You just found out your house has termites. Or maybe you're considering buying a place where the inspection report mentions "evidence of prior termite activity." That sinking feeling in your gut is real. Is this a deal-breaker, or just a routine home maintenance headache? The short, blunt answer is no, it’s not okay to knowingly live in a house with an active termite infestation. But the real world is messy, and the decision is rarely that simple.
I’ve been in the property inspection and restoration field for over a decade. I’ve seen buyers walk away from perfect homes over a single mud tube, and I’ve seen others pour $80,000 into a "charming fixer-upper" that was literally being eaten from the inside out. The difference between a smart decision and a financial nightmare often comes down to understanding the nuances everyone else glosses over.
Quick Navigation: What You Need to Know
The Real Risks: More Than Just Chewed Wood
Everyone talks about structural damage. It’s the big, scary headline. And it’s valid. Subterranean termites work from the ground up, targeting critical support structures like sill plates, floor joists, and load-bearing walls. Drywood termites attack from the top down, ruining rafters, eaves, and window frames. This isn't cosmetic. We're talking about the literal skeleton of your house.
But focusing solely on a potential collapse misses the more immediate, insidious problems.
The Hidden Costs of Delay
Insurance Won't Save You. This is the first shock for most homeowners. Standard homeowners insurance policies almost never cover termite damage. They classify it as a maintenance issue, like a leaking pipe you ignored. The financial burden for treatment and all repairs falls entirely on you.
Compromised Safety Systems. I once worked on a house where termites had tunneled through the wall behind an electrical outlet. The frass (their droppings) built up and created a conductive bridge, leading to a small electrical fire. They’ve also been known to damage plumbing lines inside walls, leading to slow, hidden leaks that cause mold on top of everything else.
The Negotiation Poison Pill. If you ever want to sell, an active infestation or significant past damage must be disclosed. It’s a massive red flag that will scare off most buyers or lead to punishingly low offers. It turns your largest asset into a liability.
Signs You Can't Ignore (And One Everyone Misses)
You know about mud tubes on foundations and discarded wings. Here’s what you’re probably not looking for, but should be.
- Hollow-Sounding Wood: Tap on baseboards, door frames, and window sills with a screwdriver handle. Solid wood makes a sharp “thock” sound. Termite-damaged wood sounds dull, papery, or hollow. It might even give way slightly.
- Difficult-to-Open Windows/Doors: As termites consume wood and their mud tubes expand, they warp the frame. A door or window that suddenly sticks isn't always humidity.
- Pin-Sized Holes in Drywall or Wood: These are "kick-out" holes where drywood termites push out their frass. They’re often mistaken for nail holes or other minor imperfections.
- Bubbling or Peeling Paint: This is the big one people miss. Subterranean termites bring moisture from the soil into your walls. That moisture can cause paint to blister in spots that aren't near any plumbing. Probe gently underneath. If the drywall is soft or crumbly, you've likely found them.
The Cost Equation: Treatment vs. Repair vs. Walking Away
This is where emotions need to leave the room. You need cold, hard numbers. Let's break down what you're really facing.
| Item | Typical Cost Range (USD) | Key Details & Pitfalls |
|---|---|---|
| Professional Inspection | $75 - $150 | Non-negotiable first step. Get 2-3. A free inspection from a treatment company often becomes a sales pitch. Hire an independent inspector. |
| Liquid Soil Treatment (Subterranean) | $1,200 - $2,500+ | >Covers perimeter. Price scales with home's linear footage. Warranties are key—ask what they don't cover. |
| Fumigation / Tentting (Drywood) | $2,000 - $8,000+ | >You must vacate for 2-3 days. Covers the whole structure. Very effective but disruptive and costly. |
| Baiting System Installation & Monitoring | $1,500 - $3,000+ (initial) + annual fees | >Less invasive, but slower. Requires ongoing service contracts. Good for prevention post-treatment. |
| Minor Structural Repairs (e.g., sill plate, joist ends) | $1,000 - $5,000 | >This is where costs balloon. You often can't see the full extent of damage until drywall is opened up. |
| Major Structural Repairs (e.g., replacing load-bearing walls, extensive subfloor) | $10,000 - $50,000+ | >A worst-case scenario. Can approach the cost of a major addition. Requires engineers and specialized contractors. |
See the trap? The treatment cost is just the entry fee. The termite damage repair costs are the unknown variable that can bankrupt your budget. A $2,500 treatment bill followed by a $25,000 repair bill is not uncommon for a moderate infestation that's gone unchecked for a few years.
