Annual Probability of Termite Damage to a Home

Termites cause an estimated $5 billion in property damage annually in the United States, affecting approximately 600,000 homes each year (about 2% of all single-family homes). The average cost of termite damage repair is about $3,000-$5,000, but severe infestations can cost $10,000-$50,000 or more to remediate.

Subterranean termites (including the invasive Formosan termite) are responsible for about 80% of termite damage. They are most prevalent in the southeastern US but found throughout much of the country. Drywood termites are common in coastal and southern states. Risk factors include wood-to-soil contact, moisture problems, geographic location, and age of the home.

Most homeowners' insurance policies do not cover termite damage, as it is considered a maintenance issue rather than sudden or accidental damage. Prevention measures include maintaining adequate drainage, eliminating wood-to-soil contact, regular inspections, chemical soil treatments, and bait monitoring systems. Annual termite inspections are recommended in termite-prone areas and are often required for real estate transactions.