I'm east of the Mississippi, a ways from you, but have been in the Real Estate biz for 17 yrs., and have seen the damage that termites can do. Banks do require treatment if a home fails the inspection, and for good reason. I've heard the tales of collusion with the bank & termite guys and all that, and I'm sure it's happened somewhere, but I don't see it around here. You either have bugs eating your wood or you don't, and excess damage greatly affects the home's value. If they're just getting started, or are around, they need to be stopped.
Don't be fooled if you don't see a single bug around. Termites, the ones here in the northeast, live in the ground. They come up to feed on your wood frame, or furniture, sometimes through mud tubes, but when you disturb them, they quickly disappear back underground.
Around here, the inspection is $26.50. Treatment for a medium sized house, approx. 2000 sq. ft., could run approx $750 - $1000.
Have your bug guy look into "Termidor". My local guy did an infested rental house for me with it, and it has worked well. It seems to have alot of good things going for it. See link.
Termite Pest Control Products
JT