The Expert Reality Check: I tell clients to mentally double the repair estimate given before opening walls. Once the siding or drywall comes off, the true scope of damage is almost always larger. Always, always have a contingency fund of at least 20-30% above the initial repair quote.
Scenario Breakdown: Are You a Buyer, Seller, or Current Owner?
If You're Buying a House with Termites
This is a leverage moment, not a panic moment. Do not let the seller or their agent rush you.
- Get a Specific, Licensed Termite Inspection: Not just the general home inspector. Hire a specialist.
- Demand a Treatment Plan & Full Repair Scope: Ask the seller to provide a detailed proposal from a licensed pest control company for complete eradication AND a detailed scope of work from a contractor to repair all damage noted in the inspection.
- Negotiate a Credit, Not a Repair: This is critical. You want a cash credit at closing, not for the seller to do the repairs. Why? They will choose the cheapest contractor and the fastest method to close the deal. You want control over the quality of the work. Ask for the estimated treatment + repair cost, plus a 15-20% buffer.
- Know Your Walk-Away Point: If the infestation is severe (e.g., damage to multiple load-bearing points, extensive activity in the roof structure) or the seller is unwilling to negotiate fairly, be prepared to walk. There are other houses.
If You're Selling a House with Termites
Honesty is your only viable policy.
- Get it Treated Before Listing: Pay for a professional treatment and obtain a transferable warranty. This removes the biggest obstacle for buyers.
- Disclose, Disclose, Disclose: Provide all inspection reports, treatment receipts, and warranties to potential buyers upfront. Trying to hide it will kill the deal later and open you up to legal liability.
- Be Realistic on Price: Even with treatment, the history of damage affects value. Expect to price slightly below comparable homes without this issue, or be ready to offer a credit for any remaining cosmetic repairs.
If You're Living in a House with Termites
Act now. Delay is literally money out of your pocket.
Call three licensed pest control companies for inspections and quotes. Do not opt for the cheapest treatment if it's less thorough (e.g., spot treatment vs. full perimeter). Once treated, get a contractor to assess the damage. Start with the most critical structural areas first. Even if you can't afford all cosmetic repairs immediately, securing the structure is paramount.
Expert FAQs: Your Top Questions Answered
Don't just ask for the treatment cost. The real leverage comes from the unknown extent of damage. A savvy negotiation strategy is to request a credit equal to 1.5x the quoted treatment cost. This covers the treatment and creates a buffer for hidden repairs you might discover later. If the seller refuses, insisting they'll fix it themselves is a major red flag – they'll likely choose the cheapest option, not the most thorough.
The primary risk is physical, not toxic. Termites themselves aren't known to transmit diseases to humans. However, the frass is essentially finely pulverized wood and can be a significant irritant, especially for individuals with asthma, allergies, or dust sensitivities. In a severe, long-term infestation where walls are hollowed out, the constant dust circulating in your HVAC system can degrade indoor air quality and trigger respiratory discomfort.
People panic over sawdust on a windowsill, which is usually carpenter ants. The sign they miss is 'bubbling' or 'peeling' paint on walls or ceilings that isn't near a water source. Subterranean termites need moisture. As they tunnel through wall studs and drywall, they bring moisture with them from the soil. This moisture wicks into the paint, causing it to blister. It looks like a leak, but when you push on it, the drywall feels soft or crumbles—that's termites eating the paper backing of your drywall from the inside.
It's insurance, and like all insurance, its value depends on your risk tolerance. In high-pressure termite zones, it's often worth it. The key isn't the warranty itself, but the mandatory annual inspections that come with it. A good inspector will catch early activity you'd never see. The pitfall? Read the fine print. Many warranties only cover re-treatment, not the repair of damage caused by a new infestation. You need a warranty that covers both re-treatment and repairs to be fully protected.