A home has been constructed in accordance with the warranty standards set forth by the builder and accepted by a purchaser which is evidenced by the Certificate of Acceptance. The date of acceptance is the also the commencement date for the home warranty.
A Home Builder’s Warranty is for a period of one year from the commencement date and will cover defects in materials and workmanship due to nonconformity with the warranty standard and the builder warrants that the residence will be free from major structural defects.
The purchaser should read the warranty in its entirety to gain knowledge of the protection the warranty provides, the applicable exclusions, the warranty standards and the purchaser’s responsibilities.
What is Covered by a Home Builder’s Warranty?
A warranty is a written guarantee, issued to the purchaser of an article by its manufacturer, promising to repair or replace it if necessary within a specified period of time. A home builder’s warranty provides protection to the purchaser for defects in a home as it relates to materials and workmanship. The warranty will state that for one year from the date of commencement, the home will be free from defects in materials and workmanship due to nonconformity with the warranty standards set forth in the warranty packet. The warranty standards identify performance guidelines and potential corrective measures. The home builder’s warranty will warrant that the home will be free from major structural defects. If a major structural defect is evident during the warranty period, the builder will repair, replace or pay the purchaser the reasonable cost of repairing or replacing the defect. The warranty will also outline the builder’s responsibilities. In the event of a warranty claim and the decision to repair or replace a defective item, it is solely the builder’s responsibility to cover the cost of said warranty claim. The builder is liable for all claims made during the term of warranty.
What is Not Covered by a Home Builder’s Warranty?
Each home builder’s warranty verbiage will differ based on local industry standards. It is the purchaser’s responsibility to read the warranty in its entirety to gain knowledge of the applicable exclusions. The following is a general list of items that are not covered by the home builder’s warranty.
- Consumer Product Warranties (Warranties provided by manufactures of appliances and equipment)
- Any defect not resulting in physical damage or loss
- Personal property damage or bodily injury
- Any claim not reported to the builder as outlined in the warranty
- Loss or damage caused to the home, person or property by directly or indirectly by insects
- Loss or damage to the home or property that occur if the home’s primary use is for nonresidential purposes
- Loss or damaged caused by soil movement
- Normal deterioration or normal wear and tear
- Any defects or damaged caused by materials or work supplied by anyone other than the builder, its employees or subcontractors who performed work on the home
- Any damages or losses not caused by a defect in construction of the home
- Loss or damage resulting from the purchaser’s failure to perform routine maintenance or failure to minimize or prevent loss or damage in a timely manner
- Loss or damage to personal property which is not part of the home
- Loss or damage to any landscaping
- Loss or damage resulting from or made worse by modifications or additions to the home or property
- Loss or damage resulting from or made worse by the failure of the purchaser to maintain proper ventilation
- Any defect or damage caused by failure of the purchaser to comply with a manufacturer’s warranty requirements
- Any defect or damage caused by failure of the purchaser to provide maintenance or operations of the home or its systems
- Loss or damage caused directly or indirectly by floor, surface water, overflow or a body of water
- Violations of applicable building codes or ordinances after final approval from authority having jurisdiction
- Any loss or damage resulting from placement of heavy objects that exceed the loading factors of the home
What are Home Warranty Standards?
Standards by which it shall be determined if the home has a problem which is covered by the Home Builder’s Warranty and the obligation of the builder to correct said problem. This portion of the warranty will identify several construction components and will provide their performance guidelines and potential corrective measure. If the construction component is within its performance guideline and industry standards, no correct measure is required. If a construction component is outside of its performance guideline or industry standards, its corrective measure will be outlined. If specific standards and obligations are not identified, the standards must be the accepted industry standards for materials and workmanship in existence during the time of construction. Warranty coverage is conditioned upon the purchaser’s maintenance of the home and surrounding property to prevent damage due to neglect and or improper maintenance. It is the purchaser’s sole responsibility to maintain the home. Any damage or defect caused or made worse by neglect, or improper maintenance will not be covered by the warranty.
How to Make a Claim Under the Builder’s Warranty?
Providing written notice to the builder starts the warranty claim process. The purchaser shall send a written notice to the builder describing the defect in detail. Prior to making a warranty claim, the purchaser should read the “Warranty Standards” portion to determine whether the defect is covered. If the defect is covered, the purchaser should provide the following. Purchaser’s name, address, and phone number. Address of home with defect, name of subdivision, lot, and block number. A complete and detailed description of the problem. Once the builder receives a request for warranty service, a representative of the builder will contact the purchaser to discuss the warranty request and start the repair process. The builder will notify the appropriate trade contractors or suppliers and they will contact the purchaser directly to schedule the warranty work. For a claim to be received by the builder, the claim must be submitted prior to the expiration of the one-year warranty period. The purchaser must provide the builder and trade contractors with access during normal business hours in order to perform the warranty repairs. The purchaser must cooperate with the builder’s inspection and investigation of warranty claim and may need to provide additional information regarding the claim.