section 1 items include:
- Active termite infestations
- Fungus or dry rot infections
- Damage from wood-destroying organisms
- Any condition requiring immediate treatment
Lenders typically require all Section 1 items to be cleared before approving a loan. This means treatment and repairs must happen before closing.
Section 2: Conditions Likely to Cause Problems
Section 2 items include:
- Earth-to-wood contact
- Excessive moisture
- Faulty drainage or grade levels
- Conditions that could lead to future infestations
Section 2 items are not immediate threats but could become problems later. Lenders sometimes require these to be addressed, depending on severity.
Section 3: Inaccessible Areas
Section 3 notes any areas the inspector could not examine. This might include:
- Blocked crawl spaces
- Inaccessible attic areas
- Areas behind walls or under flooring
Further inspection may be recommended to examine these hidden spaces.
Who Pays for the Termite Inspection?
Payment for termite inspections is negotiable between buyers and sellers. California law does not assign this cost to either party.
Common arrangements include:
- Seller pays: Traditional in many California markets
- Buyer pays: More common with VA loans since 2022
- Split costs: Sometimes negotiated in competitive markets
The cost of a termite inspection in California typically ranges from $100 to $200. Official Section 1 clearance letters may cost an additional $75 to $100.
Treatment and repair costs are also negotiable. Buyers and sellers often negotiate who handles these expenses as part of the purchase agreement.
Why Get a Termite Inspection Even When Not Required?
Even if your lender doesn’t require an inspection, getting one protects your investment. Here’s why smart buyers always request one:
Termite Damage Is Expensive
Termite damage repairs can cost thousands of dollars. Catching problems early—before you buy—lets you negotiate repairs or adjust your offer price.
Termites Hide Well
Termites work silently inside walls and under floors. You won’t see damage until it becomes severe. A professional inspection reveals hidden problems.
California Has High Termite Risk
Riverside and the Inland Empire have both drywood and subterranean termites. The warm, dry climate creates perfect conditions for year-round termite activity.
Peace of Mind
Knowing your new home is termite-free lets you move in with confidence. The small cost of an inspection is worth avoiding major surprises later.
What Happens If Termites Are Found?
Finding termites during a home purchase doesn’t have to kill the deal. You have several options:
Negotiate repairs. Ask the seller to treat the infestation and repair any damage before closing. This is common practice in California.
Reduce the purchase price. If the seller won’t make repairs, negotiate a lower price to cover your future treatment costs.
Request a credit. The seller can provide a credit at closing for you to handle repairs yourself.
Walk away. If damage is severe and negotiations fail, you can back out if your purchase agreement includes a termite contingency.
At Southland Pest Control, we provide detailed termite inspections that meet all lender requirements. Our licensed inspectors examine every accessible area and provide clear, comprehensive reports.
How to Prepare for Your Termite Inspection
Help your inspector do a thorough job by preparing the property:
- Clear items away from walls in the garage
- Provide access to the attic and crawl spaces
- Move stored items in closets near exterior walls
- Unlock any gates or side yards
- Remove items blocking the foundation
A typical inspection takes 30 to 60 minutes, depending on the property size.
Protect Your Investment Before You Buy
Now you understand when termite inspections are required in California. VA loans always require them. FHA and conventional loans often do too. Even when not mandatory, a termite inspection is one of the smartest investments you can make.
At Southland Pest Control, we’ve provided termite inspections for Riverside homebuyers since 2007. Our detailed reports meet all VA, FHA, and conventional lender requirements. We identify problems early so you can make informed decisions about your purchase.
Buying a home in Riverside? Contact Southland Pest Control today to schedule your termite inspection. We provide fast turnaround times to keep your escrow on track.
Call us at (951) 653-7964 or fill out our online form to get started.
