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Time to Read: 5 Minutes or Less

Routinely, agents confess how little they know about the physical product they sell…(the house). At times, they are embarrassed that they can’t answer client’s questions regarding the physical aspects of the house.

Each publication, you will find helpful comments and pictures to help build your knowledge base. This information is not to make you a home or termite inspector. It’s to increase your core knowledge to make you even more valuable to your client.

 

 

Would you pay $9600 to repair this counter top?

 

An Alameda County apartment buyer almost did.

 

 

NBI was asked to verify the findings of another pest control company.  They had called for the removal and replacement of 12 Formica kitchen countertops similar to the one above.  This is what we found in our investigation.

 

 

The particle board underlayment under ALL of the countertops was stained 2-3" and had just started flaking off.  It was not fungus damaged; it was not structurally damaged; it was still capable of serving its intended purpose. (It wasn't even wet.) There was no need for these counter tops to be replaced....especially in an apartment complex.  Caulking the metal trim strip is all that is needed to prevent this of recurring. 

 

This was a classic example of why it is so important to hire companies that have no vested interest in their findings AND in their corrective recommendations.

 

Remember two very important facts:

  1. Inspection companies that perform corrective work are in the business of performing repairs.  They are simply using their inspections to find repair work. 

  2. BOTH company's corrective recommendations are "legal" under the Structural Pest Control Act. 

  • Company "A" says remove and replace 12 kitchen counter tops.  Cost:  $9600  It's LEGAL! !

  • NBI says caulk and seal the metal trim strips around sinks.  Cost:  Routine Maintenance  This is also a perfectly LEGAL corrective recommendation! !

The net result of NBI's reinspection saved the buyer $20,000 on corrective work that WAS NOT NEEDED!

 

Who do you want inspecting your client's home? 

 

 

Beware of "creative" termite report writing?

 

Inspection reports are a critical part of every real estate transaction. It is very important that you are aware "creative report writing" exists.  Cleverly writing inspection findings can intimate that substantial damage exists and that repair work is required. 

 

Example #1:

Here is the statement made on the countertops mentioned above:

 

3A FINDINGS:  "WATER has penetrated through the Formica COUNTER TOP in the kitchens of units 101,112,201,202,203,205,206,208,212,301,303 and 304."

 

He then continued by recommending the replacement of all these counter tops. 

 

NOTE several very important issues: (1)  He never classified the finding as a Section I or II.   (2)  He never stated there was fungus damage...he said "water" has penetrated through the Formica.  (3)  He never quantified the amount of damage (such as 3 square inches of damage)...he just recommended replacing them.  He led you to believe that the damage was so severe that the counter tops had to be replaced....  (but looking at the pictures above, you know the real story.) 

 

Example #2:

Several weeks ago, NBI was asked to verify findings on another report.  This company reported:

 

1.6 SECTION I:  "The master shower is leaking and there is fungus damage to the subflooring on the right side."

 

RECOMMENDATION:  Remove and replace the shower with a new ceramic tile enclosure and shower pan.  Cost: $3850.00

 

 

The home seller was shocked at the recommendation because the shower was replaced less than two years ago when he had purchased the home.  He asked... "Does the shower really need to be replaced?" 

 

Here is what NBI found:

 

 

You are looking at the underside of the shower.  You see all new subflooring that was replaced two years ago.  The white stuff on the bottom of the drain line is "soap film" from the previous shower leak.  There was a very small leak at the top where the drain line was connected to the shower pan; however, the leak was not touching any of the wood.  (Tightening the drain line will correct this problem.)

 

 

This is on the opposite side of floor joist.  Notice the old water stained subflooring that was not replaced.  The inspector is pointing to an area less than two (2) square inches of fungus damage that was left from the previous repair. 

 

This fungus is dormant because there is no longer any moisture.  The framing member is not structurally weakened and is capable of serving its intended purpose.  It does not have to be repaired.

 

The inspection report intimated that the shower leak AND the fungus damage were inter-related....thereby justifying his corrective recommendation. 

 

If you are ever suspect of a finding or recommendation....ASK QUESTIONS. 

 

NBI provides pictures in all our reports (including our termite reports) so you can see exactly what is taking place. 

 

Learn how to properly interpret ANY termite inspection report

 

I can't emphasize enough the importance of properly interpreting termite inspection reports.  If you mis-advise your client relative to what has to be corrected on a termite report, they could hold you responsible for your mistake.

 

Here are a few very basic facts and rules that can help you interpret ANY pest control report "regardless" of whether they are classified as Section I and Section II.

 

FACTS: 

  • Termite reports are really "Wood Destroying Pest and Organism Inspection Reports"

  • A wood destroying pest is termites and beetles. 

  • A wood destroying organism is fungus. 

 

SECTION I = "Damage or infestation to wood by a wood destroying organism or pest."  (Always remember we are only dealing with wood.....nothing else.)

 

SECTION II = "Conditions that are deemed likely to cause damage or infestations to wood by a wood destroying organism or pest".  (No damage exists.)

 

When reading a report...ask yourself two (2) questions with each finding and you will be able to properly classify ANY finding in ANY report.

 

Question #1:

Is this a description of damage or infestation to wood by a wood destroying organism or pest?   If the answer is YES....It is a Section I call.

 

If the answer is NO, ask yourself the next question.

 

Question #2:

Is this a condition deemed likely to cause damage or infestations to wood by a wood destroying organism or pest?  If the answer is YES....It is a Section II call.

 

If the answer is NO, the comment is purely informational and not a Section I or II.

 

Look at some of your old termite reports and ask these questions on every finding.  You will be amazed at how easy it is to determine whether a finding is a Section I or II. 

 

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Let me demonstrate.....  Here are several findings from the apartment building termite report mentioned above. 

