Real Estate Inspections: A Brief Analysis

By Robert Dyer Batman

KEY:

Wood Destroying Insect Inspection Report form NPMA-33 (09-01-04) hereinafter "NPMA-33"

SUGGESTED GUIDELINES FOR COMPLETING THE WOOD DESTROYING INSECT INSPECTION REPORT-NPMA-33 (09/09/04) hereinafter "Suggested Guidelines"

The above are two (2) separate documents; basically, the Suggested Guidelines sets forth some additional Treatment Recommendation Guidelines (TRG) as well as some additional guidelines and limitations. To proper evaluate the NPMA-33 refer to both documents.

Unless state regulations require a state inspection form at the exclusion of any others, and only a few states have such regulations, the Wood Destroying Insect Inspection Report form NPMA-33 (hereinafter "NPMA-33) is the authorized form used in all states of the USA for the purposes of securing mortgages (FHA, VA, HUD, and Conventional) and/or settlement of property transfer.

The NPMA-33 not being based in law, it speaks for itself; interested parties are bound by the criterion set forth in the NPMA-33. The NPMA-33 is a single sheet consisting of front (page 1) and backside (page 2). Any attachments listed in Section V on Page 1 of the NPMA-33 are also an integral part of the report. If you do not have a legible copy of the aforelisted, you do not have the entire report.

The inspector's duties related to the NPMA-33 include:

1) Performing visual inspection in the readily accessible areas of the structure(s) itemized in Section I of the report for visible evidence of infestation by either termites or carpenter ants or carpenter bees or reinfesting wood boring beetles and evidence of previous treatment.

2) Honestly and accurately reporting any visual observation of the eight (8) forms of visible WDI evidence (see the two following parts of this presentation).

3) Following the inspection and reporting Guidelines as stated in the NPMA-33 and in the Suggested Guidelines for Completing the NPMA-33.

The NPMA-33 includes visual inspection in only the readily accessible areas of the structure for "forms" of WDI infestation evidence resulting from the below listed WDI; refer to the following (next) part for a listing of the eight (8) forms:

1) Termites

2) Carpenter ants

3) Carpenter bees

4) Reinfesting wood boring beetles

There are eight (8) forms of WDI infestation evidence specified in the NPMA-33:

1) Live insects
2) Dead insects
3) Insect parts
4) Frass
5) Shelter tubes
6) Exit holes
7) Staining
8) Visible damage from the specified WDI. Visible WDI damage is only a "form" of infestation evidence. The inspector only reports as to whether or not s/he observed said "form" of WDI infestation evidence and is not authorized to either evaluate the extent of the damage or to determine the need for repair. The NPMA-33 is not a damage report and this is clearly disclosed in the NPMA-33.

Parties concerned about damage should contract the services of a licensed and qualified member of the building trade to inspect for damage and to make needed repairs.

Filling out the NPMA-33: The inspector fills out the NPMA-33.

1) Section I includes general information including itemization (listing) of the structure(s) to be inspected.

2) The inspector's visual findings of WDI infestation evidence are reported in Section II on Page 1 of the NPMA-33. The inspector should list the "form" of WDI infestation observed and it location.

3) Section III covers treatment recommendation: either "yes" or "no" are the only two options. The inspector should follow the Treatment Recommendation Guidelines (TRG) as set forth in 1) the NPMA-33 (part 2 on page 2) and 2) the Suggested Guidelines (Version 09/09/04).

Technically, the NPMA-33 and the Suggested Guidelines do not establish treatment requirements. They note that the FHA and VA require treatment for subterranean termites when activity is observed, but it is the FHA and the VA who established said requirement. The inspector has no authority to require anyone to treat anything.

4) Section IV covers observations and inaccessible areas. Most people do not take note of the wording in this section carefully enough. It states; "The following areas of the structure(s) inspected were obstructed or inaccessible." This means that the area check (the box preceding the named area is checked) either 1) contained obstructions or not inspected (one or the other or both). However, the inspector's notations regarding such area(s) listed in may offer some definitive conclusion regarding the circumstances.

