Termite Control Authority

Wood-Destroying Organism Reports Explained

A Wood-Destroying Organism (WDO) report is a formal inspection document that identifies evidence of wood-destroying insects, fungi, and related organisms in a structure. These reports are most commonly required during real estate transactions, and in states such as California, Florida, and Texas, lenders and escrow agents routinely require them before a mortgage closes. Understanding what these reports contain, how they are produced, and what their findings mean is essential for buyers, sellers, lenders, and property managers navigating real estate termite inspection requirements.

Definition and scope

A WDO report — also called a Wood-Destroying Insect (WDI) report in some jurisdictions — is a written record produced by a licensed pest control inspector documenting the presence or absence of wood-destroying organisms observed during a visual inspection of an accessible structure. The document typically identifies findings by organism type, location within the structure, and classification as active infestation, inactive infestation, or evidence of prior damage.

The organisms covered under the WDO umbrella vary by state regulation, but the core categories recognized by major regulatory frameworks include:

  1. Wood-destroying insects — termites (subterranean, drywood, dampwood, and Formosan species), wood-boring beetles (including old house borers and powderpost beetles), and carpenter ants
  2. Wood-decaying fungi — including brown rot, white rot, and wet rot, collectively referred to as "wood decay fungi" or "wood rot"
  3. Other wood-destroying organisms — some state forms include wood-boring marine organisms in coastal jurisdictions

The scope of a WDO report is limited to visible, accessible areas. Inspectors do not open walls, probe concealed cavities, or perform destructive investigation. The termite inspection services provided under a WDO context are therefore distinct from a full termite damage assessment, which may involve probing, moisture metering, and structural evaluation.

The federal form most widely recognized is the NPMA-33, published by the National Pest Management Association (NPMA). Many states have adopted the NPMA-33 as their standard WDO reporting form, while others maintain state-specific variants. The VA (U.S. Department of Veterans Affairs) and FHA (Federal Housing Administration under HUD) loan programs both require a WDO inspection on properties in termite-prone zones as defined by their respective guidelines.

How it works

A licensed pest control operator — holding a license category that typically includes WDO inspection authority under state structural pest control law — performs a visual inspection of the property's accessible interior and exterior. The inspector examines crawl spaces, attic spaces, garage areas, foundation perimeters, and visible wood framing.

Upon completing the inspection, the inspector completes the applicable form. On the NPMA-33, findings are recorded in one of three primary categories:

Conducive conditions in Section III do not constitute a finding of infestation but serve as a risk flag. A property with moisture control and termite prevention deficiencies may receive Section III notations even when no organisms are found.

The inspector signs the completed form and it is submitted to the ordering party — typically the lender, escrow agent, or buyer's representative. The report is the property of the party who ordered and paid for it, though state regulations in jurisdictions such as California (under the Structural Pest Control Board) may require reports to be filed with a state registry.

Common scenarios

Real estate transactions represent the most frequent context for WDO reports. Conventional lenders do not always require a WDO inspection, but VA and FHA guidelines mandate them in termite infestation probability zones. The U.S. Department of Housing and Urban Development classifies geographic areas into probability zones (Zone 1 through Zone 3, plus a minimal activity zone) based on historical data, and properties in Zones 1 and 2 face the strictest inspection requirements (HUD Handbook 4000.1).

Pre-listing inspections allow sellers to identify and address findings before buyers commission their own report. A Section I finding — live termite activity — almost always triggers a remediation requirement before transaction close. Sellers who use termite-treatment-methods-comparison resources prior to listing can better anticipate treatment costs.

Insurance or refinancing reviews may also prompt WDO inspection requests, particularly when underwriters flag elevated risk in coastal or high-humidity regions. Understanding termite risk by US region clarifies why some properties face mandatory inspection even absent a sale event.

Post-damage documentation provides a baseline record following a discovered infestation, supporting termite damage repair services claims and contractor scope-of-work documentation.

Decision boundaries

A WDO report is not a warranty, not a guarantee of structural soundness, and not a comprehensive damage assessment. Its boundaries are defined by visibility and access, and findings reflect conditions observed on a single day.

WDO report vs. structural inspection: A licensed home inspector evaluates structural integrity; a WDO inspector identifies biological organisms. These are separate licenses, separate scopes, and separate reports — though the same day of service is common.

Active vs. inactive findings: A Section I finding requires remediation. A Section II finding does not automatically require treatment but typically requires disclosure in a real estate transaction. The distinction turns on whether the inspector observes live insects, fresh frass, or active fungal growth versus old galleries, stained wood, or treated but previously damaged material.

NPMA-33 vs. state-specific forms: States including California, Texas, Arizona, and Florida maintain their own WDO or structural pest control inspection forms, which may require different disclosures, cover additional organisms, or impose different timeframes for report validity. California's Wood Pest Report, governed by the California Structural Pest Control Board under Business and Professions Code §8516, includes a mandatory 2-year retention requirement for licensed operators. State licensing frameworks are outlined in termite control state regulations overview.

Report validity period: Most lenders accept WDO reports dated within 30 to 90 days of closing, with the 90-day window common for VA loans per VA Lender Handbook guidance. Reports older than the accepted window require re-inspection regardless of prior findings.

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