Necessary to install termite system ?

Discussion in 'Repairs & Maintenance' started by HBK, 14th Apr, 2022.

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  1. HBK

    HBK Well-Known Member

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    Who here installs termite systems for all their investment properties ?
    Is it necessary?
     
  2. Stoffo

    Stoffo Well-Known Member

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    It's like insurance .....
    Pay or risk a major loss !
    If the IP is in Tasmania then no point.
    Further north you go the greater the risk ;)
     
  3. Scott No Mates

    Scott No Mates Well-Known Member

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    New-build = no brainer
     
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  4. HBK

    HBK Well-Known Member

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    So did you install them on all your ips ?
     
  5. Stoffo

    Stoffo Well-Known Member

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    Rather than spending many thousands on treatments I went and did the course ;)
    Now that I'm qualified I do my own at a fraction of the price :D
    Sure paying someone is a deduction, but not spending anything in the first place saves me far more :p

    Just remember, your insurance policy doesn't cover termite damage, and in most cases there is significant loss and damage done before the little buggers are even discovered
     
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  6. Paul@PAS

    Paul@PAS Tax, Accounting + SMSF + All things Property Tax Business Plus Member

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  7. HBK

    HBK Well-Known Member

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  8. Stoffo

    Stoffo Well-Known Member

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    You haven't answered the question "is it a new build" .......
     
    Last edited by a moderator: 23rd Apr, 2022
  9. HBK

    HBK Well-Known Member

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    No its not a new build
     
  10. Stoffo

    Stoffo Well-Known Member

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    If it was a new build then as stated by @Scott No Mates & @Paul@PAS it would be a standard inclusion/requirement.

    As an established property you need to weigh up "what" the property is and it's risk exposure to termites, then add or divide that by your own investment plan to = "a plan moving forward" ;)

    As previously stated, standard insurance doesn't cover termites (and the pest companies that do offer such insurance make more out of the treatments req'd to obtain the policy, with many exclusions in the wording o_O).

    In reality you probably would have garnished a far better response and a much better idea of the % who actually are pro active by investing into their property by including a poll in the original post :rolleyes:
     
  11. San2018

    San2018 Well-Known Member

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    I have been told that even with termite barrier, no 100% guarantee that it will protect from termites and , I also need to do yearly termite inspection.

    I got quotes around $5K for termite barrier in NSW / Sydney.

    Then I thought if I still need to the yearly termite inspection, why bother about termite barrier so just do the yearly inspections.

    it’s just me and I might be wrong
     
  12. southern-investor

    southern-investor Well-Known Member

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    With a termite barrier as above there is no 100% guarantee it will work anyway. The price some ppl quote is actually ludacris.If you can just learn to do it yourself - its not rocket science.

    90% of termite damage is localized to a certain area and only a very small percentage get to s stage where its structural damage. Most will never get that far.

    Alot of this termite barrier crap is not required imho. Just do yearly inspections or bi yearly and tell the tenant to keep an eye on any visual signs. Once you find any active termites then take action.

    90%+ of houses will have some form of termite damage. In fact I've NEVER seen a house without.
     
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  13. HBK

    HBK Well-Known Member

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    Still need to do yearly inspection after insatlling a barrier? Why ? Makes no sense it would make sense if you had to after 5-10 years
     
  14. Paul@PAS

    Paul@PAS Tax, Accounting + SMSF + All things Property Tax Business Plus Member

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    It make sense if you expect a continuous warranty to apply. A termite system of some form that complies with standards is a requirement for code for construction. A steel framed dwelling may not even need one. Termite resistant framing (ie T2 RED / Blue) may also be considered. The issues for existing builds are far more complicated. The design of a poison free system like graniteguard is based on scientific reasearch and development (CSIRO) and its weakness is its not a indefensible barrier and it can be breached or damaged. The statistical risk is minimised by annual inspection. People also do silly things like put garden beds against a house or use mulch. Or put landscape at incorrect depth beside a dwelling so the slab isnt above ground level. Drawing this to owner attention for rectification may reduce risk.

    Its like insurance. I had a client family buy a five - six year old property they assumed termite free. It was a total loss. Fortunately they had a (bad) P&B report which didnt look in the roof where the termite mounds were. The eventually were compensated for total loss with a new house contructed.
     
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  15. Stoffo

    Stoffo Well-Known Member

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    Yep, I've seen an old shovel leaned up in the south corner of a house with termite mud tunnels up it, effectively gaining access up and over the chemical ground barrier :eek:

    I always advise to use cypress mulch, termites hate the oils and tannins in it (as opposed to most mulch types, it doesn't break down as quickly and looks nicer for longer also :p).
     
  16. Dedant

    Dedant New Member

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    Yes definitely! It is the best insurance policy you can get, especially as insurance companies no longer cover termite damage. It does seem like an expensive outlay at the time but remember the barrier installation last for 8 years and would be a fraction of the cost of paying to fix termite damage from a termite infestation that went unnoticed.
     
    Last edited by a moderator: 23rd Jun, 2022

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