In other words, if the Garage, for example, is checked in Section IV, it means that the Garage was inaccessible for inspection; not just part of the Garage, but the entire garage. Therefore, the inspector is not responsible for inspecting the Garage, and WDI infestation evidence could be present in the Garage at inspection time but was not detected because the garage was obstructed and/or otherwise inaccessible at inspection time. However, should the inspector place an explanatory notation regarding the garage, for example; 7 (store items along North Garage interior wall), said notation modifies the accessibility status of the Garage; only the North interior Wall area of the garage was obstructed, and not inspected, at inspection time.

5) Section V includes additional comments and attachments. Attachments listed by the inspector become an integral part of the NPMA-33 report.

Page 2 of the NPMA-33:

Page two (backside) of the NPMA-33, covers, in addition to those limitations already stated on page one, the scope and limitations of the inspection. Page 2 contains the initial statement followed by 5 separate parts:

1) About the Inspection
2) Treatment Recommendation Guidelines Regarding subterranean termites
3) Obstructions and Inaccessible areas
4) Consumer Maintenance Advisory
5) Neither the inspection company nor the inspector has had, presently has, or contemplates having any interest in the property inspected.

Disputes:

Parties disputing treatment requirements must take said matter up with the appropriate party (the party actually requiring treatment), and that would not be the inspector or inspection company; they cannot require anyone to treat anything. One or more of the following parties may be requiring treatment for WDI:

1) Real Estate Company in their listing agreement (contract)
2) Mortgage company requirement
3) Closing company requirement
4) Loan underwriter (FHA, VA, HUD, Conventional underwriter)
5) Individual lien holder
6) Buyer's offer to purchase
7) Federal or state regulation
8) Municipal ordinance
9) Other

Although any of the above parties can specify their own WDI treatment requirements independent of the NPMA-33 inspection findings, they can also specify their treatment requirements based on specified NPMA-33 inspection findings.

Alterations:

An inspector/inspection company should not alter properly reported visual findings and the alteration of properly reported findings.

Dissatisfied parties may request and pay for a 2 nd Opinion Inspection.

FACTS :A structure can have absolutely no "visible" evidence of WDI infestation evidence and, at the same time, it could have extensive active WDI infestation and/or hidden or concealed extensive WDI damage. Hidden and/or concealed WDI infestation evidence is not detectable by visual inspection techniques. Any structure can become infested at any time including those which have been previously treated. The inspector/inspection company is not responsible for detecting concealed, hidden, or otherwise visually obstructed or inaccessible WDI infestation evidence.

Equipment:

The NPMA does not require by specification the use of any equipment. However, the use of a sounder/probe (a screwdriver works great and is better than using one's knuckles and finger nails) and a good flashlight is highly recommended.

No pets allowed and etc.:

Oh! And, this is important; it's all about what the inspector sees, not what some termite sniffing dog does or what some moisture meter or methane gas meter indicates or what the inspector hears through some listening device or what the inspector assumes. If the inspector can't see it, s/he shouldn't report it or construe to imply that "it" was there.

NOTICE: The NPMA-33 is not a damage report in any form. The "form" of WDI infestation evidence referred to as visible WDI damage is, according to the Suggested Guidelines, nothing more than visible evidence of either current or previous infestation. According to the NPMA-33 and the Suggested Guidelines, the inspector is not qualified in damage evaluation or any other building construction technology and/or repair. If the inspection company does provide damage evaluation and/or repair as an additional service, a separate contract should be attached and noted as an attachment in Section V.

Parties concerned about damage should contract the services of a licensed and qualified expert in the building trade to inspect for damage and evaluate any previous repairs and determine the need, if any, for repair.

The NPMA-33 includes no guarantees or warranties, implied or otherwise, and none are to be assumed.

For inspection needs in the greater Kansas City metro areas

Call

BEST EXTERMINATORS, INC.

(816) 765-8844