Hi All,
I'm looking at putting an offer on a PPOR in Brisbane, reno and sell again in 18 months time. It's one of those 80's style rectangluar box houses, brick on the bottom, timber framed with campherboard on the top level. Asking 320. It's grubby inside and with a decent scrub/repaint and a few other minor things should be able to get it to 340k+. Then there's a lot more scope for improvement with two bathrooms and two kitchens.
I originally thought if I could get it for 300 it would have the makings of a great deal. Until the dreaded termite word came up. A previous contract was signed for this property which was cancelled after building a pest inspection due to termite damage. The agent described the situation as a young first home buyer couple who just got nervous at the word 'termite' and that it would cost about 4k to fix the damage (I've seen the quote and spoken to the carpenter who gave it and it's legit). However this is only the damage that's been identified. No invasive inspection has been done. The roof is low pitched so a complete inspection of the roof structure wasn't possible and the place is carpeted throuhgout so floor inspection was limited to the underside looking from the double garage. The remainder of downstairs area having a ceiling. I've managed to get hold of the offending pest inspection so here's a few choice words from it:
"Evidence of wide spread termite workings and minor damage was observed in the window reveals at the rear of the garage space, in the timber cover strip on the rear wall adjacent the downstairs shower recess, in the timber cornices in the front bedrooms and in the ceiling battens above the front
bedrooms, hallway and bathroom. Minor separation between the ceiling battens and ceiling linings was also noted in places, and further inspection by a licensed builder or plasterer may be prudent.
Further evidence of termite workings was observed in loose timber at the base of the external wall adjacent the downstairs bathroom and in dead trees in the garden at the front of the southern alignment."
The cieling they are talking about is on the top floor so assuming a single point of entry the termites have gone right up one wall then somehow gotten to the roof at the opposite side of the house. The upstairs toilet has a leaking cistern pipe and the whole wall below is damp because of it so I think it's the likely point of entry.
No previous management has been done. Although with Term-a-trac they weren't able to identify any live termite activity.
Now of course my first instinct is to run a mile and don't look back. But every other buyer is going to have the same. I think there's a real chance of getting a land value offer considered with all this in mind (around the 250k mark). I think this is basically the safe option. I won't be able to assess the extent of the damage until I've bought it so I have to assume it's as bad as it can possibly be and price it accordingly. That's still not a tasteful scenario as I don't really want to be living a house while it is being gutted by builders. I'm looking for a way I can get an edge information wise.
The carpenter I spoke to suggested that it's possible the termites have only gone throught the softwood battens and left the support beams (hardwood) alone. Does anyone know if any particular species is has an aversion to hardwoods or could anyone suggest where I might be able to find out?
Is there some sort of specialist that could somehow tell from the affected wood what species it might have been?
I think it's a long shot but if I can put together enough evidence to suggest that major structural work is unlikely to be needed then I think this would tip the balance for me because every other buyer is likely to assume the absolute worst.
I'm looking at putting an offer on a PPOR in Brisbane, reno and sell again in 18 months time. It's one of those 80's style rectangluar box houses, brick on the bottom, timber framed with campherboard on the top level. Asking 320. It's grubby inside and with a decent scrub/repaint and a few other minor things should be able to get it to 340k+. Then there's a lot more scope for improvement with two bathrooms and two kitchens.
I originally thought if I could get it for 300 it would have the makings of a great deal. Until the dreaded termite word came up. A previous contract was signed for this property which was cancelled after building a pest inspection due to termite damage. The agent described the situation as a young first home buyer couple who just got nervous at the word 'termite' and that it would cost about 4k to fix the damage (I've seen the quote and spoken to the carpenter who gave it and it's legit). However this is only the damage that's been identified. No invasive inspection has been done. The roof is low pitched so a complete inspection of the roof structure wasn't possible and the place is carpeted throuhgout so floor inspection was limited to the underside looking from the double garage. The remainder of downstairs area having a ceiling. I've managed to get hold of the offending pest inspection so here's a few choice words from it:
"Evidence of wide spread termite workings and minor damage was observed in the window reveals at the rear of the garage space, in the timber cover strip on the rear wall adjacent the downstairs shower recess, in the timber cornices in the front bedrooms and in the ceiling battens above the front
bedrooms, hallway and bathroom. Minor separation between the ceiling battens and ceiling linings was also noted in places, and further inspection by a licensed builder or plasterer may be prudent.
Further evidence of termite workings was observed in loose timber at the base of the external wall adjacent the downstairs bathroom and in dead trees in the garden at the front of the southern alignment."
The cieling they are talking about is on the top floor so assuming a single point of entry the termites have gone right up one wall then somehow gotten to the roof at the opposite side of the house. The upstairs toilet has a leaking cistern pipe and the whole wall below is damp because of it so I think it's the likely point of entry.
No previous management has been done. Although with Term-a-trac they weren't able to identify any live termite activity.
Now of course my first instinct is to run a mile and don't look back. But every other buyer is going to have the same. I think there's a real chance of getting a land value offer considered with all this in mind (around the 250k mark). I think this is basically the safe option. I won't be able to assess the extent of the damage until I've bought it so I have to assume it's as bad as it can possibly be and price it accordingly. That's still not a tasteful scenario as I don't really want to be living a house while it is being gutted by builders. I'm looking for a way I can get an edge information wise.
The carpenter I spoke to suggested that it's possible the termites have only gone throught the softwood battens and left the support beams (hardwood) alone. Does anyone know if any particular species is has an aversion to hardwoods or could anyone suggest where I might be able to find out?
Is there some sort of specialist that could somehow tell from the affected wood what species it might have been?
I think it's a long shot but if I can put together enough evidence to suggest that major structural work is unlikely to be needed then I think this would tip the balance for me because every other buyer is likely to assume the absolute worst.