 

3A FINDINGS:  "WATER has penetrated through the Formica COUNTER TOP in the kitchens of units 101,112,201,202,203,205,206,208,212,301,303 and 304."

 

Is this a Section I or Section II call? 

 

The answer is Section II.  He said water has penetrated the counter top.  He never stated there was fungus damage. 

 

-------------------------------------

Here is another finding from the same report.  

 

3P  FINDINGS:  "CAULKING is loose and/or missing.  Location:  Hall bathroom of units 107, 209, 206, 211, 212, 301, 303.    Recaulk these areas with 25 year caulking."  Price $700.00

 

Is this a Section I or Section II call? 

 

Right.....it's a Section II call because loose or missing caulk would be "deemed likely" to cause fungus damage. 

 

------------------------------------

Those were pretty easy....here is one more.  Looking at the shower and reading the finding....determine whether this shower is a Section I or Section II repair item.

 

 

2.2  "The bottom row of tile surrounding the hall shower is loose with several tile falling off.  The sheetrock is substantially damaged and water is discharging into the subarea.  "

 

RECOMMENDATION:  Remove and replace the entire shower enclosure. 

 

Is this a Section I or Section II call? 

 

If you said Section II, you are CORRECT!  Although this shower has obviously failed, it still cannot be legally classified as a Section I based upon the picture or statement made.  Never was there a comment about fungus damage to wood.  Damaged sheetrock does not qualify for wood. 

 

In this case, you would have to read the purchase contract to see who pays for "shower leaks". 

 

Inspection companies that misclassify their findings are in violation of California State Law. 

 

Pull out several of your old pest reports and run through the exercise above.  I think you will be surprised at some of your previous interpretations. 

 

Better yet, why not use an inspection company that has no vested interest in the repairs.  Call NBI for your future inspections.

 

_________________________________

NBI produces the highest quality inspection reports in the industry.   EXPERIENCE THE DIFFERENCE! !

Like these pictures?  We provide pictures in our Home "AND" our Termite reports.  Go to www.goNBI.com for samples of NBI's home and termite reports. Click on Sample Reportin the left column.

Place your inspection orders on-line, 24 hours per day, 7 days per week. 


(Snippets of life from NBI)

Picture of the Week:

What caused our power failure?

This Napa homeowner couldn't understand why the power to his entire house shut down.  His neighbors still had power so it wasn't a power outage.

When we took off the electrical panel cover, the cause became apparent.  A lizard crawled into the electrical panel (see the right side of the panel) and touched both electrical bars electrocuting himself and shorting out the entire system. 

Pictures by:  Jim Lowe (NBI Inspector, Sonoma County)

To the Top

NBI has only two things to sell, unequalled construction knowledge and “TIME”. We understand that we will never be able to sell “TOMORROW” again. NBI would rather give your client a GIANT discount for acting fast, than not filling an open time slot.

By ordering a “Last Minute Home and Termite Inspection”, your client could save up to $300.

Our normal rates are: (Based upon homes under 2000 sq. ft.)

Home Inspection: $375.00
Termite Inspection: $210.00
Total:.. $585.00

If you fill a combination (home and termite) inspection for the day following your call; your client will have to pay only $285.00! A $300 SAVINGS!

(Example: If you call NBI on Monday and you are able to fill an open time slot we have on Tuesday, you will receive up to a $300 discount.)

If you fill one of our time slots 2 days from your call, your client will have to pay only $385.00! A $200 SAVINGS!

If you fill one of our time slots 3 days from your call, your client will only have to pay $485.00! A $100 SAVINGS!

(Note: Our condominium inspection prices are $240, $310, and $380 respectively.)

Call our office at (800) Go-NBI-NOW (800) 466-2466 for complete details. For additional information about our company, please visits us at www.goNBI.com.

NBI produces the highest quality inspection reports in the industry.   EXPERIENCE THE DIFFERENCE! !

We provide pictures in our Home "AND" our Termite reports.  Go to www.goNBI.com  for samples of NBI's home and termite reports. Click on Sample Report in the left column.

Place your inspection orders on-line, 24 hours per day, 7 days per week. 

 

Doctor's Visit

Buford walked into a doctor's office and the receptionist asked him what he had.
Buford said, "Shingles." So she took down his name, address, medical insurance number and told him to have a seat.

Fifteen minutes later a nurse's aid came out and asked Buford what he had. Buford said, "Shingles." So she took down his height, weight, a complete medical history and told Buford to wait in the examining room.

A half-hour later a nurse came in and asked Buford what he had. Buford said, "Shingles." So she gave Buford a blood test, a blood pressure test, an electrocardiogram, told Buford to take off all his clothes and wait for the doctor.

An hour later the doctor came in and asked Buford what he had. Buford said, "Shingles."
The doctor said, Where?" Buford said, "Outside on the truck. Where do you want 'em?"

Like NBI's Straight FAX Newsletter?   Nearly 500 new agents per month are asking to receive our newsletter.  Encourage everyone in your office to register for this worthwhile information. Send to, Answerman@goNBI.com.

What issues would you like us to discuss in future Straight Fax Newsletters?  Electrical, Plumbing….Roofs???   Proper interpretation of pest control reports???   Let us know.

HAVE QUESTIONS or concerns regarding a potential home problem, ask NBI's AnswerMan at Answerman@goNBI.com 

Editor Notes:  Dale J. Luger founded National Building Inspectors in 1986.  Mr. Luger has purchased; rehabilitated and sold over 1000 residential units in his career.  His credentials as a General Contractor, Roofing Contractor (1976), CA Real Estate Broker (1982), Pest Control Operator (1987) make him uniquely qualified and knowledgeable of all aspects of real estate transactions.