I'm looking at a property with termite damage where the listing explicitly says that the home will not qualify for bank financing because of termite damage. I'm fine with repairing it and selling it, if the numbers work. But I'm unclear what type of certification the property will need so that I can sell it to someone who would get financing. Anyone know what needs to happen? Is it as simple as having a clear inspection report from a termite company?
You will have to get a clear termite inspection. The termite company will fix the damaged area. First this is what you will need to do
1. Get an Inspection
2. Get an estimation of the damaged work
3. Find out how much it will cost to repair the damage
4. Get it repaired and repainted (see how much it will cost for total rehab of this)
5. Get the certificate in hand and you are clear to resellit
Note: It would be great if the listing agent had all of this info, but you more than likely will have to do alot of the legwork yourself
Hard money may finance this, just depends on the numbers
Good Luck to you!
Thanks for the reply Gerald! A couple of follow ups?
1) Does the termite company have to repair the damage or can you get another contractor to repair?
2) I assume the "certificate" comes from the termite company because they are certifying it to be termite free? (Will they not issue the certificate if they were not the ones to do the repair work?)
Join the Largest Real Estate Investing Community
Basic membership is free, forever.